Officials with Northern Maine Development Commission (NMDC) and the Limestone Development Foundation, Inc. (LDF) have announced on Feb. 14 that NMDC will be handling complete control of the LDF Regional Economic Development Revolving Loan Fund for the town of Limestone.
C.P. Harris, Limestone representative on the NMDC Board of Directors, feels that the transfer of LDF control will mean good things for the towns of Limestone, Caswell and Connor.
“I see it as a positive for the towns and wouldn’t have recommended it otherwise,” Harris said, adding that NMDC’s control of the loan fund will mean assurance that current and prospective businesses will be met with an expedited application process.
The LDF still had an active group of volunteers but, according to Harris, a few weeks could lapse before the necessary board members could convene for a quorum to take place, and time is of the essence when it comes to keeping and attracting businesses to the small communities.
“[NMDC Director of Businesses Finance Division] Duane Walton and I sat down with board members and talked with them [about the transfer of LDF control] as to not losing that financial tool the town has, so that individuals can borrow money to start or maintain a small business and keep that loan fund alive,” Harris said.
This loan program was first awarded by the Finance Authority of Maine (FAME) to LDF on Dec. 22, 1995 for the specific purpose to provide loan funds to small businesses in Limestone, Caswell and Connor with 50 or fewer employees that qualified under one of the following conditions:
• Advanced manufacturing technologies business, such as value added wood products and specialty fabricated metal and electronic products;
• Advanced information systems technologies, such as telecommunications and environmental products services;
• Advanced biological and natural resources technologies, such as aqua-culture, agriculture and biotechnology;
• A business converting from defense dependencies;
• A business significantly engaged in exports of goods and services to locations outside the state;
• A business that dedicated significant resources to research and development activities; and
• Other businesses with five or fewer employees.
The loan fund currently has a value of $144,066.67 with $127,891.23 outstanding in existing loans and $16,175.44 available for new requests. The repayment of current and future loans will be revolved into new loans as that money becomes available. According to NMDC officials, the fund has made loans totaling over $406,198.50 and helped create or retain approximately 50 jobs in these communities to date.
All loan applications will be reviewed and decisions will be made by the Loan Review Committee of NMDC.
Priority will be given to businesses that are involved with value added to raw materials or inventory, long-term net increase for permanent quality jobs that meet local and regional needs and long-term retention of quality jobs or jeopardy of being lost that meet local and regional needs.
Walton, director of the Business Finance Division for NMDC indicated that he, Julie Corey or Eric Scott can be contacted by any business interested in how the LDF fund could possibly benefit them by calling 498-8736 or e-mailing them at dwalton@nmdc.org, jcorey@nmdc.org, or escott@nmdc.org respectively. Business owners can also contact their NMDC representative Harris at 325-4911.
