NYC Capital Access (Cap Access) is a loan guarantee program that enables banks and community development credit unions to make loans to micro and small businesses that do not meet the criteria for conventional bank loans. Term loans and lines of credit, ranging from $1,500 to $1 million, may be used for working capital, real estate acquisitions, machinery and equipment, and physical improvements to real estate.
Cap Access establishes a loan loss reserve account in a participating bank or credit union's lending portfolio, thereby enhancing a borrower's ability to borrow at favorable terms. The program provides incentives for institutions to lend in low and moderate income areas. |