GreaterGardner.net

Working Capital for
Massachusetts Businesses

OCTOBER 2008



In This Issue
2008 Fiscal Year End Highlights
Recent Highlight: Southeastern Massachusetts
Mission

The Trust lends working capital to small and medium sized, value-added businesses in the Commonwealth of Massachusetts. By providing loans where traditional financing is not available or where credit is no longer extended, companies are able to implement restructuring plans to create a stable financial future for the company and its employees. The Trust's experienced staff also works hand-in-hand with management to assist in the turn-around of businesses.

Services

The Trust works with companies to evaluate business plans/ opportunities and provide management assistance as well as capital.

The Trust offers Term Loans, Lines of Credit, and in some instances Guarantees for working capital financing. The Trust will participate on a Senior or Subordinated basis, providing viable financing options for a variety of situations.

Eligibility Criteria

Loans are available only to value-added businesses that are based in Massachusetts. Retailers, service firms, restaurants, and real estate businesses are not eligible.

Loans are considered when and if they lead to the financial stability and improvement of the business.

Loan amounts are limited to $10,000 per employee.

The Economic Stabilization Trust completed another successful year executing its mission to provide working capital and management advisory services to credit-challenged manufacturing and value-added businesses throughout the Commonwealth.
2008 Fiscal Year End Highlights

Total Funds Committed
$8.1 million

Private Funds Leveraged
$48.7 million

Total Jobs Supported
1,100


Recent Highlight


Southeastern Massachusetts

A $750,000 Term Loan to a 35-year old niche contract manufacturer.

Substantial increases in raw material costs and technical issues with a new product introduction resulted in operating losses and insufficient working capital. Management implemented price increases and cost reductions that returned the company to profitability. The Trust provided subordinated working capital while the company transitioned to a new senior debt relationship and preserved 85 jobs.

If you know of a company that could benefit from more working capital, please call me at 617-727-8158 x 2233.

Sincerely,

William Delorfano, Senior Credit Officer
Economic Stabilization Trust