Janine North, Northern Development Initiative Trust (NDIT) chief executive officer met with local business owners at the College of New Caledonia last week to discuss new initiatives being offered to support local retailers and service industry employers.
According to North, the NDIT board approved a number of business program initiatives to support local businesses that may need help coping with the economic downturn in the wake of the Jan. 20, 2012 Babine Forest Products explosion and fire.
North said NDIT’s business programs have been expanded to enable retail and service sector businesses in Burns Lake to receive consulting assistance and loan guarantees over the next three years. Additional grant writer positions have also been made available to the Regional District of Bulkley Nechako (RDBN), local area First Nations and the Village of Burns Lake so that they can apply for any available grant opportunities.
“Equipment and people can be mobile in economically challenging times, but it is tough for retail and service businesses that are fixed in their locations,” she said.
According to North, the Royal Bank of Canada, Burns Lake branch, the Canadian Imperial Bank of Canada, Burns Lake branch and the Lakes District branch of the Bulkley Valley Credit Union are working in conjunction with NDIT for the loan guarantee initiative.
While NDIT will not be lending out money to businesses, they will be providing a loan guarantee of 25 per cent, to a loan maximum of $50,000, acquired at any of the three local partnering banks.
The offer is available to local businesses until December 2014.
She said the loan guarantee helps businesses with little equity secure loans and if they default, guarantees that 25 per cent of their loan is covered.
NDIT is also offering to rebate half the cost of consulting fees to local businesses through a Competitiveness Consulting Rebate initiative.
It provides small and medium sized businesses engaged in manufacturing, innovative technologies, resource processing, transportation and distribution as well as their first line suppliers with a rebate of 50 per cent of the cost of business competitiveness consulting.
“Eligible projects will focus on and measure increased productivity, revenues, profitability and job creation for operations located with the Northern Development Initiative Trust region. This means that a consulting contract would cost a local business the same price, or less that the fees charged to a business in an urban area,” she said,
Among the benefits, North said consultants can help local businesses to implement world class business practices and become more competitive in the global market
NDIT is also providing funding for two additional six month grant writer positions to assist the village and the RDBN get completed applications for ‘shovel ready’ projects into the hands of government and funding organizations.
The six local First Nations can also hire one grant writer each for six months through NDIT.
The grant writer positions come at a cost of $75.000 to NDIT and grant writer training is also being provided.
North said she expects it will be two to three years before the economic conditions in Burns Lake stabilize. “I know there are concerns on the retail front … we are trying to increase the funding pipeline into Northern B.C. with these programs.”
Mayor Strimbold expressed appreciation for the support and the high degree of responsiveness to the needs of the community.
“Northern Development has reacted quickly to the needs expressed by the business community in Burns Lake by expanding their programs to directly support the retail and service sector that is so vital to our community.”
Dean McKinley, NDIT’s regional director of economic development is now working from the Village of Burns Lake office to support the recovery efforts and to add capacity to the provincial recovery team led by Bob Clark. He is reporting to Minister Pat Bell, Ministry of Jobs Tourism and Innovation.
For more information about how to apply for these initiatives go to www.northerndevelopment.bc.ca.
