Troops on the British front
It enabled them to increase their power over the trade business creating a complete monopoly which in turn led even to military expansions. Eventually, it led to the complete fall of Mughal empire and establishment of East India Company as the rulers of colonial India.
The Loyalists were the people who remained loyal to the British Crown rather than were in favour of independence.
The Loyalist were on the average older and partially also richer: they were better established and therefore a change would be a risk for them. This was their reason: they were afraid of change and of loosing their position.
I believe it was Ecuador, based on this government file released by the cia:
https://www.cia.gov/library/readingroom/docs/DOC_0000437007.pdf
