Annual General Meeting Presentation

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Annual General Meeting Presentation

• April 29, 2009

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• Venture Niagara is
• one of 61 CFDCs investing in small
• and medium size businesses and carrying out
  community development projects across rural
  Ontario.

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Office Location

• 20 Pine Street N., Thorold, ON

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Service Area
6 Municipalities - 140,000 pop.
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Governance

• Established as a not for profit corporation in
  1985.
• Welland LEAD Program Welland Business
  Development Centre
• Welland Community Futures Corporation Welland
  Business Community Development Corporation
  Venture Niagara Community Futures Development
  Corporation/Entreprise Niagara Societe daide au
  developpement des collectivites
• Board of Directors (6)
• Douglas Johnson, Chris Yakymishen, George Repar,
• Dolores Fabiano, Lynne Vraets, Greg Owen
• Business Development Committee (6)
• Douglas Johnson, Tony Fischer, Jeff Reuter, Wayne
  Triano,
• Susan Walker, Chris Yakymishen
• Staff (4)
• Frank Rupcic, Kathy DiFiore, Susan Morin, Wendy
  Watson
• The corporations services and activities are
  based on a corporate strategic plan
• and supported by an operating budget provided on
  an annual basis
• by contract with FedNor /Industry Canada.

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Volunteers Staff
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Our Services
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Access To Capital
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Repayable Financing

• Venture Niagaras priority is to lend money
  and invest in community businesses.
• The corporation provides loans and operating
  lines to a maximum of 150,000 per business.
• Financing is for business start-ups and existing
  businesses needing capital for
• Equipment purchases
• Securing and fulfilling new contracts
• Re-organizations to reduce costs become more
  profitable
• Etc.
• Financing is accessed by the submission of a
  Business Plan,
• satisfactory due diligence by Venture Niagara
  staff and approval by the corporations Business
  Development Committee.

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Repayable Financing (cont.)

• Interest rate is Prime 4 or 6.5 (April 15,
  2009).
• Security is required for VN financing. It may
  include personal guarantees, GSAs, chattel
  mortgages, life insurance, and/or collateral
  realty mortgages on commercial and/or residential
  property.
• The amount and type of security required depends
  on the amount of financing. The actual security
  required is the decision of the lending
  committee.
• No fees are charged when applying for financing.
  The only borrowing expenses other than interest
  and for NSF charges are the legal fees and
  registrations incurred when financing is
  disbursed and at the end of the loan when any
  security is discharged.
• No penalty for early payout. VN wants to see the
  client become bankable with a more traditional
  lender and wants the investment fund money to be
  available to new clients.

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Repayable Financing (cont.)

• Part of our lending consideration is based on a
  companys plans to maintain and create jobs for
  the local economy.
• Lending decisions and repayment schedules often
  take into consideration the nature of the
  business and its income and expense cycles
  throughout the year. (i.e. repayment schedules,
  advisory services and loan monitoring are part of
  the loan agreement for the benefit of the client
  as well as protecting Venture Niagaras
  investment).
• Venture Niagara will invest in local companies
  while being mindful of the risk in order to
  continue to help the company and grow the capital
  in the Investment Fund for future investment in
  the community

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Investment Portfolio (March 31,2009)

• Investment Fund Portfolio
• 29 Loans
• Value of outstanding loans
• 1,518,537
• Available funds to invest
• 645,348
• Revenue generated through
• Principal and Interest payments
• 36,000/month

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Investment History 1985-2008

• Value of Loan requests
• 26,347,516
• Loan Disbursements
• 9,830,132
• Jobs Created/Maintained
• 1,649
• Businesses Financed
• 232

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Investment Activity 2008

• Value of Loan Requests
• 1,915,500
• Value of Loans Approved
• 295,200
• Amount of Money Disbursed
• 484,275
• (includes loans approved at the end of 2007)
• Jobs Created or maintained
• 17

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Investment Activity Jan-April 2009

• Value of Loan Requests
• 1,627,950
• Value of Loans Approved
• 480,000
• Amount of Money Disbursed
• 382,424
• Jobs Created or maintained
• 33
• Loan Requests in progress
• 750,000
• _____

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Our Clients

• ATM Terminal Sales Service
• Automobile Sales
• Auto Detailing
• Baking/Food Ingredients
• Beauty Salon
• Cheese Maker
• Excavation Commercial Residential
• Fishing Lure Manufacturer and Sales
• Great Lakes Freighter
• Health and Safety Trainer
• Horse Stables
• Marketing Firm
• Millwork Cabinet Manufacturer
• Muffler Installation Repair
• Paving Commercial Residential
• Paintball Games
• Printing Business
• Restaurant
• Social Service Organization

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Financing Distribution

• Distribution of Businesses with Venture Niagara
  Financing

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Business
Advisory Services
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Workshops, Seminars Conferences

• Venture Niagara, hosts and partners in
• a variety of workshops, seminars and conferences
  for local businesses throughout the year

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Information Services

• Staff respond daily to questions from potential
  entrepreneurs and business owners based on our
  experience and knowledge of
• in-house and on-line resources.

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Business Plan Assistance

• Staff will provide guidance in the preparation of
  a detailed business plan critique an existing
  document or work with a potential client on a
  loan application to help secure financing.
• Business plan /loan application

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Business Analysis Mentoring

• Venture Niagaras financing conditions often
  require an in-depth review of the business and
  the development of a plan to address any
  shortcomings prior to receiving financing.

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Community Economic
Development
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Community Economic
Development

• Venture Niagara initiates projects and works with
  partners to undertake activities in areas such as
  tourism, arts culture, entrepreneurship and
  the general economic diversification
• of the local economy.
• Many community economic development initiatives
• lead to potential loans and job creation
  opportunities.

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The Local Economy Investment
Opportunities

• Venture Niagara will identify potential
  investment opportunities
• by working with economic development partners in
  emerging sectors of the local economy.

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Sports Tourism

• Welland Sports Tourism Alliance

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Sports Tourism Brock University

• Anthony Pasto, Chair of the Welland Sports
  Tourism Alliance (far right) and Susan Morin of
  Venture Niagara CFDC (far left) present a cheque
  to a team of Brock University 4th year Sports
  Management students for their winning Welland
  Sports Tourism Alliance Apprentice presentation.

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Cycling Tourism

• Venture Niagara, in conjunction with several
  community partners, developed a map (bilingual)
  of cycling routes throughout Niagara. The map
  helps to accommodate the growing popularity of
  the sport and showcases many communities and
  Niagara experiences such as the wine route and
  the rural geography of the region.

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Les Saisons Magazine

• Les Saisons is developed annually by Tourisme
  Franco Niagara partners.
• It is distributed throughout Niagara and Quebec.
• Supported by advertising partners from across
  Niagara.

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Bonjour Campaign
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Community Partnerships

• Venture Niagara is a financial partner
• in many community activities
• Adolescent Family Support Services Niagara -
  Welland
• Brock Sport Management program/WSTA- Welland
• Farmers Market Grimsby
• Festival St. Jean Welland
• Kids Arts Day Welland
• Mayor Daves Speaker Series - Pelham
• Mayors Luncheon Grimsby
• RYLA Slapshot Programs-Welland Rotary
• Tourist Information Booth Pelham
• Welland Art Wall - Welland

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Whats next?

• Local economic challenges have created a dramatic
  increase in demand for Venture Niagara resources
  and the Community Futures Program across Ontario.
  The investment fund is particularly strained.
• The Federal government is addressing demands for
  economic assistance by announcing programs such
  as the Community Adjustment Fund to help
  struggling communities.
• Venture Niagara will be working with
  FedNor/Industry Canada and community partners to
  secure more capital to invest in local businesses
  and community infrastructure to help create jobs
  in Niagara

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• Thank You