If you have a project that will create or retain jobs in Southeast Alaska, Juneau Economic Development Council could be the lender you've been looking for.

We are a non-profit financial institution created to fund development in Southeast Alaska.

It is often very difficult for new businesses and businesses in depressed industries to get the financing they need to get started and so Juneau Economic Development Council launched the Southeast Alaska Revolving Loan Fund in 1997 to bridge the gap between what banks will finance and what the business community needs. Our goal is to provide financing for viable projects that will create and retain quality jobs and help to diversify local economies in Southeast Alaska.

JEDC operates several community-based loan funds and one region wide loan program that serves smaller communities throughout Southeast Alaska. Our total loan capital is about $4 million with about half that for projects in Juneau.

We fill the gap between entrepreneurial and bank financing.

JEDC offers direct loans at a fixed rate and with terms that can be structured to fit a new business' cash flow. JEDC stretches its loan funds by lending cooperatively with commercial banks and other public loan programs to maximize available financing and arrange the overall best terms for its borrowers. JEDC can take a junior lien position in collateral provided there is sufficient collateral overall to secure its loans and the business' projected cash flow will support repayment in 3-5 years.

We provide hands-on assistance.

JEDC provides ongoing technical assistance to businesses in areas such as financial planning, marketing and operations. This means that start-ups have the best possible chance to survive, grow and succeed.

Loans from JEDC really do make a difference in Southeast Alaska.

From financial data we collect from our borrowers, we know that our clients are helping to sustain Southeast Alaska's economy and to help economically disadvantaged borrowers.

Some other metrics that show the economic impact of JEDC loans include:

- Total payrolls paid by JEDC borrowers through 2004: $22.5 million with $6.2 million in 2004 alone.

- Net job growth, expressed as full-time, year-round equivalent positions: 87.33 for all borrowers. Many of these jobs are seasonal, so this benefit affects many times more workers. Note that 64% of the companies we have worked with are start-up companies, which could not have obtained financing without the JEDC.

- Total sales and other revenues generated by JEDC borrowers through 2004: $20.9 million with $8.2 million earned in 2004.

- Local sales taxes paid by JEDC borrowers in calendar 2004: $86,164 outside Juneau and $288,932 to the City and Borough of Juneau

- Multi-creditor financing, structured by JEDC, helped our borrowers leverage their own equity 8.6 times and for borrowers in the rural communities outside Juneau, that leverage increased to over 10 times.

Financing criteria.

JEDC seeks to work with healthy companies that have excellent potential for growth, will provide increased employment in Southeast Alaska, and will help diversify our economy. The primary criteria we consider are the following:

• Dedicated and experienced management
• Past performance
• Market strengths such as providing a new service or import substitution in Southeast Alaska
• Current economic viability of the business
• High potential for profitability
• High potential for growth
• Sufficient collateral and cash flow to service and secure the loan
• Inability to obtain conventional financing at rates and terms that make the project viable.

How do I apply?

Call the Margaret O'Neal to discuss your project financing needs. If your project looks like a good candidate for our loan programs, we will give you all the information you need to apply. If you qualify, you can download our application and forms.

Along with the completed application packet, application fees and projection spreadsheets, we require a complete business plan prior to our approving a loan. Additionally, we require three years' tax returns for the business and principals, current personal financial statements of all principals and other information, which varies according to the purpose of the loan or the collateral being offered.

Contact Margaret O'Neal, Southeast Alaska Revolving Loan Fund Director, at the Juneau Economic Development Council, 612 W. Willoughby Ave., Suite A, Juneau, AK  99801. (907) 523-2326 (907) 463-3929 fax.