NYS Funding Programs Support Contractors

Two New York State programs are available to offer financial assistance to contractors.

The State Small Business Credit Initiative (SSBCI) is expanding the NYS Surety Bond Assistance Program with $22 million in additional funding. This program is designed to assist small or MWBE contractors gain access to surety bonds. It provides contractors with no cost guarantees of up to 30% or $600,000 (whichever is less) on a bond line or individual contract bid bonds and payment/performance bonds. Contractors will be responsible for paying surety company bond premium charges. Eligibility includes:

• Must be a New York State small business or MWBE with at least two years of business operations. 
• Maximum bond line or project size generally is $2 million. 
• Minimum average gross revenue of $400,000 in each of the last two fiscal or calendar years and maximum gross revenue generally not to exceed $5 million in the most recent calendar or fiscal year. 
• Minimum credit score of 600. 
• Previous experience completing similar work to the contract opportunity being pursued.

Learn more and apply.

The SSBCI is also providing the NYS Contractor Financing Program $22 million for loan loss reserves to incentivize lending intermediaries to create access to capital to support New York State contractors with revenues up to $5 million and fewer than 100 employees. Loans can support working capital, improvement machinery and equipment, or other related costs required to execute those contracts. Loans are in the form of lines of credit or managed lines of credit and terms typically include loans of up to $500,000 and loan periods under 18 months. Lenders may require collateral or other guarantees from the borrower if applicable. Learn more and apply.