The South Eastern Economic Development (SEED) Corporation has recently closed on two small business loans totaling $1.3 million to the Inn on Shipyard Park in Mattapoisett and Reidar’s Manufacturing in New Bedford. The loans enabled the businesses to expand and create 20 new jobs.
The Inn on Shipyard Park received a $526,000 loan under the SBA 504 Program for the purchase of the inn and tavern formally known as the Mattapoisett Inn. The lending team on the project was Lisa Holmes from SEED and Wayne Carvalho of First Citizens Federal Credit Union..
“I had a wonderful experience from my first meeting with Melinda Ailes at the Small Business Development Center through closing the real estate loan with Lisa Holmes and SEED,” stated Nils Johnson, owner of the Inn on Shipyard Park. “I found everyone to be very helpful and efficient in getting the deal completed.”
The inn has been operating as an inn and pub since 1870. In 2005, The Inn on Shipyard Park was established by owners, Nils Johnson and Andrea Perry. The inn facility was recently purchased with financing from SEED and First Citizens Federal Credit Union.
The inn provides a “go to” destination for lodging, drinks, dinner and an evening of live entertainment. The Inn on Shipyard Park is located at 13 Water Street in Mattapoisett. Their website is www.theinnonthepark.com.
SEED provided Reidar’s Manufacturing, Inc. with a $779,000 loan under the SBA 504 Program for the purchase of land and construction of a 21,025 square foot warehouse to expand their manufacturing business. The lending team on the project was Anne Trevisani from SEED and Roger Cabral from Bristol County Savings Bank, which was also involved in the financing.
“At a time when our business needed more space and a new facility, we were able to make it happen, thanks to SEED!” Anne Trevisani was wonderful to work with, making the whole process run easy and smooth.”
Reidar’s Manufacturing was established in 1987 by Reidar Bendiksen. The company manufactures specialized nets for commercial fishing vessels. In addition to making the fishing nets, they also provide net repair services and are a wholesaler of related marine supplies. The business is located at 9 Tarkiln Place in the north end of New Bedford. Their website is www.reidarsmfg.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 5.3 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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