September 11, 2013, Avon, MA- GAI Engineering received a $263,000 loan under the SBA 504 Program through SEED for the purchase of a 14,994 square foot building, which will enable the small business to expand and create five new jobs. The lending team on the project was Lisa Holmes from SEED and Robert Kenworthy from Bank of America.
GAI Engineering is a forensic engineering firm specializing in origin and cause investigation, failure analysis, accident reconstruction and other technical support for insurance companies, law firms, manufacturers, fire investigation companies and private parties. The business is located in Avon was established in 1934 and was purchased by current owner, Andrew Williams’ father in 1989. Andrew purchased GAI from his father in 2003 and has owned and operated the business for ten years. For more information, visit their website at www.gaiengineers.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 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 5.72 percent.
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. SEED is also a Community Development Financial Institution (CDFI) under the U.S. Department of the Treasury. Under various programs, SEED makes loans from $1,000 up to $5.5 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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