TRAVERSE CITY – Two $500,000 loans from Rotary Charities and Chicago-based Northern Trust will provide a major boost to regional business lending efforts of Venture North Funding & Development.
The combined $1 million from Rotary Charities and Northern Trust will expand Venture North’s business lending capacity past the $6 million mark. Venture North currently operates various lending programs providing business expansion and growth capital across Northwest Michigan.
The two working capital loans come on the heels of Venture North’s recent certification from the U.S. Department of Treasury as a Community Development Financial Institution (CDFI). The CDFI designation significantly expands Venture North’s capabilities to enter into partnerships with financial institutions and other non-profit organizations to expand its business financing efforts across its 10-county service area.
“We are delighted to be expanding our community support through this investment in Venture North. Achieving CDFI status required hard work and dedication and we applaud their recent success,” said Jeff Hickman, Rotary Charities Treasurer. “We are especially proud to be collaborating with Northern Trust on this endeavor. Through this investment we look forward to helping to make additional capital available in our local economy.”
“Northern Trust is very excited to be partnering with Rotary Charities of Traverse City to make new loan capital available to Venture North, the first certified CDFI headquartered in Traverse City, Michigan,” said Deborah Kasemeyer, Director of Community Development & Investments for Northern Trust.
Venture North Executive Director Laura Galbraith said the funds will target business expansion efforts in low- to moderate-income communities across Venture North’s service region. It will also be used to leverage additional funding from public and private sources across Michigan and the U.S. to achieve Venture North’s goal of reaching $10 million in lending resources over the next three years. Both the Rotary Charities and Northern Trust commitments are long-term, low-interest loans to be reimbursed as business lending is repaid to Venture North.
“It’s a tremendous endorsement of Venture North’s efforts to facilitate business growth across the region to receive such major commitments from highly respected and renown organizations like Rotary Charities and Northern Trust,” Venture North Board Vice Chair Fred Turcotte said. “We’re excited to put these assets to work growing business and employment opportunities throughout Northwest Michigan.”
Venture North officials said the Rotary Charities and Northern Trust investments are the largest to date made in the organization. Other Venture North funding partners include Fifth Third Bank, Consumers Energy, Hagerty, DTE Energy and U.S. Department of Agriculture Rural Development.
Venture North was created in April of 2015 as part of the reorganization of the Traverse City Area Chamber of Commerce as a division of TraverseCONNECT, a regional economic development organization. Venture North’s portfolio includes more than 70 business loans totaling upwards of $4 million across the region, resulting in major expansion projects, equipment purchases, operating capital, product line expansion and nearly 300 new jobs.
About Venture North
Venture North Funding & Development is the business financing and support division of TraverseCONNECT, a regional Economic Development Organization that includes the Traverse City Area Chamber of Commerce. Venture North administers five separate loan funds across a 10-county region with total assets of more than $6 million, with current financing of more than $4 million. More information is available at www.venturenorthfunding.org
About Rotary Charities
Since its inception in the mid-70s, Rotary Charities has distributed more than $56 million in the form of 1,250 grants to organizations and non-profits in Grand Traverse, Leelanau, Benzie, Kalkaska and Antrim counties. The public foundation was formed following the 1976 discovery of oil and natural gas reserves on property owned by the Traverse City Rotary Club. Its purpose over the years has been to distribute interest income generated from the oil and gas royalties to organizations throughout the five-county region of northwest Michigan. More information is available at www.traversecityrotary.org/charities/.
About Northern Trust
Northern Trust Corporation (Nasdaq: NTRS) is a leading provider of wealth management, asset servicing, asset management and banking to corporations, institutions, affluent families and individuals. Founded in Chicago in 1889, Northern Trust has offices in the United States in 19 states and Washington, D.C., and 23 international locations in Canada, Europe, the Middle East and the Asia-Pacific region. As of September 30, 2017, Northern Trust had assets under custody/administration of US$9.7 trillion, and assets under management of US$1.1 trillion. For more than 125 years, Northern Trust has earned distinction as an industry leader for exceptional service, financial expertise, integrity and innovation. Visit northerntrust.com or follow us on Twitter @NorthernTrust.