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This entry was published on 2014-09-22
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Purposes, powers and operation
§ 228-c. Purposes, powers and operation. 1. (a) The purposes of the
NYSBIC shall be to serve the needs of the small business community in
the state of New York. The NYSBIC shall direct its efforts towards
providing small business with start-up, venture, operating or working
capital, particularly where general economic and historical conditions,
such as recent employment displacement caused by international,
national, state, regional, and local economic developments, have
prevented traditional capital sources from extending credit to such
small businesses.

(b) The purposes of the NYSSBIC shall be to provide financing to
facilitate small business ownership by minorities and persons who reside
in highly distressed areas as defined in section two hundred
twenty-eight-b of this article, neighborhood based alliance communities,
and persons eligible for the earned income tax credit under an act to
amend the internal revenue code of 1954, Pub. L. 94-12, 89 Stat. 30
(1975), as amended, and the regulations promulgated thereunder, whose
participation in the free enterprise system is hampered by an inability
to compete effectively for capital in the marketplace due to prevailing
or past restrictive practices provided, however, in approving
applications for assistance, priority shall be given to minorities
residing in neighborhood based alliance communities, designated empire
zones or highly distressed areas. The NYSSBIC shall direct its efforts
toward providing these businesses with start-up, venture, operating or
working capital. The NYSSBIC will adopt an investment policy consistent
with the policy set forth in Section 301(d).

(c) The NYSBIC and the NYSSBIC shall function as licensees and perform
the respective functions set forth in Title III and applicable

2. In furtherance of the purposes set forth in subdivision one of this
section, and in addition to the powers conferred on stock corporations
by the business corporation law, the NYSBIC and the NYSSBIC shall,
subject to the restrictions and limitations contained in this article
and without limiting any power otherwise conferred herein, have the
following powers:

(a) To lend money and conduct other financing transactions at such
rate or rates as may be available to banking organizations licensed
under this chapter; and

(b) To enter such business and financing transactions and arrangements
at such rates and under such terms and conditions as may be permitted to
licensees under Sections 301(c), 301(d) and applicable regulations.