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HomeMy WebLinkAbout1995-EDC-11EDC RESOLUTION NO. 95-EDC11 RESOLUTION RECOMMENDING APPROVAL OF SMALL BUSINESS LOAN TO FORCIA INC. WHEREAS, Forcia Inc, who has owned Mister Donut in Mounds View since 1990, has approached the City for a small business improvement loan, and WHEREAS, Forcia, Inc. is requesting the maximum loan of $50,000 for interior and exterior improvements and to increase product line at independently owned Mister Donut store located at 2394 Highway 10, and WHEREAS, Mounds View's Economic Development Authority would be responsible for $25,000 at 2% interest rate and Western Bank would be responsible for $25,000 at 11.25 % floating interest rate for five years, and WHEREAS, Forcia Inc., has been approved by Western Bank contingent upon receiving references on existing mortgage and franchise loans, and WHEREAS, Forcia Inc.'s bakery is open 24 hours and currently serves donuts and pastries and will be expanding the product line to include soups, subs, sandwiches, bagels, ice cream and cakes as a direct result of their expansion; and WHEREAS, the improvements will allow Forcia Inc. to join the Mid -Atlantic Bakery Co-op and will change the store name to Donut Connection, and WHEREAS, the change will facilitate significant exterior and interior aesthetics improvements, new signage and equipment purchases, and WHEREAS, the Economic Development Commission believes that assisting Forcia Inc. will benefit the entire community of Mounds View by improving the aesthetics of the commercial sector in Mounds View thereby increasing the tax base. NOW, THEREFORE, BE IT RESOLVED THAT the Economic Development Commission hereby recommends approval of a $50,000 small business improvement loan which includes $25,000 Economic Development Authority participation and $25,000 Western Bank participation. Adopted by the Economic Development Commission of the City of Mounds View this 28th day of September, 1995. ATTEST: Chair (SEAL) Economic Devqftent Coordinator