10/19/2020 - Montpelier, VT – The Vermont Economic Development Authority (VEDA) today announced $5.9 million in approved financing for Vermont businesses and farms during the quarter ended September 30. VEDA also approved an additional $641,000 in Paycheck Protection Program (PPP) loans for 44 Vermont businesses and farms during the quarter before the program ended on August 8.
The PPP program, which was created under the CARES Act and is implemented by the U.S. Small Business Administration (SBA), provides forgivable loans to businesses impacted by COVID-19. Since the program began in April, VEDA has helped 312 Vermont businesses and farms receive over $12 million in disaster relief financing.
In addition to PPP, VEDA has been helping Vermont businesses and farmers obtain grants from Vermont’s share of the Federal Coronavirus Relief Fund created under the CARES Act. Working with the Agency of Commerce and Community Development, the Agency of Agriculture Food and Markets, the Department of Forests, Parks and Recreation, and the Working Land Enterprise Board, VEDA has processed hundreds of grants for businesses, agricultural and forestry enterprises.
“Despite the negative impact COVID-19 has had on our economy, it’s reassuring to see the perseverance and ingenuity of our small business community during this stressful period,” said Cassie Polhemus, Chief Executive Officer at VEDA. “I encourage businesses and agricultural enterprises to reach out to VEDA if they are having difficulty finding financial resources to help recover or remain open.”
The $5.9 million approved through VEDA’s traditional loan programs will help 34 different borrowers around Vermont. VEDA provided financing to ten small businesses this quarter. This includes loans to new owners for the purchase of existing businesses, like café and bakery Vergennes Laundry and Jazzercise Williston Fitness Center, the Swanton Motel and Barre printing company L. Brown & Sons Printing. VEDA also financed two renewable energy projects, two commercial projects and 18 agricultural businesses around the state.
VEDA approved three Affiliate program loans this past quarter, including one for the Brownfields Revitalization Fund, which is being used to remediate a contaminated property in Randolph for KAD Models & Prototypes, a California-based CNC machining company that is expanding to Vermont. VEDA also provided financing through its Small Business Loan Program to help the company purchase the building.
VEDA closed $5 million in new loans during the quarter ended September 30, including $1.7 million in the agricultural sector, $425k for small businesses, $1.1 million in renewable energy, and $1.3 million in direct commercial loans.
The Vermont Economic Development Authority (VEDA) is Vermont’s statewide economic development finance lender. Created by the Vermont General Assembly in 1974, VEDA’s mission is to contribute to Vermont’s economic vitality by providing a broad array of financing programs to eligible businesses that create jobs and help advance Vermont’s public policy goals.
VEDA offers a wide range of low-cost lending options for Vermont businesses and farms of all sizes, and the Authority’s lending solutions are customized to each borrower’s individual needs. Whether in the form of direct loans, tax-exempt bond issuance or loan guarantee support, VEDA’s innovative financing programs help ensure that Vermont businesses and farms have the capital they need to grow and succeed. VEDA most often lends in conjunction with banks and other financing partners, helping to stimulate economic development activity in Vermont.
Since inception, VEDA has provided over $2.5 billion in financing assistance to thousands of eligible Vermont entrepreneurs, manufacturers, small businesses, family farms, and agricultural enterprises.
VEDA has four offices throughout Vermont – in Montpelier, Burlington, Middlebury and St. Johnsbury. For more information about VEDA, visit www.veda.org or call (802) 828-5627.