Small Business Loan Fund
As in other regions nationwide, New York City small business owners and not-for-profit organizations experienced the tightening of credit as traditional lenders raised the bar for loan applicants. When businesses can’t secure financing, growth grinds to a halt—and local neighborhoods and communities lose jobs and services.
Seedco Financial fills this critical need for small businesses trying to access credit. The financing we offer allows businesses and not-for-profit organizations to continue to invest and sometimes grow, even during the economic downturn. These entrepreneurs are opening new spaces and hiring workers, contributing to the revitalization of their local economies.
Our loans, which target low-income communities, range from $50,000 to $250,000. Since 2005, Seedco Financial has helped more than 700 small business owners receive loans totaling over $46 million.
Results in the community
Our loans have made a big difference for businesses such as Big Apple Performing Arts (BAPA), the umbrella organization for the New York City Gay Men’s Chorus and other groups. It had experienced several years of operating losses and was struggling to find a source of working capital during a challenging financial period. Seedco Financial stepped in and provided an affordable loan to BAPA which helped the group develop a financial stabilization plan.
“Banks and other conventional sources of capital were not willing to provide us with the loan that we needed, but Seedco Financial was there for us,” said David Edelman, Executive Director of BAPA. “Their knowledge of nonprofit arts organizations, their assistance in helping us develop a stabilization plan, and their below-market rate loan were a true blessing. Seedco Financial’s assistance gave us the breathing room we needed and helped position us for future growth.”
Seedco Financial's Small Business Loan Fund provides flexible financing with competitive rates directly to small businesses and not-for-profit organizations in targeted neighborhoods across New York City.
About the Fund
- Loans range from $50,000 to $250,000 at rates of 8 to 10 percent annually.
- Loan terms range from three to five years, but may extend to seven.
- Loan proceeds can be used for working capital needs, leasehold improvements, relocation costs, equipment and inventory purchases, and other uses associated with business expansion.
Eligible Businesses
- Businesses and not-for-profits must employ 100 or fewer employees.
- Must be located in one of Seedco Financial's target areas in New York City, including, but not limited to: the Lower East Side, Chinatown, upper Manhattan, the South Bronx, and several underserved neighborhoods in Brooklyn and Queens.
- Majority-owned by women, members of racial/ethnic minorities, or other disadvantaged groups**, and/or
- Employ majority of workers from low- or moderate‐income communities
* Additional eligibility requirements and exceptions may apply
** As defined by the U.S. Small Business Administration
Other Services
- In addition to lending, Seedco Financial works with partner organizations to offer small businesses a wide range of technical assistance services. These include legal and information technology services, employee recruitment support, and access to financing. Click here for more information on our Small Business Support Services.
Ready to apply?
If you are interested in applying for a small business loan of $50,000 to $250,000, please download our New York Small Business Loan Application and follow the instructions on the cover page.
Questions? Not sure if you qualify? Please complete our Loan Inquiry Form, contact us at: NewYork@Seedco.org or call us at: 877.296.8878.