A Guide to Loan Programs for New York State Small Businesses
Whether you want to start a business, expand operations or export goods internationally, there are a variety of affordable and accessible loan programs designed to help small businesses in New York State succeed, including targeted programs for women- and minority-owned companies and underserved communities. These programs put access to capital within reach for a variety of small businesses, including those that have had difficulty borrowing from traditional sources.
These programs and more are available through organizations like New York Business Development Corporation (NYBDC) and community development financial institutions (CDFIs) like Excelsior Growth Fund, as well as banks and municipal and state agencies – all working together to support small businesses in the Empire State.
What kind of loans are available?
For startups and businesses looking to grow or expand, NYBDC’s team can help owners find the best loan option, access essential business advice and apply to loan programs that include but aren’t limited to:
- Bridge to Success: This specialized short-term loan program, funded through Empire State Development (ESD), helps qualified minority- and women-owned businesses to be more competitive when bidding on New York State contracts. Short term bridge loans from $75,000 to $200,000 can be used for working capital and costs associated with contract execution.
- Global NY: Another ESD-backed loan program, Global NY enables New York State-based small businesses to develop or expand goods for export, or to enhance their capabilities as suppliers to larger exporters. In addition, this program helps companies in New York’s thriving craft brewery and distillery industry scale-up for international business. Loans up of to $500,000 are available for equipment purchase, inventory, working capital, to support foreign accounts receivable and more.
- Capital Access Program (CAP): This program is designed to make small business loans more accessible for businesses with fewer than 100 employees throughout New York State. These general-purpose loans can help startups or expanding businesses and can be used for almost any business purpose.
- New York State Energy Research and Development Authority (NYSERDA): Through NYSERDA, small businesses can apply for loan programs to support energy efficiency improvements to benefit businesses and the environment. Low-interest rate NYSERDA loans can fund up to $50,000 of project costs.
- Small Business Administration (SBA) loans: SBA loans provide important small business funding in New York State and beyond. These are available in partnership with New York’s banks, CDFIs and other approved financial institutions and include targeted loans for underserved entrepreneur populations, startups, acquisitions, and expansions. Among them are:
- Microloans: Up to $50,000, designed for startups and working capital;
- 7(a) loans: This can be used for working capital, equipment, refinancing debt, and more; Community Advantage loans are similar but targeted to underserved communities; and
- 504 loans: This can be used to purchase or renovate real estate and purchase equipment, with loans up to $10 million and manageable rates and terms.
For more information and guidance:
If you have a small business in New York State or would like to open one, NYBDC can help you understand your loan options and find the appropriate solution for your needs. For more information, call us at (518) 463-2268.