Economic growth from within

Our community administers a fairly large, local revolving loan fund capitalized in the order of $1.87 million which has accrued over a period of 20 years since the loan fund was created in 1987.
     loan program, called the “Presque Isle Development Fund” is not a stand alone fund, but must be combined with other funding sources, including the applicant’s local bank loan, which is the primary loan source. These City-administered funds cannot be loaned for more than 25 percent of the total loan package.
The advantage of the revolving loan available through the City is that the city’s monies are loaned at 1.0 percent below the Prime Rate at the time of the loan application is approved. By doing this, the applicant’s “blended” interest rate can make their business venture more economically feasible and more viable for the long term.
Presque Isle’s Planning and Development Department administers the city’s revolving loan funds, working with a local, Presque Isle Development Fund Board of Trustees. Eligible business projects include both profit and non-profit applicants seeking to start or expand retail commercial, agriculture, manufacturing or industrial enterprises within the city limits.
The Presque Isle Development Fund has made approximately 72 loans, totaling more than $4,241,750, to local businesses in the past 12 years, creating or retaining more than 680 jobs in the community. Since this is a local loan fund, the business venture or establishment must be located within the municipal boundaries of the city of Presque Isle.
We mention this loan program because the City believes and wants to encourage economic “growth from within” our community. Small businesses form the core of our local economy. Very often, city residents have the knowledge, interest and capacity to start a new business, but don’t know where to turn for assistance.
A business plan is the place to start. By following a pre-designed business plan, you can focus upon certain factors that all of your financing partners will need to know about the capabilities of your business management team and the depth of your understanding of what it will take to be successful in your newly proposed business venture. We recommend that you take your business idea to your local bankers, discuss it with other business owners and friends, and/or go see the very capable professional business counselors at the Northern Maine Development Commission for assistance in putting together a realistic business plan.
You can also access other excellent sources of information about starting a business by going online, at the U.S. Small Business Administration Web site.
Finally, we recommend that you support your local business community by shopping with them. When you spend your money with a local business, they have reason and motivation to reinvest in our city and an economically thriving business community will grow our community in a positive direction for all of our residents and visitors to enjoy. If we can provide you with more information about Presque Isle’s economic and business development services, please feel free to contact us and we will be glad to help.
    Ken Arndt is Presque Isle’s Director of Planning and Development. He can be reached at 764-2503 or e-mail at karndt@presqueisleme.us.