Montpelier, VT – The Vermont Economic Development Authority (VEDA) has approved financing of $6.8 million to help Vermont economic development projects totaling $21.4 million move forward.
“VEDA is pleased to help Vermont businesses and farms bring their startup and expansion plans to fruition,” said VEDA CEO Jo Bradley. “The breadth of economic development projects approved for VEDA financing is impressive, covering everything from manufacturing to farm projects, small business startups and energy generation projects.”
Loan approvals by VEDA include:
H. Hirschmann, Ltd., West Rutland – $102,000 as partial financing of a $255,000 machinery and equipment project for which Merchants Bank is also providing financing. H. Hirschmann, Ltd., a designer and manufacturer of custom high-end wood windows and doors, will purchase new machinery to keep up with product demand. A family-owned company, H. Hirschmann was relocated from Germany to Vermont in 1981. Today, the business employs 24 persons, a number expected to grow to 31 within three years of the project.
Loans totaling $2.9 million were approved through the Authority’s Small Business Loan Program, which assists growing Vermont small businesses that are unable to access adequate sources of conventional financing. Approved small business loans include:
- $500,000 to Middlebury Pediatric Dentistry as partial financing toward the construction of a new 3,386 square foot dentistry building on .28 acres of land in Middlebury. The National Bank of Middlebury and the Addison County Economic Development Corporation also are providing financing for the new start-up pediatric dentistry practice, which will create eight new jobs within three years of the project completion;
- Working capital of $350,000 to IBEX Outdoor Clothing, LLC in White River Junction to help the company better integrate improvements in its manufacturing and supply chain with seasonal production cycles. Founded in 1999, IBEX designs, markets, sells and distributes high-quality outdoor clothing, primarily made from New Zealand merino wool. IBEX employs 57 Vermonters, a number expected to grow to 71 within three years of the project;
- $200,000 as partial financing for Vermont Physical Therapy’s project to purchase its own building in Burlington. People’s United Bank is also providing financing for the project. Founded in 2011, Vermont Physical Therapy is a clinic specializing in whole body treatments with a heavy emphasis on postural restoration. The company has two locations – one in Burlington and one in South Burlington – and expects to increase employment from five to nine positions within three years of the expansion project;
- $42,000 to owners of The Bench as partial financing for the purchase of the property the restaurant leases in Stowe. People’s United Bank is also providing financing for the purchase. Established in 2014, The Bench is a casual dining establishment with a focus on serving fresh and local ingredients. Jobs at The Bench are expected to grow from the current 25 positions to 34 within three years of the project; and
- A $31,968 machinery and equipment loan to Smith & Salmon, Inc. of Burlington to help the startup beverage manufacturer increase production of their “Sap” brand non-alcoholic beverages made from 100% pure Vermont maple syrup. Within three years of the project, Sap principals expect to create ten jobs.
Agricultural loans totaling $2.7 million were approved through the Authority’s agricultural loan program, the Vermont Agricultural Credit Corporation (VACC), which provides credit to Vermont farmers, agricultural facilities, forestry and forest product-based businesses.
VEDA also approved $1.1 million in financing through the Authority’s Commercial Energy Loan Program, which helps Vermont businesses finance qualifying renewable energy generation and energy efficiency improvement projects. Together, the two projects approved for VEDA financing will produce enough renewable electricity to power the equivalent of 166 average households, and reduce CO2 emissions by 664 tons each year:
- $750,000 in partial financing to support construction by SSA II, LLC of a 500 KW system on 6.4 acres of land in North Springfield. All the power produced by the project will generate credits on the electric bill for the Town of Springfield via a net-metering agreement with SSA II, LLC; and
- $350,000 in partial financing to support construction by Fair Haven Solar, LLC of a 150 KW system on 1.5 acres of leased land in Fair Haven. All the power produced by the project will generate credits on the electric bill for Shiv Krupa, LLC via a net-metering agreement for use at the Colonial Motel in Brattleboro.
The Vermont Economic Development Authority (VEDA) is Vermont’s nonprofit economic development finance lender. VEDA was created by the General Assembly in 1974 with a mission “to contribute to the creation and retention of quality jobs in Vermont by providing loans and other financial support to eligible and qualified Vermont industrial, commercial and agricultural enterprises.”
Over the years, VEDA has grown and adapted its financing programs to keep pace with an ever-changing economy.
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 1974, VEDA has provided over $2.16 billion in financing assistance to thousands of eligible Vermont entrepreneurs, manufacturers, small businesses, family farms, and agricultural enterprises, helping them to realize their business growth goals, create jobs, and enhance the vitality of Vermont’s economy. For more information about VEDA, visit www.veda.org or call 802-828-JOBS.