The success of small businesses often depends upon their ability to raise money quickly. However, business owners can find it hard to get small business loans in New York.
The recent NYC Small Business Services – State of Small Businesses Survey numbers the factors holding New York’s small business owners back from realizing their full potential. One of the main findings was that lack of capital could hamper growth. About 12%t of the survey respondents in New York said that access to loans was a major challenge.
This post will explain why it can be difficult to qualify for small business loans in New York. We’ll also tell you the best approach to follow to solve your funding needs quickly and at the least possible cost.
Why is it hard to get small business loans in New York?
Small business loans in New York can be tough to get because of the stringent requirements most banks have:
- Financial statements that meet the lender’s minimum requirements
- Adequate collateral
- A high credit score
- Business projections that convince the lender that you can repay the sum you borrow
Of course, each bank or financial institution will have different rules. But getting your loan application approved can be hard, especially for many small companies.
Here’s what the Small Business Credit Survey – Report on Nonemployer Firms – 2019, issued by the Federal Reserve Bank of New York, says about the ability of small companies to raise the money they need:
32% of nonemployers reported having no collateral with which to obtain financing…
And what about employer firms? The New York Fed’s Small Business Credit Survey – Report on Employer Firms points out that:
- 9% of small businesses applied for loans and didn’t receive any funds at all
- 14% received only part of the money they needed
- Another 9% didn’t apply for a loan because they believed they would not be approved
A Camino Financial loan is right for your business
Fortunately, business owners looking for small business loans in New York have an excellent finance source they can turn to.
At Camino Financial, our motto is, “No business left behind.”
Our business loan specialists are trained to help you find the most suitable financing option for your company. We’ll ensure that you get the money you need as quickly as possible.
Here’s a brief outline of Camino Financial’s small business loans and microloans:
|Camino Financial Small Business Loans||Camino Financial Microloans|
|Annual interest rates||12% to 24.75%||25.5% to 40%|
|Loan payback period||24 to 60 months||24 to 36 months|
|Type of rate||Fixed||Fixed|
|Loan size range||$10,000 to $400,000||$5,000 to $75,000|
|Origination fee (% of the loan amount)||5%||6.99%|
|Early payment penalty||None||None|
|Time from application to funding||3 to 10 days||2 to 14 days|
You can use the money we provide for expenses related to your business. The loan funds could be used to pay employee salaries, purchase raw materials, acquire new or used capital assets, or finance a marketing initiative.
But, how easy is it to get approved by Camino Financial for small business loans in New York?
Our loan application process is easy and quick. Here are some of the factors that can increase your chances of getting approval when you apply for a business loan to Camino Financial:
- Collateral-free loans: You don’t need to provide us with any collateral. This ensures that we can lend to many business owners looking for small business loans in New York.
- Credit history is not required: If you have a low credit score, you’re still eligible to apply. We even accept loan applications from business owners who don’t have a credit history.
- Apply without a social security number: You could be eligible for a loan from Camino Financial even if you don’t have a social security number. An Individual Taxpayer Identification Number or ITIN is sufficient.
- Our minimum requirements are easy to meet: If your business has been in operation for at least nine months and you have a minimum of $30,000 in annual gross sales, you could be eligible for a loan from Camino Financial.
And Camino Financial benefits don’t end there
There are several benefits if you decide to borrow from us. We don’t stop at merely providing you with the funds you need for your business. We truly believe that it’s in our common interest to help your business prosper. We have taken the following steps to put this philosophy into practice:
- You’ll receive our newsletter with practical and actionable tips and advice
- With our loans, you’ll build your credit history and increase your score
- Receive personalized advice from our specialists
Still, need more reasons to borrow from us? If you pay 8 monthly installments on time, you can graduate to a better loan that carries more attractive terms.
Spending small business loans in New York
Business owners can use borrowed funds in many ways. The main reasons small business owners apply for a loan are:
- Expand the business
- Meet operating expenses or strengthen working capital
- Refinance a loan
- Purchasing inventory
- Buying machinery
Camino Financial can provide funds to meet any of these business expenses. Our interest rate is competitive, and our loan specialists will work with you to ensure that you get the loan best suited for your needs.
There’s something else we’d like to tell you. Camino Financial is committed to helping small business owners. We focus on providing underbanked entrepreneurs with funds at a reasonable cost. First-time borrowers to whom we advance funds typically pay 50% less than they would for other alternatives in the market.
A loan with Camino is as easy as 3 steps
Applying for a loan to Camino Financial is a simple 3-step process:
- Submit an online application with basic information. You’ll receive a credit decision instantly.
- Share with us some business documentation. We’ll review it and find the best loan for you.
- Receive the final loan terms and accept them. Funds will be transferred to your account so you can start growing your business.
Businesses in New York need Capital
Small businesses are a crucial part of New York’s economy. They make up 99.8% of the state’s businesses and provide more than half of the private sector jobs.
However, the COVID-19 crisis has had a severe effect on New York’s small firms. New York City has been hit the hardest. A report titled Save Main Street: A Crash Program to Help Save NYC Small Businesses provides details of the impact that the pandemic has had:
- 758,000 private-sector jobs lost in New York City through June.
- Of these, 187,000 were in food services, 71,000 in retail, and 36,000 in personal services.
- 2,800 small businesses closed permanently between March 1st and July 10th.
- A 26.4% drop in small business revenue.
At Camino Financial, we understand the problems of New York’s small business owners. We know the difficulties you are going through, and we’re here to help.
Small Business Loans in New York: Your Time is Now
A timely and reasonably-priced cash infusion can play a pivotal role in allowing a business to survive and prosper. If you need funds, we encourage you to apply for a business loan to Camino Financial. Your loan application will be processed, keeping our motto—No business left behind—in mind.
You’ll get an instant response to your application, and we can provide funding within a surprisingly short time.