Share this
Twitter
Myspace
Digg
Del.icio.us
Reddit
Slashdot
Furl
Yahoo
Technorati
Newsvine
Facebook
Export PDF
Print
E-mail
Tags
While touring two South Jersey small businesses, Gov. Jon Corzine Friday praised their efforts to expand their operations and provide more jobs.
Severino Pasta Manufacturing Company in Westmont and Moorestown-based EMS Formation, both of which recently expanded, received assistance from the state through programs that allow businesses to access capital by providing state support for bank lending through loan guarantees.
"By partnering with banks, particularly during these challenging economic times, New Jersey is able to help businesses overcome the financial obstacles that can stall their growth and expansion, Corzine said. "Small businesses are the backbone of our state's economy and I am pleased that we were able to ensure the continued success and growth of two long-standing businesses and create jobs."
Severino Pasta Manufacturing has had its family-run retail and manufacturing shop in Westmont for over 35 years. Founded by Joseph and Anna Maria Severino, the company is run today by the second generation of the family. The company manufactures handmade, authentic artisan's pasta and recently expanded its warehousing distribution operations at its second facility in Cherry Hill.In addition to its retail shop, Severino also supplies its products to restaurants, supermarkets, hotels, and wholesalers in the New Jersey and Philadelphia areas.
The company received a $200,000 PNC Bank loan, with a 25-percent state Economic Development Authority guarantee under the state's business growth fund, a below-market interest rate loan program jointly run by the EDA and PNC Bank. Severino expects to maintain its current staff of 36 and recently hired two additional employees.
"We really are a family-minded company that depends on and supports our local community, for everything from supplies to employees," said Louis Severino, a co-owner. "We're thankful to the state for helping us acquire our loan from PNC Bank, which will support our continued growth in New Jersey."
EMS Formation designs and manufactures hardware and software products for the defense, aviation, data communications and transportation industries, with a leading position supplying wireless hardware that enables in-flight connectivity.
Formation was founded in Moorestown in 1970 and joined EMS Technologies, Inc. this year. Customers include Rockwell Collins, Airbus, Aircell, Panasonic, and L-3 Communications.
The company has grown from a staff of 68 to 132 over the last 17 months and its year-over-year revenue growth has increased 97-percent.
EMS Formation received a $750,000 Sovereign Bank loan, with a $375,000 EDA loan under the Statewide Loan Pool for Business, a program that brings together the resources of the EDA with New Jersey financial institutions to make it easier for banks to lend money that supports business growth.
"We greatly appreciate the assistance we received from the state, which has helped facilitate our dramatic growth," said R. Nim Evatt, EMS Formation vice president and general manager. "Without the EDA and Sovereign Bank partnership, we would have had to pay double to finance this equipment at a pivotal time in our company's growth strategy."
Building on the past success of the state's partnership with the banking community, Corzine created the Main Street Business Assistance Program as part of his economic recovery plan. The new program aims to help businesses cope with the effects of the economic downturn and offers two components – a loan guarantee that is offered through participating banks and an EDA line of credit guarantee.
To qualify, borrowers must be in business at least two years, maintain jobs in New Jersey and meet other EDA eligibility requirements.
– TOM HESTER SR., NEWJERSEYNEWSROOM.COM
