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Newtek Business Services Corp. HQ relocates to Florida

Newtek Business Services Corp. has moved its headquarters to Florida though it plans to expand its operations on Long Island, where it was the 35th largest public company.

The provider of financing, technology, payroll, insurance and payment processing services declared the headquarters change from Lake Success to Boca Raton in a government filing in January.

Barry Sloane, president, chief executive and chairman of Newtek, said in an interview that operations for the 270 employees in Lake Success, about 60% of the 450-person overall workforce, would continue as usual.

"We have a long-term lease there," he said, adding that plans call for the Lake Success offices to add about 7,000 additional square feet in June or July. "It's a good labor market for us."

Sloane said that Newtek expects to add employees whose workload would translate to 20 full-timers in connection with the expanded work space.

The change in the headquarters designation reflects his "personal preference" to operate out of Boca Raton, where the company has about 70 employees, Sloane said.

In October 2017, Banc-serv Partners LLC, a Westfield, Indiana, unit of Newtek, was raided by FBI agents. In March 2019, five former officers and employees of banc-serv were charged in connection with a $10 million scheme to defraud the Small Business Administration.

Newtek's ranking among Long Island public companies was based on its revenue of $49.5 million in 2018.

Shares of Newtek rose 0.19% to $21.11 at the close of trading Friday.

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