Small Business Loans In New York
It’s no secret that New York State is one of America’s premier places to do business. In all, 73 Fortune 500 companies have their headquarters in NYC alone. However, corporations don’t completely dominate the scene here and upstate.
Quite the opposite – most businesses in New York State are small businesses. They don’t just serve Main Street – they provide tons of ancillary professional services that help bigger enterprises too. Without them, Manhattan wouldn’t as vibrant as it is today.
This guide will help you, the small business owner, connect with the best business lenders in New York. The firms we list deal exclusively with SMEs, process applications fast, and do everything by the book. Whether you’re seeking small business loans in New York City, or small business loans in Buffalo New York, they’ve got what you need.
Best 3 Lenders in New York
New York Small Business At A Glance
When it comes to business, the reputation of New York State (NYS) precedes it. With a yearly GDP exceeding $1.7 trillion, this state ranks third in the country for economic output. In this department, New York is only outdone by California and Texas, respectively. If New York State were its own country, it would outrank developed nations like Canada and South Korea.
New York State’s economy, to put it succinctly, is an economic juggernaut. NYC is one of the most important – if not THE most important – financial centers in the world. Despite significant outsourcing in the 21st century, NYS remains an important manufacturing hub. With extensive tracts of fertile soil, it also has productive agriculture and viticulture industries.
In addition to being a financial powerhouse, NYC is a center for media, entertainment, technology, biotech, and real estate. Upstate, Albany has a tech sector to go along with its government jobs. The Rust Belt cities of Rochester, Syracuse, and Buffalo contain remnants of NYS’ once-bustling manufacturing sector. In these centers, small tech clusters have risen in recent years.
Despite perception to the contrary, small businesses dominate the economy of NYS. 98% of all firms in New York employ 100 people or less. They’re the linchpins of this state’s success, so they must streamline access to NYC grants for small businesses.
Just about every business loan broker New York knows this. Because of them, small businesses from Buffalo to Montauk has coverage when their cash flow runs dry.
Why Do Entrepreneurs Need Small Business Loans In New York?
Were it not for the success of its small businesses, the New York economy wouldn’t be the envy of the world. However, we won’t gloss over it: NYS is a tough place to be in business. First and foremost, NYC is one of the most expensive cities in the world. In Manhattan, Chelsea has the lowest prices at $59 per square foot. In the most sought after areas, you’ll pay as much as $87 per square foot.
And then, there are state taxes. NYS has some of the highest taxes in America. While things aren’t as bad for the incorporated (13th best tax regime in America), New York has the second-worst individual taxes in the country. And when it comes to red tape, few other states have the byzantine-like regulations that New York does.
These stressors can make NYS small businesses vulnerable to bad economic times. When they do, these enterprises are grateful for New York small business loans for bad credit. Your average business loan broker New York knows SMEs need a helping hand occasionally. For this reason, they have loan packages geared toward these customers.
Of course, with the massive amount of economic activity going on in NYS, it’s just as easy to succeed. When boom times arrive, though, some businesses become a victim of their own good fortune. They end up in a situation where they need to boost production, but they don’t have the cash-on-hand to fund it. With tons of finance professionals in NYC, though, business financing New York is never in short supply.
The best business lenders offer their customers timely loans in New York with fair terms. The ones listed above approve more applications than the banks. Often, capital finds its way into customer’s hands in less than a day. At the top of this page, you’ll find Business loan broker New York that fit this description.
Grants & SBA Lenders Available To New York Small Businesses
It’s clear to anyone who knows business – without small enterprise, the system wouldn’t work. The New York State government in Albany is well-aware of this fact. That’s why they offer NYC small business grants to businesses that need them the most.
Below, you’ll find a partial list of the programs that may be available to you.
- The Job Development Authority (JDA) Direct Loan Program offers direct loans for the development of manufacturing businesses in NYS. These loans are intended to fund the purchase of equipment, buildings, or the renovation of existing structures to facilitate manufacturing. The value of these loans can be as high as 40% (60% in economically distressed areas) of the total project cost. To secure a JDA loan, the applicant must get loan approval from a financier for 50% of the project cost, and provide 10% from themselves as an equity contribution.
- The START-UP NY Program offers startup businesses the opportunity to work with academic institutions and operate tax-free for ten years. The applicant must be situated in New York or planning to relocate/expand in New York. The business must be located, or transfer to a participating school’s campus, or within a reasonable walking distance. Companies in specific sectors, like hospitality, real estate, or finance, are ineligible to apply.
- The Life Sciences Research and Development Tax Credit Program gives support to businesses in the life sciences sector. The initiative offers tax credits of 15%-20% up to an annual cap of $500,000, and a lifetime cap of $1.5 million. To qualify, the applicant’s business must be new and match the sub-niches recognized by New York State.
- The Employee Training Incentive Program provides tax credits to eligible businesses in return for investing in skill training for their employees. This initiative grants 50% credits up to $10,000 per employee. It also funds 50% of stipends for interns, up to $3,000 per intern. The applicant must submit a cost-benefit analysis as part of their proposal. The applicant must also demonstrate the proposed training provider is competent in the relevant subject area. Lastly, some industries, like finance, real estate, and hospitality, are exempt from this program.
If government grants or tax credits aren’t your things, seek out an SBA small business loans in New York instead. These products offer very favorable terms, as the feds back them. Also, because the SBA guarantees these loans, many commercial lenders offer them.
Notable SBA business lenders in New York include:
- TD Bank
- JPMorgan Chase Bank
- Newtek Small Business Finance
New York State has one of the most balanced economies in the nation. In NYC alone, a million jobs were added over the past decade. But, who knows what the future holds?
No matter what happens, business lenders in New York are always there to provide capital when needed. So long as NYS’ four million SMEs have access to small business loans in New York, we’re confident they’ll ride out rough patches.
Do you need NYC small business loans? Check our list at the top of the page.