The SBA 504 Loan Program provides healthy small and medium-sized businesses with long-term fixed rate financing for the acquisition or construction of fixed assets. Projects are financed through a unique public/private partnership that involves private lenders financing 50% of project costs, MCDC covering up to 40% of project costs, and small businesses investing at least 10% of project costs. By taking a secondary collateral position on project assets, SBA provides a “collateral cushion” for the primary lender and reduces the amount of equity normally required of the borrower.
Advanced Veterinary Care Group, PLLC was started in 2008 by Dr. Eric Larsen and Dr. Dennis Elmer. Advanced Vet is not your traditional veterinary hospital: they offer digital ultrasounds, plated cruciate repair, orthopedic and soft tissue surgery, video endoscopy, digital X-ray, MRI's, acupuncture, animal rehabilitation, and traditional Chinese herbal medicine. Both Doctors graduated from Michigan State University’s College of Veterinary Medicine and have years of experience.
The Doctor’s have been leasing their location for years but had the opportunity to purchase the building. Comparing the costs of a mortgage payment and other expenses of owning a building against rental expenses was immeasurable. Working with their lender at PNC Bank and MCDC to obtain the best possible financing package was seamless. The excellent financing package offered by the SBA 504 Loan Program requiring only 10% down was a perfect fit. They also benefited from a 20-year loan.
For more information on Advanced Veterinary Care Group, PLLC please visit www.advancedveterinarycare.net. For additional information on how Michigan Certified Development Corporation can help fund your business, please visit www.michigancdc.org, Michigan’s #1 SBA Lending Partner!
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Advanta is a family-owned and operated company that began in 1997. Advanta designs and manufactures all types of returnable racks and dunnage (shipping container packaging). They manufacture everything from simple janitorial carts and step stools, to complex shipping racks and containers. They also have plastic corrugated and foam fabrication capabilities in house, in addition to power coating and polyurea coatings. They can repair, alter, clean, and paint equipment to any specification. They can design a new rack from either a supplied part or math data. This project involved the purchase of equipment for work that was previously outsourced. With the help of the MCDC SBA 504 Loan Program, Advanta was able to finance the equipment for 10 years.
Aerospace Risk Management Group is an insurance agency that specializes in aviation insurance. Both Adam Heinlein and Rick Turner are licensed pilots and avid aircraft enthusiasts who purchased Aviation Insurance Agency, and changed the name to Aerospace Rick Management Group, Inc.
Since 2004, they operated out of a leased location where rent was becoming very expensive. By partnering with MCDC and MSU Federal CU, Adam and Rick purchased and renovated a 5,064 sq ft office condominium unit in Grand Ledge. This renovated building gives them ample room for themselves and available tenant space. Now, their mortgage payments are lower than their prior lease payments!
For more information on Aerospace Risk Management Group, please visit www.avnins.net and for additional information on how Michigan Certified Development Corporation can help fund your business, please visit www.michigancdc.org, Michigan’s #1 SBA Lending Partner!
AG Manufacturing assembles electrical wire harness connector components for the automotive and aerospace industries. The manufacturing facility is a well-constructed 55,000 square foot building that features 12 front offices, a large conference room, and 4 truck bays. AG Manufacturing, Inc. is 100% owned by CEO/President, Victor Edozien, who is African-American. He has a B.S. in Electrical Engineering, an M.S. in Engineering, and an M.B.A. in Finance and Operations Management. Victor has over 10 years of experience in strategic planning, revenue growth strategy, acquisition strategies and business improvement in private equity/leveraged buyout situations. Other relevant experience includes working with automotive OEM supply chains on supplier cost and competitiveness improvement. The attractive terms of the SBA 504 Loan Program made this opportunity a reality for Mr. Edozien.
Airpark Plastics, LLC and Vantage Plastics are sister companies that are high volume manufacturing companies taking raw plastic materials and melting them into items such as pipe/tubing, weather stripping, window frames, plastic sheeting, etc. They also offer complete design, prototype, tooling, molding, and fabrication services. Paul Aultman used the MCDC SBA 504 Loan Program in the past to purchase and finance a building in June of 2007. With this new project, Mr. Aultman was able to obtain a low rate loan with only 10% down. This again was made possible through the use of the SBA 504 Loan Program and by partnering with MCDC and Citizens Bank.