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On Thursday, US Representative Ritchie Torres joined local elected officials and economic development leaders to announce a new $10 million loan program. The financing, approved by New York Empowerment Zone Corporationwill be managed by Bronx Economic Development Corporation in association with Business Initiative Corporation of New York and is provided through Community Advantage Loan Fund from the US Small Business Administration. The maturity of the loan is 10 years, with competitive and flexible interest rates that can range between 2.5% and 6%.
NEW YORK — On Thursday, US Representative Ritchie Torres joined local elected officials and economic development leaders to announce a new $10 million loan program that will support small and medium-sized businesses and entrepreneurs to create new opportunities, expand their operations and access working capital in some of the most disadvantaged neighborhoods in the Bronx.
The financing, approved by New York Empowerment Zone Corporationwill be managed by Bronx Economic Development Corporation in association with Business Initiative Corporation of New York and is provided through Community Advantage Loan Fund from the US Small Business Administration.
“Small businesses are the heart of our neighborhoods and the backbone of our economy, creating jobs and expanding opportunity and prosperity for residents,” said US Representative Ritchie Torres. “The program Community Advantage Loan The $10 million grant will help small business owners and local entrepreneurs access working capital to grow and prosper, strengthen their inventory, and expand their presence to support economic development in communities that need it most. I encourage all small business owners, especially those most affected by the pandemic, to apply to take advantage of this tremendous opportunity that will benefit our entire municipality, where we are open for business!”
Loans will range from $5,000 to $350,000 and can be used to cover expenses such as payroll, inventory purchases, or new equipment. The focus will be on lending to businesses located in the South Bronx and particularly the New York Empowerment Zone, including the Hunts Point, Port Morris and Yankee Stadium neighborhoods.
The maturity of the loan is 10 years, with competitive and flexible interest rates that can range between 2.5% and 6%.
“Small businesses are the foundation of any local economy,” said Diana Ayala, Vice Speaker of the New York City Council. “To nurture economic growth in the Bronx, it is crucial that we direct our focus toward community investment and establish a strong network of small businesses. This loan program serves as a means to accomplish just that: empowering residents with the capital and opportunity to establish businesses within our community. These businesses will not only meet the needs of our residents, but will also draw people from near and far, inviting them to discover what we have to offer in our corner of New York City.”
According to recent data from the Center for an Urban Future, the number of new business apps increased 30% from 2019 to 2021, with the fastest growth rate occurring in The Bronx, which saw a 66% increase. However, the Bronx has long lagged behind in small business loan programs. For example, only 2% of New York City Small Business Services COVID-19 relief dollars were distributed to Bronx businesses.
“The Bronx business community has shown remarkable resilience since the pandemic and is a hotbed for entrepreneurial activity and small business growth,” said Deputy Mayor for Housing,
Economic Development and Workforce María Torres-Springer. “This new $10 million fund will help inject much-needed capital into the entrepreneurial ecosystem to help small business owners and local entrepreneurs grow and prosper in The Bronx.”
You can find additional information about eligibility and the application process here.
2023-08-18 05:47:08
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