Small Business Emergency Loan Fund to Provide Assistance for Businesses Affected by Super Storm Sandy
The New York Bankers Association (NYBA) and the New York Business Development Corporation (NYBDC) will establish a $10 million small business emergency loan fund to those businesses impacted by Sandy. Businesses will be able to apply for loans up to $25,000 under the fund, and can do so immediately at www.esd.ny.gov or by calling 1-855-NYS SANDY.
The emergency loan program will provide low-interest loans of up to $25,000 to small businesses in an expedited manner, helping them in their recovery efforts. Small businesses in affected communities will be eligible to receive loans up to $25,000 which would be interest and payment-free for the first six months, and then carry a 1% interest rate for the following two years.
Eligible businesses can use the funding to cover the costs of replacement and repairs to facilities or equipment, or as working capital needed to restart or continue business operations. In order to receive funding through the program, companies must have filed 2011 business tax returns and have experienced direct damage or economic hardship as the result of Sandy.