ALBANY, NY — New York State has established a new $10 million fund to provide low-interest, long-term loans of up to $100,000 to qualifying startups and early-stage businesses. The Main Street Capital program is part of the broader New York State Small Business Credit Initiative, led by Empire State Development, the secretariat of the New York State Small Business Credit Initiative (…)
ALBANY, NY — New York State has launched a new $10 million fund that will provide affordable term loans of up to $100,000 to qualifying startups and early-stage businesses. The Main Street Capital program is part of New York State’s broader State Small Business Credit Initiative effort led by Empire State Development, Governor Kathy Hockle’s office said. The program “helps close the financing gap many entrepreneurs experience” as they launch and grow their businesses. The loans will require minimal payments for the first 12 months to give them “more flexibility” as they launch and grow their businesses. The loans will have a maximum term of six years and a fixed interest rate of 9.9%. In the first year, borrowers will pay less than interest only and no principal payments during the term. “The Main Street Capital program will boost and strengthen small businesses, especially minority and women entrepreneurs, and create jobs and investment in New York State,” Governor Hockle said in the announcement. The $10 million fund is a partnership between Empire State Development and Pursuit, an Albany-based community lending firm with a 70-year history of serving businesses at all stages of life in New York State and beyond. Pursuit has several locations in New York, including a local loan officer and a virtual office serving Syracuse. “The Main Street Capital Program is a valuable resource for New York entrepreneurs, providing low-interest loans of up to $100,000,” New York State Assemblyman Albert Stirp Jr. (D-Cicero) said in Hoefl’s announcement. “This loan fund will provide a more accessible financing option, especially for socially and economically disadvantaged privately owned businesses and very small businesses with fewer than 10 employees. The New York State Small Business Credit Initiative, led by Empire State Development, will close the financing gap and empower entrepreneurs to make their dreams a reality and grow their businesses.” Startups and early-stage businesses will be required to complete a pre-application questionnaire. Based on the responses, they may be invited to submit a full application for the program or may be referred to their local Entrepreneurial Assistance Center (EAC) or Small Business Development Center (SBDC) for additional support, according to Hoekl’s office. For more information about the funds, eligibility and requirements, interested parties should visit the program’s webpage.
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