The South Eastern Economic Development (SEED) Corporation has recently closed on loans to Bobby Pins Salon in Cranston, Barrington Automotive Inc. in Barrington, and The Edge Fitness for Women in Cranston. The loans totaling $273,000 enabled the businesses to expand and create six new jobs.
“These three unique businesses are great examples of the SBA and its lending partners being able to support the state’s small business community” said SBA Rhode Island District Director, Mark S. Hayward. “Small business is the backbone of Rhode Island’s economy, it’s fantastic to see SEED using a variety of our lending programs to help these businesses expand and thrive.”
Bobby Pins Salon received a $40,000 micro loan for the purchase of the existing salon as well as furniture, fixtures, and equipment. The loan will allow the business to create two new jobs. New owner Diana Damian has been with Bobby Pins Salon since 2011 and has over twenty years of experience in the beauty industry.
“I had such a great experience working with SEED throughout the loan process,” stated Diana Damian. “Angela and Tamarah were great to work with and provided me with the assistance I needed to move my loan through in a timely manner. I was pleased to have the opportunity to meet them both at closing after working so closely together.”
In addition to providing haircuts, colors, blowouts, and specialty occasion hairstyles, Diana will introduce a complimentary “bundle” package with the nail salon next door. As the only Aveda salon in the area, Bobby Pins Salon will also offer clients free head and hand massages with every service that uses Aveda oils. The business will be open Tuesday through Thursday from 10 a.m. to 8 p.m. as well as Friday and Saturday from 9 a.m. to 5 p.m.. The SEED lender was Tamarah Bacon.
SEED provided Barrington Automotive, Inc. with a $188,000 loan under the SBA 504 Program for the purchase of a 4,182 square foot building, as well as a $30,000 micro loan for working capital. The loan will enable the business to create three new jobs.
Barrington Automotive has been in operation at its current location since 1940 and has secured a loyal customer base in the area. New owners George and Jad Dib have over 20 years of combined management and industry experience and will continue to provide clientele with all the services currently offered by the repair shop, including general automotive repair, oil changes, and tire sales and services. The business is located at 235 New Meadow Road and will be open Monday through Friday between 8 a.m. and 5 p.m.. The lending team was Laurie Driscoll from SEED and Edward Petras from Mechanics Cooperative Bank.
SEED provided The Edge Fitness for Women, LLC with a $15,000 micro loan for working capital, which will allow the business to grow and create one new job. The fitness studio was started in 2012 by owner Natalina Earls and offers members a unique fitness experience by promoting a healthy body image and emphasizing the importance of individualized workout routines.
The business is open seven days a week and provides members with small group classes, such as Barre, Spin, Kickboxing, and TRX. Natalina also offers personalized fitness instruction, exercises specifically designed for children, and boot camp workouts. The SEED lender was Tamarah Bacon. Visit their website at www.theedgefitnessforwomen.com.
As an SBA micro lender, SEED can make loans from $1,000 to $50,000 for working capital, inventory, machinery and equipment, furniture and fixtures and refinancing business credit card debt. SEED has small loan funds available specifically for Brockton based businesses. The interest rate is at 6 percent fixed for six years with no prepayment penalty.
SEED can also lend up to $200,000 for working capital and other uses. The term on the loans is up to 10 years with longer repayment periods, if necessary. Interest rates range from 5 percent to 6 percent fixed depending on whether there is bank participation.
Under the SBA 504 Program, SEED can provide up to 40 percent of the financing needed behind a bank for the purchase of buildings and equipment with a life of 10 years. SEED’s portion can range from $120,000 to $5 million for most small businesses, and $5.5 million for manufacturing businesses, at a fixed interest rate below market for 20 years, currently 4.91 percent.
SEED Corporation is a non-profit economic development organization certified in 1982 by the U.S. Small Business Administration. SEED is also a Community Development Financial Institution (CDFI) under the U.S. Department of the Treasury.
For more information about the SBA 504 Program and other SEED loan programs, please call 508-822-1020 or visit SEED at www.seedcorp.com.
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