1. Community Futures : Providing the tools for small business success Cara A. Finn – General Manager Cara A. Finn – General Manager Industry Portfolio

2. Community Futures – Local Solutions to Local Problems What are Community Futures Development Corporations (CFDC)? CFDC’s are federally-funded, non-profit, local development organizations run by volunteer boards of directors and salaried staff Community Futures Corporations are not government owned or operated. Industry Portfolio

4. Prince Edward Island - 2

5. Nova Scotia - 13

6. New Brunswick - 10

7. Quebec - 70

8. Ontario - 61

9. Manitoba - 16

10. Saskatchewan - 13

11. Alberta - 27

12. British Columbia - 34Industry Portfolio

14. business consulting and resources

15. community economic development assistanceIndustry Portfolio

16. Provide information to business Additional services may include: youth programs computer labs business seminars export development tourism initiatives CFDCs have a broad network to bring a wide range of services to local business. Industry Portfolio

18. a rural population of 35,000 served - 100,000 in South Western Ontario

19. created/maintained 300 jobs over last 4 years

20. volunteer board of 10 community leaders

21. 4paid staffIndustry Portfolio

23. Has an active portfolio of close to 100 loans

24. Has an average loan size of approx. $30K – (approx. $80,000 in Middlesex) can be as high as $250,000 or more

25. Has experienced a 3 - 6% default rate on loans

26. The Middlesex investment fund is expected to reach more than $4 M over the course of the next year and is on track to lend a minimum of $1 million to community-based businesses in 2010.Industry Portfolio

27. Community Futures : Helping build small business BUSINESS CONSULTING & INFORMATION SERVICES Industry Portfolio

28. Community Futures : Helping build small business CONSULTING One on One General Consultations available for new start ups or expanding businesses Business plan outlines as well as developmental support Consulting Services are provided Free of charge

30. A directory of all library materials is available for clients to peruse in print or computerized formatIndustry Portfolio

31. Community Futures : Helping build small business COMPREHENSIVE WEBSITE www.thebusinesshelpcentre.ca On-Line: Program Information Loan Details Loan Applications Business Resources Links to County Resources Grant Guidelines and Applications Industry Portfolio

32. Community Futures : Helping build small business Working with Professional Partners By providing free business planning advice By providing an option to clients who are unable to access traditional financing By referring clients who are able to access traditional financing By helping to leverage capital when other financing programs are unable to fully meet a client’s needs

33. Community Futures : Helping build small business LOAN PROGRAMS

35. Any legitimate business purposes

36. Interest normally P+3%; 5 year fixed term

37. 75% security (combination of personal and business assets) (CFDC of Middlesex County accepts co-signers on debt)

38. Max. 15 year amortization

39. Loan Committee review process

41. Community Futures : Helping build small business Middlesex Futures Loans For youth ages 18-30 Max. of $5000.00 New and existing youth-run businesses in Middlesex County Any legitimate business purpose Min. interest of P+2%; normally P+3% Must have adequate security Must show a commitment of resources to the company Application fee: $25.00

42. Community Futures : Helping build small business Main Street Middlesex Loans Up to $10,000 – Matching owner’s contribution Specific building improvements on properties located within the historic “downtowns” of municipalities within Middlesex County Financing can be used for building renovations for: storefront improvements, repair or restoration of heritage elements, signage/ lighting/ awnings, and other related improvements Min. Int. P+ @%; normally P +3%; 5 yr. fixed term; max. 5 yr. amortization Adequate combination of personal and business security Application fee: $25.00

43. Community Futures : Helping build small business Non-Profit Loans Program Up to $250,000 for any revenue-generating non-profit organization in Middlesex County (excluding the City of London) Interest rates starting at Prime. Max. amortization of 15 years Must be maintaining/ creating jobs in the local community Financing can be used for any legitimate business purpose Adequate business security Application fee: $50.00

44. Community Futures : Helping build small business A Successful Application must Demonstrate: Viability of the operation by way of a complete and sound business plan The ability to repay the loan The capability to operate and manage the business A contribution to the local economy through the maintenance/creation of jobs A firm commitment to the business, including a personal investment of funds and resources

45. Community Futures : Helping build small business INQUIRY CONSULTATION BUSINESS PLAN APPLICATION ANALYSIS/ SUMMARY LOAN RECOMMENDATION LOAN APPROVAL/REJECTION LOAN DECLINE NOTIFICATION LETTER OF OFFER DISBURSEMENT OF FUNDS LOAN AFTERCARE Loan Process

46. Community Futures : Helping build small business 1) INQUIRY Client contacts CFDC office and expresses interest in learning more about financing options Contact information is collected and entered into database Client is invited to meet with staff to discuss their situation

47. Community Futures : Helping build small business 2) CONSULTATION Client and staff meet face-to-face to discuss business operations and current needs The purpose of this meeting is two-fold: 1) the client has the opportunity to learn about CFDC mandate and loan details 2) the Advisor has an opportunity to learn about the client’s goals and objectives directly, and advise accordingly

48. Community Futures : Helping build small business 3) BUSINESS PLAN Client is provided with a business plan outline and consulted with respect to the necessary components and development. The Advisor remains available to the client throughout the development process. It is common for at least one formal review of a plan to take place, prior to a client making a formal application for funding. Intern currently on staff to aid clients who require additional hands-on assistance with business planning

49. Community Futures : Helping build small business 4) APPLICATION Once the business plan is in order, the owners will submit the plan, along with a Personal Financial Statement, and Loan Application All applications must be received by the office by the 15th of month in order to be considered at the next Loan Committee meeting (held during the first week of the month following) A loan file is established for the client.

50. Community Futures : Helping build small business 5) ANALYSIS & SUMMARY Staff analyses plan and conducts credit investigation Any outstanding issues/ inconsistencies in the plan are addressed with the client A summary of the plan is prepared and forwarded to the General Manager for consideration

51. Community Futures : Helping build small business 6) RECOMMENDATION Loans Greater than $25,000 Once reviewed, and found to meet all mandated requirements, a recommendation is prepared regarding the Application and is placed on the agenda of the next scheduled meeting of the Loan Committee. Loans Less than $25,000 Once reviewed and found to meet all mandated requirements, a recommendation is prepared and is processed in-house by the General Manager

53. Ownership

54. Human ResourcesSecurity Personal/ Business Assets

55. Community Futures : Helping build small business 8) OFFER TO FINANCE/ NOTICE OF DECLINE Offer : Letter of Offer is prepared and extended to the client If accepted, legal documents are prepared and forwarded to the client / counsel Declined: Letter of Decline is prepared and forwarded to the client. Personal contact is made with client to detail the reasons why the application was declined.

56. Community Futures : Helping build small business 9) DISBURSEMENT OF FUNDS Once all required legal documentation has been received and reviewed, direct deposit arrangements are established with the client, and a cheque is prepared for disbursement of the loan Client is entered into the loan monitoring system which regularly prompts for payments and documentation required, throughout the term of the loan.

57. Community Futures : Helping build small business 10) LOAN AFTERCARE Advisor remains in contact with the client for the duration of the loan Monitoring of company financials on a quarterly basis. Bookkeeping/accounting advisory provided currently free of charge to all clients Actual results are compared to plan and any inconsistencies are reported and addressed Site visits take place on an as-needed basis (determined by either client or CFDC)

58. Community Futures : Helping build small business Why Clients Work With the CFDC Low cost access to professional consultation and resource material Able to build a confidential and trusted relationship with a consultant/ loans advisor Deal directly with the CFDC regarding loan payments Loans are completely open and application fees are reasonable

59. Community Futures : Helping build small business Contact us at: CFDC of Middlesex County The Business Help Centre Kilworth Business Park #6 - 22423 Jefferies Road Komoka, ON N0L 1R0 Phone: (519) 641-6100 Fax: (519) 641-6288 www.thebusinesshelpcentre.ca