SBA 504 Loan Program Covers All of Wisconsin
WISCONSIN – Racine County Economic Development Corporation (RCEDC) was developed to provide small businesses with aid, whether that would be thorough grants, loans, and other financial assistance programs. Throughout the years, RCEDC has shifted its focus, not only providing this financial resource, but to grow the local property tax base and create jobs by assisting in business expansion projects in Racine County and all around Wisconsin.
The Small Business Administration partnered with RCEDC to create the SBA 504 loan program. The SBA 504 loan program allows the borrower to provide a minimum of 10% equity toward the project costs, while the financial institution assists in 50% of the funding, and the SBA 504 loan through Business Lending Partners (BLP) provides a direct loan, up to 40%.
With the use of this SBA 504 loan program, countless companies have participated to create new forces in the business community. In our Northeast (NE) corner of Wisconsin, Popeyes Louisiana Kitchen utilized this aid for building their businesses. Southeast (SE) Wisconsin also has a few projects that have been funded by the SBA 504 loan program, including Jellystone Camp Resort.
Popeyes Louisiana Kitchen - Green Bay
Popeyes Louisiana Kitchen is opening their first location in Green Bay – run by SmitCo Eateries, Inc (SCE). SCE currently has 12 other locations, with three in Wisconsin – Green Bay being their fourth.
Their partnership with RCEDC and Lamar Bank and Trust Company made it possible for them to purchase land and construction and equipping this new restaurant. With this new addition they are looking to create 30 jobs in the next two years.
Being a franchise doesn’t stop the eligibility of the SBA 504 loan program, where other franchises such as Dairy Queen, have taken advantage of this opportunity.
The Salty Seagull Mini golf - door County
Salty Seagull Mini Golf is a new venue that provides a different attraction in Door County. With the high amounts of tourism to Door County, and this being the first mini golf location in the area, makes it a destination spot for all ages.
Owner Susan Hartzell partnered with the Bank of Luxemburg and RCDEC to buy land and build a new miniature golf course by using the SBA 504 loan program.
Hartzell is the sole owner, working mostly in hospitality-related roles and currently holds a Wisconsin real estate license to buy and renovate homes. Her project idea was based off of her past experience, but being a mother of two also aided in this decision. With the opening of this new mini golf course, Hartzell will be creating 1.5 new job positions and will be producing a new attraction for the rural community.
Broken bat brewing company
Broken Bat Brewing Company was first established in 2017 by a few owners, with the biggest contributors being; Timothy Pauly, Andrew Dambrowski, Daniel McEwlee, and Kevin Dalhman.
From here, they have expanded producing about 4 times the amount they were when they started, including forming a contract with Festival Foods for their beers to be sold in their stores state wide.
To receive help for this new endeavor, the RCEDC’s SBA 504 loan program, in partnership with Commerce State Bank was a great low interest option for them to create their new facility.
With the purchase of their brewery and taproom in Milwaukee, they will be creating 10 full time positions and continue to create 8-12 new beers each year to keep up with customer demand. Even with other breweries in the surrounding area, their new and unique brews ensure customer retention, with their taproom being their newest attraction.
Asphalt contractor inc.
Asphalt Contractor Inc. (ACI) has been around for over 40 years, continuing to update and change with the climate. Brothers Bob and Peter Kordus started as a two man operation doing sealcoating and turned it into the largest company of its kind in southeast Wisconsin. ACI specializes in paving, sealcoating, striping, and in recent years has purchased their own asphalt plant.
For ACI to invest in land for a new gravel pit, they partnered with RCEDC and Community State Bank to incorporate RCEDC’s SBA 504 loan program.
With this purchase, ACI will be providing 13 new jobs. The gravel pit will provide the material for ACI’s paving projects. To get the most out of this purchase, ACI will also be selling excess gravel to third party companies around the surrounding area.
jellystone Camp resort
Jellystone Camp Resort is a Yogi Bear inspired campground with a small waterpark. This resort has cabins, campsites, mini golf, an outdoor movie theater, and a ton of activities for the whole family. This campground has been around for over 50 years and has become a staple in SE Wisconsin for a unique outdoor experience.
With their capacity being at 100% during prime months, owner Randy Isaacson knew they would need to make an expansion to cater to more people in the area. To do this, Isaccson looked into RCEDC’s SBA 504 loan and partnered with United Bank to jump start their expansion.
From this expansion they were able to create 100 new campsites, 50 cabins, upgrade their waterpark, and create a 5.5 acre swim pool with a beach that holds volleyball courts, and a large floating obstacle course. This will be even more of a tourist attraction with the added beach and higher capacity, giving patrons the opportunity to step out of city life and into vacation mode.
The SBA 504 loan program is used widely and effectively across Wisconsin because the interest rates are offered at a very low percentage. This is to ensure businesses are able to grow and prosper. To learn more about this loan program and eligibility, contact Carolyn Engel at Carolyn@blp504.org.
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