On Monday, November 23rd NYS Forward Loan Fund (“NYFLF”) opened an economic recovery program for small businesses, non-profits, and small residential landlords across New York State. Our practice runs deeper than the law, we’re business owners too, so we broke this new offer down for your review.
What is the offer? The NYFLF offers five-year working capital loans of up to $100,000 to eligible applicants.
Who is eligible? The NYFLF targets small businesses and non-profits with 20 or fewer full-time equivalent employees, $3 million or less in annual gross revenues or budget, NYS based, in operation for at least one year at time of application, and those that received a loan of $50,000.00 or less from
SBA’s Paycheck Protection Program and/or only the Economic Injury Disaster Program grant of ≤ $10,000.00. Eligible small residential landlords should have no more than 50 units in each building and a total ownership of fewer than 200 units in total. All buildings must be located in New York State.
What can we use the funds for? Proceeds of the loans can be used to pay for typical and recurring operating business expenses, and/or for refitting of business for compliance with social distancing guidelines, acquisition of personal protection equipment, and strategic planning for new revenues.
Interest Rates Details? The fixed annual interest rate is 3% for small businesses and landlords, and 2% for non-profits. Borrowers make interest-only payments for the first 12 months and then interest and principal payments for the remaining 48 months.
Why? NYFLF has a goal of at least 60% of loans going to minority and/or women owned businesses that have traditionally been under-banked or have difficulty accessing capital. This economic recovery program offered by New York State is intended to help small businesses move forward and thrive.
How do I apply? There are no application fees, no collateral required, and no prepayment penalties, but late fees may be assessed for missed payments.
Pre-application consists of 15 simple questions, and the submission of supporting documentation to a matched lender . Please visit: New York Forward Loan Fund (NYFLF) to learn more and apply.