NEW YORK, N.Y. — Gov. Andrew M. Cuomo on Friday announced a new $100 million working-capital loan program for small businesses and nonprofits that did not receive federal COVID-19 assistance.
The New York Forward Loan Fund (NYFLF) seeks to support New York small businesses, nonprofits, and small landlords as they reopen after the COVID-19 outbreak and the NYS on PAUSE shutdown.
The NYFLF targets the state’s small businesses with 20 or fewer full-time equivalent (FTE) employees and less than $3 million in gross revenue, nonprofits that provide direct services and have an annual operating budget of less than $3 million per year, and small landlords that have seen a loss of rental income.
The applicants must not have received a loan from either the Small Business Administration (SBA) Paycheck Protection Program or SBA Economic Injury Disaster Loan for COVID-19 this year.
The NYFLF is timed to support businesses and organizations as they reopen and have upfront expenses to comply with guidelines (e.g., inventory, marketing, refitting for new social-distancing guidelines) under the New York Forward Plan, according to Empire State Development.
The loans are not forgivable. Recipients will need to pay them back over a five-year term with interest, the state says.
Pre-application for the New York Forward Loan Fund will open on Tuesday, May 26, at noon. ESD says priority will be given to industries that have been reopened. “This is not a first-come, first-served loan program. Applications will be reviewed on a rolling basis as regions and industries reopen,” the agency added.
The New York Forward Loan Fund’s money for small businesses will be allocated as follows:
- Capital Region 4%
- Central New York Region 4%
- Finger Lakes Region 4%
- Hudson Valley Region 12%
- Long Island Region 18%
- Mohawk Valley Region 4%
- New York City Region 30%
- North Country Region 4%
- Southern Tier Region 4%
- Western New York Region 8%
More information on the state loan program is available on the Empire State Development website.