The Department of Small Business Services (SBS) and the New York City Economic Development Corporation (NYCEDC) today announced updates on services available to help small businesses recover from Hurricane Sandy. Goldman Sachs, through its Urban Investment Group, matched the $5 million in Emergency Loan Funds provided by the City, increasing the total amount available to $10 million and enabling the City to increase the cap on each individual small business loan 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.
“Given the unprecedented damage Hurricane Sandy caused to businesses, the City of New York is grateful to partner with Goldman Sachs to increase the size of emergency loans available to businesses affected by the storm. The emergency loans are designed to get money to business owners fast so they can repair facilities, replenish damaged inventory or equipment and reopen as quickly as possible,” said Commissioner Rob Walsh. “SBS will continue to work tirelessly with NYCEDC, SBA and other public and private partners to serve New York City businesses as they recover.”
“Small and mid-sized businesses play a critical role in New York City's economy. Assisting them following Hurricane Sandy, therefore, is essential to our recovery," said New York City Economic Development Corporation President Seth W. Pinsky. “Thanks to our partnership with the Department of Small Business Services and Goldman Sachs, businesses impacted by this storm will have access to emergency funds - as well as important services - which, in turn, will allow them to get back on their feet, contributing to the restoration of our neighborhoods and our City.”
“We are pleased to partner with the City to get affordable capital into the hands of small businesses quickly,” said Lloyd C. Blankfein, Chairman and CEO of Goldman Sachs. “Through our program, 10,000 Small Businesses, we know that small business owners are at the heart of every city’s economy and they play an especially vital role in New York City’s vibrancy.”
The Emergency Loan Fund provides up to $25,000 to help small businesses that experienced direct damage through flooding or power outages with capital to cover working capital, repairs and equipment replacement, among other things. Loans are interest free for the first six months and 1% interest for up to 24 months. NYC Business Solutions Centers will coordinate with community-based-organizations in severely affected areas to help businesses with the application process. For more information or to apply, businesses can call 311 or go to www.nyc.gov/nycbusiness.
Small businesses in need of up to $2 million can apply for a Disaster Assistance Loan through the U.S. Small Business Administration (SBA). SBA Business Recovery Centers will be stationed, among other locations, at NYC Business Solutions Centers, to help connect small businesses to applications. NYC Business Solutions staff can also help with technical assistance for loan applications. SBA representatives are currently at the NYC Business Solutions Brooklyn Center and are working on locating in other Centers, as well. For more information on SBA Disaster Assistance Loans, go to www.sba.gov.
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.
The NYC Economic Development Corporation has secured additional temporary office space across the five boroughs for displaced businesses. For a list of available space, supplies, or other services available through generous donations, visit www.nycedc.com/donations.
For employers with workers who lost their jobs or have reduced hours due to the hurricane, the New York State Department of Labor (DOL) is offering Disaster Unemployment Assistance, supplementing New York’s existing unemployment insurance system and expanding eligibility to include individuals who might otherwise not be covered. Coverage includes employees and self-employed people such as small business owners, independent taxi drivers, and vendors unemployed due to hurricane-caused injury, damaged workplace, lack of transportation, and more.
The SBS Business Outreach Team’s Emergency Response Unit (BOT/ERU) will deploy a Large Scale Response Team to assess damages in severely impacted areas in order to best respond to needs. BOT/ERU helps businesses recover after an emergency by offering services including: expediting re-inspection, application, and permit processes; replacing lost or damaged City permits or paperwork; resolving issues with insurance by reviewing insurance policies and working with the New York State Insurance Department; accessing free legal services; and connecting businesses to tax abatements for reconstruction, utility rebates, and other incentives.
Impacted businesses should list everything that was lost or was damaged, take the highest quality photos possible to document everything, use a person to point at a water line on the wall or a fixed appliance/equipment, try to assess the value of each item and if invoices/receipts are available, keep them to document value, and discard perishable/dangerous items, but keep everything else in a safe place to show to insurance companies.
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.” Businesses can also visit an NYC Business Solutions Center in all five boroughs at the following locations:
Bronx: 400 East Fordham Road, 7th Fl. (entrace on Webster Avenue), Bronx, NY 10458
Brooklyn: 9 Bond Street, 5th Floor, Brooklyn, NY 11201
Lower Manhattan: 79 John Street, New York, NY 10038
Queens: 168-25 Jamaica Avenue, 2nd floor, Jamaica, NY 11432
Staten Island: 120 Stuyvesant Place, 3rd Floor, Staten Island, NY 10301
Upper Manhattan: 215 West 125th Street , 6th Floor, New York, NY 10027
Washington Heights: 560 W 181st Street, 2nd Floor, New York, NY 10033
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. Find us on Facebook or follow us on Twitter, or visit our blog to learn more about NYCEDC projects and initiatives.