Group will continue its work in providing capital aimed at business vitality, job facilitation
Grow Michigan, LLC, an organization founded in 2013 dedicated to providing subordinate funding to small businesses with a commitment to Michigan, today announced that its Board of Directors and the State of Michigan Strategic Fund have approved a 2-year extension of the fund through 2019.
Grow Michigan, LLC extends the capabilities of senior debt providers by offering a highly efficient, cost effective and complementary capital structure for growing Michigan small business in a broad range of industries. Grow Michigan investors include 19 financial institutions doing business in the State and the Michigan Strategic fund. To date, Grow Michigan has invested $51.1 million in transactions involving a total leveraged capital investment of $353.2 million, while facilitating nearly 3,000 jobs.
“This innovative fund has been a win-win for all involved,” said Patrick O’Keefe, CEO of Grow Michigan, LLC. “We have been able to help numerous businesses statewide grow and thrive but there is much more work to be done. This extension will allow us to continue our vital work.”
Among the desired attributes of the companies it lends to:
• Profitable small businesses with strong management teams
• Established relationships with senior lenders
• Typical loan size between $500K and $3 Million
• Revenue from $3 million to $50 million and positive EBITDA
• Capital will lead to increased employment in Michigan
“The need is there and the formula – almost unlike anything else in the country – has more than proven itself,” added O’Keefe. “So many companies want to grow and achieve industry-leading sustainability in Michigan. All they need is a financial boost to support perhaps a 20-30% shortfall beyond traditional capital options. We’re here and all in.”
To date, the majority of companies invested in have been in the manufacturing, distribution, transportation, life sciences and enabling technologies.
Grow Michigan, LLC, is capitalized by members of Michigan’s banking community and the Michigan Strategic Fund. It provides attractively priced growth capital in the form of subordinated/mezzanine debt to the Michigan small business community. This unique initiative and product offering, including value-added assistance, extends the capabilities of senior debt providers by offering a highly efficient, cost effective and complimentary capital structure for growing Michigan small business in a broad range of industries. For more information, visit: Growmicapital.com