By Naeisha Rose
Nearly 400 businesses in “The World’s Borough” raked in tens of millions of dollars in federally-guaranteed small business loans, the New York District Office of the U.S. Small Business Administration (SBA) announced last week.
The U.S. SBA closed out this fiscal year by guaranteeing 3,043 loans worth $964,681,900 to small businesses throughout the five boroughs, Long Island and the Lower Hudson Valley. Approximately $161,956,200 loans were issued to 399 businesses; the amount represents 29.6 percent of the $546.5 million in federal loans borrowed by New York City businesses during the fiscal year.
SBA New York District Director Beth Goldberg will, going forward, focus on increasing the number of SBA lenders in rural areas and historically underutilized business zones and will educate the public on its 504 loan, a program that allows small business owners to purchase their own property for as little as 10 percent down, according to the SBA.
The 2018 fiscal year ended officially Sept. 30. Through that period, according to Goldberg, SBA guaranteed $146.8 million 504 loans to small businesses in the New York District. Instead of renting their property, entrepreneurs will have equity in the real estate of their businesses.
“We are really focused on delivering our loan guarantees to Historically Underutilized Business Zones in the coming Fiscal Year,” Goldberg said. “Increasing the number of SBA lenders in these areas and getting more lenders connected to SBA’s Lender Match tool will facilitate these connections for both the small business owner and the small business lender.”
The goal of the initiative is to ensure that small businesses remain viable in New York City and the surrounding area, according to the New York District U.S. SBA spokesman Bailey Wolff.
“Small businesses throughout New York City, Long Island and the Lower Hudson Valley leveraged almost $1 billion in capital that they would not have been able to access without SBA’s loan guarantee program in FY 2018,” Goldberg added. “It’s a great time to be a small business owner, and it’s an especially great time to be a small business owner in the New York SBA District.”
Reach reporter Naeisha Rose by e-mail at nrose