The Department of Small Business Services (SBS) and the New York City Economic Development Corporation (NYCEDC) today announced a set of services available to help small businesses recover from Hurricane Sandy. SBS will serve as the primary point of contact for an emergency loan program, and will deploy the SBS Business Outreach Team and Emergency Response Unit’s Large Scale Response Team to help reach all impacted small businesses in need of assistance.
Update 11/8/12: Goldman Sachs, through its Urban Investment Group, has matched the $5 million in emergency loan funds, increasing the total amount available to $10 million. This increases the cap on each individual small business loan to up to $25,000. For businesses in need of loans of up to $2 million, NYC Business Solutions Centers, among other locations, will be hosting the U.S. Small Business Administration (SBA) Business Recovery Center to provide one-on-one technical assistance for SBA loan applications.
Additional space for displaced businesses, and other donated supplies and services are now available in all five boroughs, and the SBS Business Outreach Team’s Emergency Response Unit will be deployed in the coming days to reach impacted businesses and assess and assist with their needs.
The full set of services include:
For small- to mid-sized businesses that have experienced business interruption, $5 million is available through an emergency loan program. Loans will be capped at $10,000. Businesses should contact NYC Business Solutions staff to find out more about the application and intake process. NYC Business Solutions Centers will also coordinate with community-based-organizations in severely affected areas to help businesses with the application process.
For mid- to large-sized businesses that need to begin recovery, an emergency sales tax letter from New York City Industrial Development Authority (IDA) will be available allowing forgiveness of New York City and New York State sales taxes to businesses on materials purchased for recovery efforts. IDA will also waive all fees and, while following State law, look to streamline its normal procedure. This program is expected to offer economic benefits to reconstruction projects costing $500,000 or more. Businesses can contact Shin Mitsugi at firstname.lastname@example.org for further information on this program.
For any business temporarily displaced from its space, short-term "swing" office or storage space at Brooklyn Army Terminal (BAT) is available free of charge for the next 30 days. NYCEDC has approximately 40,000 square feet of warehouse space at BAT that can be used for this purpose. Businesses in need of this space can seek additional information at www.nyc.gov/nycbusiness. Temporary space is also available at the Sunshine Bronx business incubator, one of the incubators within the City’s network, on a walk-in basis. The incubator is located at 890 Garrison Avenue in Hunts Point. In addition, NYCEDC is presently working with external partners, including the Partnership for New York City, to match displaced businesses with vacant properties in commercial space in order to get them up and running again. A website to help these businesses facilitate the program will be established in the coming days.
Federal Aid Programs for State of New York Disaster Recovery Loans are available up to $2 million for business property losses not fully compensated by insurance, and for small businesses, small agricultural cooperatives and most private, non-profit organizations of all sizes that have suffered disaster-related cash flow problems and need funds for working capital to recover from the disaster. More information can be found at www.DisasterAssistance.gov, or 1-800-621-FEMA (3362). Information from the Federal Small Business Administration on disaster recovery assistance is also available at www.sba.gov.
All businesses in need of assistance due to Hurricane Sandy should contact NYC Business Solutions by filling out a Contact an Account Manager form at www.nyc.gov/nycbusiness or calling 311 and asking for “NYC Business Solutions.” More information can be found at www.nyc.gov/nycbusiness.
About the Department of Small Business Services
The Department of Small Business Services (SBS) makes it easier for businesses in New
York City to start, operate and expand by providing direct assistance to business owners, fostering neighborhood development in commercial districts, and linking employers to a skilled and qualified workforce. For more information on all of SBS’ services, go to www.nyc.gov/sbs
About the New York City Economic Development Corporation
New York City Economic Development Corporation is the City's primary vehicle for
promoting economic growth in each of the five boroughs. NYCEDC's mission is to stimulate growth through expansion and redevelopment programs that encourage investment, generate prosperity and strengthen the City's competitive position. NYCEDC serves as an advocate to the business community by building relationships with companies that allow them to take advantage of New York City's many opportunities. http://www.nycedc.com/