Small Business in New York

The Best States for Small Business Lending: #7 New York, #8 New Hampshire

  • May 4th, 2017
  • Melanie King

National Small Business Week has ramped up with events across the country honoring small business owners and their contributions to the U.S. economy. Lendio supports these small business owners by helping them find the capital needed to fuel their dreams, and this week we’re shining the spotlight on the states where small business is making big waves.

On Monday Lendio announced the top ten states for small business funding, based on several key indicators including approval rates and loan sizes. Based on a sampling of thousands of Lendio’s small business customers from April 2016 to March 2017, New York and New Hampshire rank number 7 and number 8 respectively when it comes to the best states for small business lending. Here’s how small business is taking off in the Empire and Granite States.

New York

The Best States for Small Business Lending: #7 New York, #8 New HampshireThe Small Business Association reports that more New York startups are surviving their first year than ever before, and they’re filing for bankruptcy less. While the cost of living is high in the Empire State, small business owners are thriving in the state’s healthy economy thanks to several tax benefits and incentives targeted at small businesses. One such program, Startup New York, encourages entrepreneurship through tax breaks for expanding businesses. The program offers new and growing businesses the opportunity to operate tax-free for 10 years on or near an eligible university or college campus in the state, providing access to research laboratories, development resources and industry experts.

New York boasts an impressive $1.4 trillion gross state product, a highly educated workforce and a fast-paced business environment that is home to 2.1 million small businesses. From neighborhood coffee shops to tech firms, small businesses in New York employ half of all of the state’s private sector employees. The retail trade sector is New York’s top small business industry, with the majority of these businesses located in Brooklyn and Manhattan.

New York’s Small Business Statistics

  • Total number: 2.1 million
  • Total number of employees: 3.9 million
  • Percent of New York businesses: 99%
  • Percent of New York employees: 50.6%

Top 5 Industries for Small Businesses (number of firms with 1–19 employees):

  • Retail Trade
  • Professional, Scientific, and Technical Services
  • Other Services (except Public Administration)
  • Construction
  • Accommodation & Food Services

 

New Hampshire

The Best States for Small Business Lending: #7 New York, #8 New HampshireFrom a state dependent on cotton, woolen mills and shipbuilding to a tech and tourism-dominant locale, New Hampshire has evolved into a destination for travelers and tech-savvy entrepreneurs alike. Tourism is one of the top business sectors in the Granite State, with outdoorsy visitors from all over the world visiting its Lakes Region for both summer and winter activities. Biotech and medical research companies as well as manufacturing firms also largely contribute to the state’s economy.

New Hampshire’s higher cost of living is offset by higher income levels—the highest average annual salary in the country—as well as the state’s lack of personal income or sales taxes. With a lower-than-average unemployment rate, only 2.7 percent, small businesses must complete to hire and retain skilled workers. The state’s close proximity to larger east coast markets means employers can draw from other nearby labor pools.

New Hampshire’s small businesses now have another way to access to the funding they need through a Lendio franchise located in Northern New Hampshire. Recently launched, Lendio’s franchise model is aimed at reaching out to millions of small business owners across the country on a localized basis to offer face-to-face loan advice and access to the Lendio marketplace for small business loans.

New Hampshire’s Small Business Statistics

  • Total number: 130,939
  • Total number of employees: 286,708
  • Percent of New Hampshire businesses: 95.8%
  • Percent of New Hampshire employees: 52%

Top 5 Industries for Small Businesses (number of firms with 1–19 employees):

  • Construction
  • Retail Trade
  • Professional, Scientific, and Technical Services
  • Other Services (except Public Administration)
  • Accommodation & Food Services

About the Author

  • Melanie King

Melanie King is Lendio’s Director of Public Relations. A lover of the written word, she creates content to inspire business owners and help them discover new ways to grow. She can often be found adventuring in Utah’s picturesque outdoors with her four energetic children.

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