The South Eastern Economic Development (SEED) Corporation has recently closed on two small business loans totaling $345,000 to AVO Fence and Supply in Stoughton, and the Parched Painter in Walpole. The loans enabled the businesses to start-up, expand and create eight new jobs.
AVO Fence and Supply, Inc. received a $315,000 loan under the SBA 504 Program for the purchase of the building where they currently operate at 50 Washington Street in Stoughton. The project will create five new jobs. The lending team on the project was Laurie Driscoll of SEED and Claudia Rocha from Rockland Trust, which was also involved in the financing.
“I really enjoyed working with Laurie Driscoll and the entire team at SEED Corp,” stated Andrew Knott, owner of AVO Fence & Supply. “Everyone at SEED provided support throughout the process. I highly recommend SEED to new and established businesses for their financing needs.”
The fence manufacturing company originated in 1975 and was purchased in 2012 by current owners Andrew Knott, Ronald Porcaro, and Michael Payne. AVO manufactures, retails and retails/wholesales four types of fencing, including cedar, vinyl, aluminum and chainlink, as well as decorative accents, and mailbox and lamp posts. In addition to their office in Stoughton, the company also operates two satellite locations in Hingham and Plymouth that include fence displays and pick up for wholesale orders. Their website is www.avofenceandsupply.com.
The Parched Painter, LLC received a $30,000 micro loan for working capital and to assist in the purchase of equipment for the start-up paint bar located at 85 West Street in Walpole. The loan enabled the business to start-up and create three new jobs. The lender for the project was Laurie Driscoll from SEED.
“I found the SEED staff to be very helpful. They made the loan process enjoyable,” stated Alison Bancroft, co-owner of the Parched Painter. “With SEED’s help my husband and I were able to start-up our BYOB ‘Paint and Sip’ studio in Walpole.”
Joining the growing “paint and sip” trend, the Parched Painter is a unique artist studio that offers instructor-led acrylic painting sessions in a fun and relaxing environment. The studio holds regular classes, drop-in painting hours, and private events for people of all ages and abilities. Owners Alison and Richard Bancroft hope to build upon the current paint and BYOB model while adding new activities to set their company apart. Their website is www.theparchedpainter.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 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 atwww.seedcorp.com.
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