RIEDC, Rhody Fresh Announce Repayment of $125,000 SBLFC Loan by Rhode Island Dairy Farms Cooperative
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June 15, 2009 | Print this page | Share This |
The Rhode Island Economic Development Corporation today announced that a $125,000 Small Business Loan Fund Corporation loan was paid off in full by the Rhode Island Dairy Farms Cooperative (Rhody Fresh).
The cooperative made its final payment in April 2009. Initially granted in April 2004, the RIEDC’s Small Business Loan Fund granted the loan in recognition of the value proposition of the cooperative in terms of its unique business model, product and preservation of open space. The repayment also reflects the ability to establish and successfully grow small businesses within Rhode Island.
“We are pleased to announce the on-time repayment of the small business loan by Rhody Fresh,” says J. Michael Saul, interim executive director, RIEDC. “It is a testament to the strength and commitment RIEDC has to provide critical working capital to small business and the numerous contributions small businesses make in return.”
Launched in July of 2004, Rhody Fresh milk has been well received by Rhode Island consumers and has grown from an initial five member cooperative to nine members in 2009. With growth in demand and distribution remaining steady, the cooperative was able to make regular loan payments and distribute net profits among its member farms. Rhode Islanders buy Rhody Fresh milk for reasons that include product quality, freshness, purity, farm preservation and support for the local economy.
“Many Rhode Islanders don’t realize the breadth of agriculture in our small state,” says James Hines, executive director of the cooperative. “Rhody Fresh really helped create an awareness of the local farmer and sparked other types of farms to band together to sell their products locally. We’re proof that people will, when given the opportunity, support local enterprise.”
The RIEDC Small Business Loan Fund is specifically targeted for businesses looking for a direct, fully-secured loan and provides up to $500,000 for manufacturing businesses and $250,000 for non-manufacturing businesses. The terms are flexible with up to 10 years for repayment.
