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With the rise of women doing business today in New York, United States of America, more and more financing companies are cropping up. New York is a hub for the entrepreneurs especially in tourism, financial and service sectors. It is known as the financial capital of the world for nothing! New York based businesses are helped by SBA (Small Business Administration) and EDA (Economic Development Administration). There are various SBA programs in the city of New York helping women entrepreneurs secure funding through their business. The participation of women in business has seen about more job opportunities being created in the US. SBA loans The government of the United States of America has set up SBA (Small Business Administration), a federal agency to provide loans to the small entrepreneurs in order to motivate to contribute to the economy. The government has its own set of both private and public lenders willing to work with SBA through which business loans are provided. There are separate conditions that small businesses must qualify in order to be a part of the various SBA Loan programs. The various types of SBA loan programs are: General small business loans 7(a): The most common type of general loan that SBA arranges through its pre-approved lenders. The maximum loan amount is $5 million. There is no minimum loan amount set. Interest rates for the 7(a) loan program are decided between the approved lenders and the applicant seeking an SBA loan and vary according to the time frame and scale of the business. Micro loan program: This program arranges loans up to $50,000 to facilitate small businesses and approved not for profit child care centers to grow. The requirement of the loan again differs from lenders to lenders arranged by the SBA. Collateral or assets of the entrepreneur and personal guarantee are some of the requirements for seeking micro SBA loan program. 6 years is the maximum term allowed for repayment. Interest rates vary from time to time but it generally hovers around 8-13%. Real estate and equipment loans CDC/504: CDC (Community Development Center) loans are provided to finance fixed assets like equipments and real estate development. The loan amounts are approved by the lenders looking at the objectives of the business. CDC loans are more of a community based improvement programs. The fixed assets are used more of a collateral and the interest rates are generally higher than the current market rates. Maturity terms are normally of 5 to 10 years. Disaster Loans: SBA provides loans at low rate of interest where disaster had struck and is declared by the government as a disaster area. Even non-entrepreneurs are eligible for a disaster loan by the SBA for longer periods of time with low interest rates. Office of Women’s Business Ownership The major work of the Office of Women’s Business Ownership is to oversee and authorize Women Business Center (WBC) all across the US. From the help of WBC’s, women entrepreneurs who are economically and socially deprived are offered exhaustive counseling and training sessions on varied topics and languages to help them start their own businesses. Women Business Center (WBC) Established in 1988, The Women’s Business Center was put up by SBA to help women transcend barriers and achieve success. At present there are WBC’s at every state including New York. These WBC’s with SBA district offices and other SBA resource partners nationally are spread over thousand of locations helping women entrepreneurs nourish, nurture and grow successful businesses.
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