Hello All,
Financial Assistance-- Revolving Loan Funds (RLFs)
One of the questions we hear the most is “where do I get money for my business?” Indeed,
access to capital
is a perpetual challenge facing new and existing businesses in southwest Montana. Due to a host of factors, new and existing rural businesses have historically faced a steeper climb to obtain traditional bank commercial financing. In addition, these businesses typically have more difficulty in attracting capital via non-debt options, such as private 3rd party equity investors. These challenges leave many promising businesses with limited financing options.
Fortunately, at Headwaters RC&D we help expand the opportunity for success by providing access to non-traditional capital through our Revolving Loan Fund programs.
Revolving Loan Funds, known as RLFs, are a financing tool that replenish themselves through the repayments of borrowers. RLFs are pools of money initially capitalized through governmental or private investment that replenish from the payments of borrowers. Note that these funds
are not
small business grants-- they need to be paid back. In order to qualify for a RLF loan an applicant needs to have a feasible business plan, demonstrate ability to repay the debt, and have sufficient collateral available to secure the loan. RLFs are designed to offer financial assistance to the businesses that show a reasonable chance of success, improve our communities, and create new jobs.
At Headwaters our loan programs are designed to offer financial assistance for a variety of needs, including: real estate acquisition, business construction & expansion, building and facade improvements, leasehold improvements, equipment purchases, micro-loans, startup costs, and working capital. Due to increased risk, our interest rates tend to be slightly higher than a bank, although we work with clients to offer longer-term and fixed rates that often result in a more manageable monthly payments.
In our experience Revolving Loan Funds (RLFs) are one of the best development finance tools available for small businesses in Southwest Montana. RLFs are attractive for startups and small-to-midsize businesses seeking additional capital. Furthermore, RLFs can be used as
gap financing
or as a capital magnet in the capital stack. Simply put, RLFs help deals get done.
Please reach-out to our team if you would like to learn more about Headwaters’ financial assistance programs and if you think a RLF loan may be a good fit for your business.
Hope all is well and your business is off to a prosperous 2019!
Best Regards,
Adam Benson
Director of Loan Services
Headwaters RC&D
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Headwaters RC&D Success Story of the Month
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Tim and Ryan Antonovich, Owners of Marathon Machine Works LLC
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In early 2017, Tim Antonovich approached the SBDC Center at Headwaters RC&D about purchasing a local machine shop. This business had been in operation for 15 years and had been very successful. Tim was working at Montana Resources and had obtained his degree in Welding and Metals Fabrication. He had always dreamed of opening a metal fabrication business of his own. Purchasing this business would allow him the opportunity to invest in a career he had wanted to pursue and also serve the community. After our initial first few meetings, Tim realized he needed a business partner. Someone he could build the business with and trust to operate the business the way Tim felt was crucial to continue success. He approached his brother Ryan who was an engineer at the mine. Ryan was excited about the chance to work with his younger brother and to contribute his industry knowledge to the business. For both Tim and Ryan it represented the best of both worlds as they could still serve the mining industry and also offer their services (welding, machining, and fabrication) to the community and surrounding areas of SW Montana. Julie worked with Tim and Ryan to purchase the business. They met every 2 weeks to complete the business plan and cash flow and relied on Julie for guidance through the process of purchasing the business. In January 2018 the purchase was complete, and since taking over the business they have already added 1 new employee and have grown their overall sales forecast. Tim and Ryan were awarded Young Professional of the Year at our 3rd Annual Local Tastes Dinner, fall of 2018.
“Everyone, at some point in their career, imagines going out on their own and working for themselves as small business owners. Most don’t realize the amount of work it takes. We began working with Headwaters RC&D, specifically Julie Jaksha, in mid-2017. Business acquisition was foreign ground for us and the staff at Headwaters was very professional and knowledgeable. They helped us with every step of the process and Julie was/is an absolutely amazing advisor. In January of 2018, we successfully acquired Marathon Machine Works. We are certain we could not have acquired our business without the help from Julie and Headwaters RC&D.”
~ Tim and Ryan Antonovich Owners Marathon Machine Works LLC
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Come help us celebrate the entrepreneurial-spirited women of Butte on International Women's Day (March 8th) at the Thornton Building Ballroom (65 E. Broadway.) We encourage the women business owners & entrepreneurs to introduce themselves to the community while we raise a glass and celebrate their success and future successes.
Open house from 5-7pm. Toast at 6 pm. $10 per person. Bring business cards.
Food & Beverages sponsored by Taco Del Sol and Headwaters RC&D
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9-3PM | Twin Bridges Community Center
501 N. Madison, Twin Bridges
$25PP OR $35 Per Couple
Learn more about:
- Budgeting and credit
- The mortgage process
- Down payment assistance & closing cost programs
- Homeowners & title insurance
- Other aspects of homeownership
Register by emailing Courtney Edwards at: [email protected] or by calling 406-533-6781
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Headwaters RC&D and the Butte Local Development Corporation (BLDC) are excited to announce the kick-off meeting for their new Brownfields Development Program. The meeting will be hosted in the 2nd-floor conference room at the Thornton Building, 65 E. Broadway, at 12:00 P.M.
Headwaters RC&D has received funding from the
Environmental Protection Agency (EPA)
to conduct Phase I and II Brownfields assessments in the seven-county region and will be soliciting eligible projects beginning immediately. The funds are applicable to sites that have been impacted by petroleum as well as hazardous materials and are designed to support the redevelopment of the property, leading to economic growth.
This meeting will include staff from Headwaters RC&D, the BLDC, as well as the Department of Environmental Quality and both contractors. The meeting will include an introduction to the program, identification of potential sites, as well as an opportunity to ask questions of the experts.
Should you have any questions, please do not hesitate to contact the undersigned. Thank you for helping to promote this very important meeting about the new Headwaters Brownfields program.
Beverages and snacks will be provided.
For more information please send us a message.
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Join us for our 3rd-Tuesday Meet-up in Dillon. We will be joined by Cole Mack, Special Programs Coordinator for the Registered Workforce Service Division under the Department of Labor and Industry. Refreshments will be provided.
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SBDC Day is a national, collective proclamation of the success and impact America’s Small Business Development Centers (SBDCs) have across the nation in economic development and the small businesses community. The third annual America’s SBDC Day will take place on Wednesday, March 20, 2019.
SBDC Day will unite the nearly 1,000 SBDC centers across the country and the hundreds of thousands of clients they serve by sharing, in real time, the success stories and notable impacts SBDCs collectively have on the small business community at large. Share your SBDC story using
#SDBCDay
to join the conversation!
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Join us for our first kick-off meeting for the new Headwaters Brownfields Program in Boulder! We'll be hosting the event with our partners at the Jefferson Local Development Corp. and will be discussing the opportunities that the program has for redevelopment in Jefferson County.
The program is designed to help spur development through assessing contaminated properties, so if you work in banking, real estate, development or contracting, this is for you!
Beverages and snacks will be provided.
For more information please send us a message.
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Headwaters RC&D, Small Business Development Center (SBDC), and Disadvantaged Business Program (DBE) will be offering a 2 day class for beginning to intermediate QuickBook users. The class will be held on April 3rd & 4th, 2019, from 9 AM - 4PM, both days, in Boulder, Montana. The building location is TBD at this time. This class will cover accounting in QuickBooks, customer/vendor menus, payroll, banking, reports, and 1 hour of one-on-one follow up session.
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In recognition of National Economic Development Week, we will be hosting a week full of economic development-themed events, workshops, training, and more. This is a collaboration between local, state-wide, public, private, education, and government partners to educate and elevate Butte-Silver Bow's economic growth through educational training and opportunities to connect with resources, employers, and workforce.
We look forward to releasing details on the programming to the public soon. Stay tuned by providing your email below:
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We are gearing up for the 4
th
Annual Innovate Montana Symposium, held this year in Butte, Montana. As we are diving into the planning process we would appreciate hearing your thoughts on how we can make this Symposium the best it can be. Please give us some feedback:
InnovateMT Survey
(It takes only a few minutes).
Stay tuned for the ticket release date
HERE.
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HEADWATERS RC&D
65 E. BROADWAY - 5TH FLOOR | (406)-533-6781
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