More than 1,000+ Businesses Served in Historic Small Business Services Program, Nearly 80% of Loans Awarded to Minority- or Women-Owned Businesses
Our Bureau
New York, NY
New York City Mayor Eric Adams and New York City Department of Small Business Services (SBS) Commissioner Kevin D. Kim today celebrated that New York City has set another all-time high for the total number of jobs ever in the city’s history, with 4,730,066 total jobs, according to new data released by the New York State Department of Labor.
As part of his administration’s celebration of the city’s economic resurgence and efforts to build more equitable opportunities, Mayor Adams also announced progress on his historic “NYC Small Business Opportunity Fund.” Through the fund, SBS and partners have supported 1,046 businesses with loans totaling more than $85 million in affordable low-interest capital. The fund is the city’s largest-ever public-private partnership fund directed at small businesses.
“When we came into office, we had a clear mission: protect public safety, revitalize our economy as quickly as possible, and make our city more livable for everyday New Yorkers,” said Mayor Adams. “Today, our streets are safer, our sidewalks are cleaner, and we have more jobs than any time in our city’s history. This is what it looks like to stand with working New Yorkers and to build a fairer economy. We will continue to fight for a city where all New Yorkers share in our prosperity.”
One in seven small businesses have started since the start of the Adams administration, along with nearly 300,000 jobs being created. SBS’s Workforce1 Career Center system has also helped hire and place more than 44,000 New Yorkers in jobs during that same time period. According to the New York City Economic Development Corporation (NYCEDC), since the first few months of 2022, small businesses with fewer than 50 employees have accounted for 45% of New York City’s overall employment growth and have contributed more than $3.2 billion in direct economic output to the city.
The Small Business Opportunity Fund launched in January 2023 with $75 million committed by the city and partners, including Goldman Sachs and Mastercard Center for Inclusive Growth, offering loans of up to $250,000 to eligible small businesses with a market-leading interest rate of four percent. The fund was designed to broaden access to capital for historically underserved communities by removing barriers such as application fees and minimum credit scores. As a result, approximately 80% of the fund’s loans were awarded to minority- or women-owned businesses, including 69% to businesses owned by Black, indigenous, and people of color-owned firms, more than double the national average for Fiscal Year 2023. Additionally, 59% of loans were disbursed in low to medium-income communities. Loans awarded from the fund averaged $80,000 and are being used by small business owners to refinance existing high-interest debt, expand into new storefronts, hire more New Yorkers, and fund other improvements to their enterprises.
“In recovering the nearly one million jobs we lost during the pandemic – more than a year ahead of schedule – and now setting a new record for the most total jobs in our city’s history, it’s clear that New York City is back and better than ever. But our work is not finished until every New Yorker can take advantage of the opportunities our city has to offer,” said Deputy Mayor for Housing, Economic Development, and Workforce Development Maria Torres-Springer. “In addition to investing in our young people, embarking on a historic community hiring effort, and helping New Yorkers keep money in their pockets through the Earned Income Tax Credit, we are also making big investments in our small businesses. Access to capital is one of the biggest hurdles preventing our local entrepreneurs and business owners from fully realizing their potential, and this is especially true for our minority- and women-owned business owners. I am grateful to Commissioner Kim and our partners at Goldman Sachs and the Mastercard Center for Inclusive Growth for their leadership in delivering record amounts of capital to more than a thousand businesses through the NYC Opportunity Fund.”
“The $85 million Opportunity Fund made a real impact on our neighborhoods and commercial corridors at a time when they needed it most,” said SBS Commissioner Kevin D. Kim. “These loans aren’t just dollar signs, but investments in the people and communities that make New York City the place we all know and love. Each of the more than 1,000 business owners we awarded loans to has a story to tell, families they cherish, and neighborhoods that they support. I want to thank Goldman Sachs, the Mastercard Center for Inclusive Growth, and all of our Community Development Financial Institutions’ partners for making the largest public-private partnership in our city’s history possible and for joining us in building the City of Yes for small businesses.”
