Monthly Interest Rates
and Other 504  News
May 2017
May 2017
Interest Rates
20 Year Standard
20 Year Refinance
 10 Year Standard
 10 Year Refinance
25-Year Debenture Announcement!
SBA officials announced last week at an industry conference that the Office of Management and Budget (OMB) has cleared the way for the issuance of 25-year debentures in the SBA 504 loan program. This structure has long been sought by the industry to provide its small business borrowers a longer-term option in addition to the existing 10 and 20-year loan products.   Improved cash flow is of vital interest to all businesses, especially those served by the 504 program, and the longer maturity is a vehicle that can serve that purpose. 

The new 25-year debenture is a FY18 initiative, and the details are being finalized by SBA and the other parties involved in the debenture funding process. While specifics of the timeline for the launch of the 25-year debenture were not discussed, due to the number of parties involved in this new issuance, it is likely the launch will not occur until after the first quarter of FY18.

Michigan's 50 Companies To Watch

The 2017 Michigan Celebrates Small Business event was held on Thursday, May 4, 2017 in Lansing, MI.   Small business owners and supporters came from all across the state to show their support for the winners and Michigan's growing companies. Approximately 60 companies were nominated for the Michigan's 50 Companies to Watch award, three of which are EDF Customers.  

Congratulations to:

Image360 - Traverse City
Latitude 42 Brewing Company - Portage
Stone House Bread - Traverse City 

Companies nominated for the Michigan 50 Companies to Watch award must be second-stage companies, defined as having six to 99 full-time-equivalent employees and generating $750,000 to $50 million in annual revenue or working capital from investors or grants. In addition, the companies must be privately held and headquartered in Michigan.

Featured Funding!
Rockford Package Supply

EDF  recently worked with Huntington National Bank to fund Rockford Package Supply! Howard Paulson, son of the founder Lloyd Paulson, is the current sole owner and President of Rockford Package Supply.  The 504 program assisted Howard in the construction of a new distribution facility located at 1080 Vitality Dr. NW, Comstock Park, MI.  They built the new building to better accommodate their customer base as they have outgrown their current location.

Rockford Package Supply, Inc., founded in 1959, distributes a broad range of packaging to both the wholesale and retail fresh produce industry. The wholesale operation makes up 60% of their business, which is 100% West Michigan apples, cherries, blueberries, and vegetables.  Products include paper totes (apples), roll bags (fresh produce at the grocery store), produce cartons, bakery (caramel apple trays, donut clamshells, and pastry clamshells), drawstring bag (apples), cider packaging, and berry clamshells.  Retail makes up 40% of revenue and those sales are in the eastern US. Rockford Package Supply, Inc. sells their cider bottles for virtually all of the eastern US.

" The  EDF  team was very thorough and patiently guided us through all the documentation requirements.   They were very knowledgeable and they anticipated each step of the process. I highly recommended the SBA program through Economic Development Foundation to anyone who is considering new opportunities."

 - Howard Paulson, President
Rockford Package Supply, Inc.

Bradd Pierce of EDF collaborated with Jason Poll, Howard's lender from Huntington National Bank, to finance the construction of the new building.  The SBA 504 program allowed Mr. Paulson to finance construction at a low fixed interest rate for 20 years and only 10% equity into the project.  Howard said, "The team at Economic Development Foundation were excellent partners on our new facilities project.  We combined four facilities into one high-efficiency building located much closer to our customer base.   EDF's participation in our building project allowed us to substantially reduce operating costs and provided us with the facility that we needed to expand our business. The EDF team was very thorough and patiently guided us through all the documentation requirements.   They were very knowledgeable and they anticipated each step of the process. I highly recommended the SBA program through Economic Development Foundation to anyone who is considering new opportunities."

To learn more about the benefits of the 504 Loan or how  EDF  can assist you or your clients, please visit our website at    or call our office at (616) 459-4825 .

Rockford Package Supply, Inc. - 1080 Vitality Dr. NW, Comstock Park, MI  49321
EDF's Lender
Leader Board
EDF  would like to thank all of the lenders that have had loans authorized with us so far this fiscal year.  At the end of our fiscal year (9/30/17), the lender and lending institution with the most loan approvals will receive our Lender of the Year Award. Monthly,  EDF  will start posting this information so you can see where your bank ranks!

Lender Name
Number of Loans

Traverse City State Bank
10 Loans
Huntington Bank
5 Loans
Grand River Bank
4 Loans
Chemical Bank
4 Loans
Macatawa Bank
2 Loans
West Michigan Community Bank
2 Loans
Chase Bank
1 Loan
Choice One Bank
1 Loan
First Community Bank
1 Loan
First National Bank of MI
1 Loan
Honor State Bank
1 Loan
*Totals are as of 4/30/17
32 Loans

Do you want to see your name on this list?  We do too!  If you have a project that you would like to discuss, please call either Bradd Pierce  or Gary Witkowski.   Bradd can be reached at  (616) 323-1277 or  and  Gary can be reached at (616) 323-1275 or .
Staff Directory

The EDF team consists of eight professionals with many years of SBA 504 experience combined, so please put our expertise to use and call us with any questions you may have about the program.

Pictured from Left to Right

Julie Parker
(616) 323-1276
Gary Witkowski
Loan Officer
(616) 323-1275
Bradd Pierce
Senior Loan Officer
(616) 323-1277
Matt Mankivsky
Junior Loan Officer
(616) 323-1278
Kyle Wilson
Servicing Manager
(616) 323-1272
Abbey Byrne
Closing Manager
(616) 323-1274
Laura Seromik
Closing Specialist
(616) 323-1273
Amy Dubridge (not pictured) Junior Loan Officer (616) 323-1279

Economic Development Foundation
1345 Monroe Ave NW
Suite 132
Grand Rapids, MI 49505