MassDevelopment.com: Press Room: MassDevelopment, New Bedford EDC Announce Low-Interest Loans for Local Fishing Corporations

MassDevelopment, New Bedford EDC Announce Low-Interest Loans for Local Fishing Corporations
May 8, 2007

Contacts:
Adam Bickelman, MassDevelopment, 617-330-2086
Nancy Gibeau, New Bedford Economic Development Council, 508-991-3122 x13

MassDevelopment and the New Bedford Economic Development Council (NBEDC) have joined forces to provide low-interest loans for two New Bedford-based fishing companies: Diamond Dog Fishing Corporation and Coral Fishing Corporation, Inc.

Diamond Dog Fishing will use a $125,000 loan from MassDevelopment’s Seafood Revolving Loan Fund and the NBEDC’s general fund to repair and upgrade the company’s 63-foot commercial fishing boat. The company will also buy an additional fishing license to harvest flounder as well as its staple catch, scallops. Coral Fishing Corporation will use a $150,000 loan from the same sources to purchase an 81-foot fishing boat, Boat Luso American I, along with a federal fishing permit. Coral Fishing Corp.’s expansion will result in the creation of four new jobs.

"We are pleased to provide this low-cost financing to help seafood businesses succeed in New Bedford," said New Bedford Economic Development Council Executive Director Matthew Morrissey. "The fishing industry has been, and will always be, a vital component of New Bedford’s economy, history and culture; and we are committed to continuing our support for these businesses through this financing partnership with MassDevelopment."

Seafood accounts for nearly 150 businesses in New Bedford employing more than 1,000 local workers. These companies pay approximately $80 million in annual employee wages.

"Preserving traditional businesses while growing new sectors is key to ensuring a healthy economy, and creating new opportunities for Bay State workers," said Robert L. Culver, MassDevelopment president/CEO. "Fishing and other marine industries have been a mainstay of New Bedford's economy for centuries. With the right support and access to technology, they'll continue to play an important role."

Since 1998, MassDevelopment has lent nearly $1 million from its Seafood Revolving Loan Fund to seafood businesses in New Bedford through its partnership with the New Bedford Economic Development Council. Additionally, in 2003 the agency capitalized a $1.25 million line of credit used by the NBEDC to provide small business loans.

"I regularly refer seafood business owners to MassDevelopment and the New Bedford Economic Development Council for low-cost financing," said Anne Maynard of the Jardin & Dawson Boat Settlement Agency. "Through the agencies' seafood financing program, I’ve witnessed dozens of New Bedford fishing companies prosper and grow."

The New Bedford Economic Development Council works collaboratively with local organizations and dozens of agencies at the city, state and federal levels to promote a business-friendly environment. NBEDC actively seeks new business investment by marketing New Bedford worldwide as a top location for business growth and expansion. In addition, the organization assists local companies with their expansion plans and other business concerns. With the support of its partners, the NBEDC has successfully assisted hundreds of companies to grow and locate in New Bedford.

MassDevelopment, the state’s finance and development authority, works with businesses, nonprofit organizations, financial institutions and local officials to stimulate economic growth across the Commonwealth. Between FY2004 and FY2006, MassDevelopment financed or managed 589 projects statewide representing an investment of more than $4 billion in the Massachusetts economy. These projects are supporting the creation of 5,505 housing units and more than 23,000 jobs: 12,381 permanent and 10,679 construction-related.