JPMorgan Chase provides $ 1 million to lend money to small businesses in Queens and beyond – QNS.com
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JPMorgan Chase announced a contribution of $ 1 million to loan programs for vulnerable minority-owned small businesses in Queens and the Five Boroughs.
In partnership with three community development financial institutions – including Renaissance Economic Development Corporation which has offices in Queens – the bank hopes to help businesses that have been rocked by financial hardship caused by the COVID-19 crisis.
“It was only natural that during this crisis, we set up an emergency loan fund to respond immediately,” said Jessie Lee, CEO of Renaissance. “The fact that JPMorgan was one of the first funders to step in and support this fund, this emergency fund is amazing.”
A JPMorgan study found that 44% of small businesses in the New York metropolitan area have less than 14 days of cash reserve. During the time of the coronavirus, many small businesses are strapped for funds or have already run out of funds.
“Our commitment is to ensure underserved communities are served and have access to capital products that can help them weather the storm,” said Jeanique Druses, program manager at JPMorgan who helped secure the funding. community development financial institutions. “This is what we did before this crisis hit and this is also what we are committed to doing now. ”
To distribute the funds, Renaissance and other community-based financial institutions are looking to businesses with which they have partnered in the past, as well as new businesses located around their offices – Renaissance has two offices in Queens, one in Flushing and one in Jackson Heights.
Thanks to Renaissance, small businesses that lost 25% of their income due to the COVID-19 crisis can apply for a loan from the emergency fund. Businesses can get up to $ 50,000 with an interest rate of 3%, with the first three months deferred. Companies with 50 employees or less, located in Bayside, Flushing, Elmhurst, Jackson Heights, Murray Hill, Woodside or College Point, can apply.
Funds like these are important for small businesses because even the most regular expenses can force a small business to close at a time like this.
“They still have to pay rent. They still have to pay some of their employees, ”Lee said. “This crisis happened to them so suddenly that they didn’t expect it. So they really need the critical capital.
JPMorgan Chase’s $ 1 million investment is part of a larger $ 8.5 million investment that will also go to small businesses in Chicago, Los Angeles, Bay Area and Seattle. Worldwide, JPMorgan Chase is committed to investing $ 50 million in companies around the world.
To apply for a loan through Renaissance, visit their website here.