The South Eastern Economic Development (SEED) Corporation has closed on four small business loans in the Brockton area totaling $1.3 million. The loans enabled the businesses to expand and create new jobs.
“In these difficult economic times, we are very pleased to be able to provide financing to Bath Fitter
in West Bridgewater, L & W Auto Body, Inc. in Randolph, Stop N Gas in Brockton, and Shuffain Insurance Agency in Sharon,” stated Maria Gooch-Smith, SEED’s executive director.
SEED Corporation can make small business loans up to $4 million under the SBA 504 Program, and also has $5 million available for loans up to $200,000. SEED has partnered with the Brockton 21st Century Corporation, the Metro South Chamber of Commerce, and the Old Colony Planning Council to establish a loan fund for Brockton businesses.
Recently, Bath Fitter received a loan of $400,000 under the SBA 504 Program through SEED for the purchase of their new 15,000 square foot building. The expansion will create seven new jobs. The participating bank was Rockland Trust.
The new facility is located at 25 Turnpike Street in West Bridgewater. Owners Lisa Mansur and
Eric Bishop established the business in 1990 as a Bath Fitter franchise. The company manufactures and installs one-piece seamless wall system enclosures that can be placed over existing bath tubs. The installation is completed in one day with a life-time guarantee. Their website is www.bathfitter.com.
L & W Auto Body, Inc. received a loan of $520,000 under the SBA 504 Program through SEED
for the purchase of real estate to construct their new 17,000 square foot building. The expansion will create nine new jobs. The participating bank was Randolph Savings Bank.
L & W Auto Body is located at 533 South Main Street in Randolph and offers complete auto body service and repair. The business was established in 1976 by Lester Whynot and Warren Kent, and is now owned by their sons Scott Whynot and Roger Kent. Their website is www.lwautobody.com.
Stop N Gas received a loan of $339,000 under the SBA 504 Loan Program through SEED for the purchase of the 1,924 square foot property they were leasing. The participating bank was Rockland Trust. Owner Ike Asoguh is the day-to-day manager of the gas station and convenience store located at 81 Warren Avenue in Brockton.
Shuffain Insurance Agency received a loan of $35,000 under the Micro Loan Program to purchase furniture, fixtures and equipment and to refinance credit card debt. The business is located at 17 Pond Street in Sharon. Shuffain Insurance offers a variety of products which include: personal and commercial auto insurance; homeowners’ policies; general liability policies; life insurance and worker’s compensation. Their website is www.shuffaininsurance.com.
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. SEED’s portion can range from $80,000
to $2 million for most small businesses, and $4 million for manufacturing businesses, at a fixed interest rate below market for 20 years, currently 5.5 percent.
“Often the cost of financing real estate with an SBA 504 loan is less than the cost of leasing. The major benefit of the program is that it enables a small business to obtain up to 90 percent financing and keep more of its cash for operations,” stated Gooch-Smith.
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.
SEED Corporation is a non-profit economic development organization certified in 1982 by the U.S. Small Business Administration. Under various programs, SEED makes loans from $1,000 up to $4 million to assist small businesses to grow and create jobs throughout the region.
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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