HomeMy WebLinkAboutV.A - OTB 3rd Q Report
Business Advisor for Dakota County: Natalie Mouilso, nmouilso@mccdmn.org, 952-451-6390
Q3 2023 ending 9.30.2023
Clients Served YTD
Client Inquiry 4
Existing - Challenged 13
Existing - Opportunity 41
Pre-start planning 48
Start-up 31
Total 137
Business Owner Demographics YTD
Low-Income Owned 52
BIPOC or Immigrant Owned 69
Woman Owned 71
Financing & Access to Capital YTD
Approved (YRLY Total) $ 526,920.00
Equity (YRLY Total) $ 456,626.00
Facilitated (YRLY Total) $3,166,022.00
Program Hours
TA Program HRS
1st QTR 382.00 159
2nd QTR 299.75 213
3rd QTR 270.75 223
Total 952.25 595
TA: Client Meetings, Providing Resources, Client Calls, Client Deliverables, Loan Packaging
Program HRS: City Initiatives, Program Outreach, Public Events, City Meetings, Research, Data/Admin, General Inquiries
Dakota County Q3 Report 9.30.2023
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Industry Segment YTD
Construction / Real Estate 3
Food 20
Health/Fitness 14
Manufacturing 2
Consulting 9
Retail 30
Service 31
Technology 2
Wholesale / Distribution 3
Other/TBD 23
Total 137
Referral Source YTD
Bank Referral
15
Entrepreneur 1
Friends and Family 17
Municipality 44
MCCD Partner 12
Other 18
Web 30
Total 137
City YTD Business Resident
Apple Valley 15 13
Burnsville 14 14
Eagan 21 22
Farmington 12 15
Hastings 13 9
Inver Grove Heights 8 8
Lakeville 18 17
Mendota Heights 1 1
Rosemount 10 10
South St. Paul 5 7
West St. Paul 6 5
Other Dakota Co. 0 1
Other/ No Data 16 15
Dakota County Q3 Report 9.30.2023
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Direct Financing & Access to Capital
Business Type: Thai Grocery Store – Updated Q3
Business Locations: Burnsville & South Saint Paul
Owner Residence: Woodbury
Referred by: Bank Partner & City of South Saint Paul
MCCD Financing: $125,000
Owner Equity: $196,391
Other Financing: $2,455,472
Overview: MCCD approved gap financing for a BIPOC-owned business expansion. The owners currently operate
a Thai grocery store in Burnsville and are expanding the business to include a new wholesale and distribution
business line with a second location in South Saint Paul to include extra storage for the grocery inventory as well
as a deli walk up window. The project is the development of a multitenant building which will include space for
two additional tenants. MCCD financing will be utilized for construction costs. Update: After this loan was
initially approved in Q1 2023 an adjustment to the total project costs increased the project size from
$1,920,000 to $2,455,472. The loan was reapproved by MCCD in August and closed in September 2023.
Business Type: Financial Advisory
Business Location: Hastings & Lakeville
Owner Residence: Lakeville
Referred by: Bank Partner
MCCD Financing: $204,000
Owner Equity: $46,000
Other Financing: $255,000
Overview: MCCD approved permanent term financing for a commercial real estate purchase by a growing
financial advisory business based in Lakeville with a second location in Hastings. The project was brought to
MCCD via a bank partner and the real estate transaction is part of a larger business expansion plan and
ownership transition for the Hastings location. The real estate purchase and eventual business purchase will
retain 6 full-time jobs and create 1 new full-time position.
Business Type: Hair Braiding Salon
Business Location: Eagan
Owner Residence: Eagan
Referred by: MCCD Community Partner
MCCD Financing: $25,000
Owner Equity: $21,000
Overview: MCCD approved financing for this immigrant owned start-up hair braiding salon business. The owner
has been working in the industry for nearly 10 years, always renting chairs at other salons, and splitting her
profits with the salon owner. With startup capital provided by MCCD she will be able to open her own space in
Eagan, expand her clientele, and build wealth for herself and her family. In addition to braiding services, the
salon will have two rental chairs available and will sell high-quality products that cater to the Black and African
community in the area.
Business Type: Adult Daycare Homes and Services
Business Locations: Business Office in Burnsville with homes owned in Inver Grove Heights (2), Apple Valley (1),
Farmington (1), Crystal (1), and newest location in New Hope (1)
Dakota County Q3 Report 9.30.2023
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Owners Residences: Eagan & Prior Lake
Referred by: Bank Partner
MCCD Financing: $37,200
Owner Equity: $37,200
Bank Financing: $297,600
Overview: MCCD partnered with Amplio and a local bank on this real estate transaction for a growing adult
daycare and homecare business. Our participation (which is considered equity by the SBA) at 10% of the total
project costs allowed the business owners to meet Amplio’s 20% equity requirement and retain much needed
working capital in the business. Through the real estate purchase, the owners are adding a new residential
home in New Hope, MN to the existing roster of home care facilities where the business operates throughout
the Twin Cities region. One of the business’s owners is Native American and the new location will create new
opportunities for the community of New Hope.
Business Type: Trucking
Business Location: Hastings
Owner Residence: Hastings
Referred by: Bank Partner
MCCD Financing: $25,000
Bank Financing: $44,450
Owner Equity: $16,545
Overview: MCCD approved financing for this startup transportation business. This industry veteran has worked
for decades driving trucks for other businesses. He finally took the leap to establish himself as an owner
operator in January 2023 when he approached his bank about his business idea. The bank referred him to OTB
to help with a business plan and financial projections. After a few months of planning the project was ready to
move forward in July. This new business will create one job for the business owner, who is a low-income
individual, and allow him the opportunity to build wealth for himself and his family.
Business Type: Restaurant
Business Location & Owner Residence: Inver Grove Heights
Referred by: Community Outreach
MCCD Financing: $110,000
Partner Financing: $110,000
Owner Equity: $129,490
Overview: MCCD approved financing for this immigrant owned business expansion in Inver Grove Heights in July
2023. This full-service, family-owned Mexican restaurant has been a community staple in IGH since 2015 with a
solid local following. The business embarked on an expansion to a larger location in 2021 but due to unforeseen
costs and logistics, the project had been stalled for quite a while. Having exhausted their available funds, the
owners were stuck paying rent at both locations with a partially completed renovation. The business connected
with MCCD advisor Vicky Gonzalez in summer of 2022 at a community event and she worked tirelessly to find a
path forward for this family business, providing in-depth technical assistance and sound professional resources
to guide the clients through this period. MCCD brought in a non-profit lending partner and together the
organizations collaborated on the final funding package. The business has three existing employees and when
the expansion is complete, three new jobs will be created.
Dakota County Q3 Report 9.30.2023
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Credit Builder Loans
In collaboration with nonprofit partners who provide credit building & financial awareness counseling, MCCD provides
$240 Credit Builder Loans (CBLs) to qualified applicants seeking to improve their personal credit. Credit Builder
applicants complete financial training through MCCD’s partners and are then referred to MCCD for a CBL. MCCD
generates and services the CBLs in-house.
2023 Credit Builder Loans YTD
Resident City Loan Amount
Rosemount $240
West Saint Paul $240
West Saint Paul $240
TOTAL $720
Business Grants
Business Type: Driving School Business
Location: Apple Valley
Referred by: Google Search
MicroGrant: $3,500
Owner Equity: ~$10,000
Grant Application Facilitated by MCCD
Overview: This low-income, women business owner learned of the Open to Business program by searching
online for resources. After working as a driving instructor for a few years and falling in love with the work, this
entrepreneur recognized the opportunity to establish her own school. After pouring every spare dollar into the
startup costs, the business owner had a gap of ~$3,000 which MCCD was able to fill through a MicroGrant. The
grant covered the remaining costs for equipment, supplies, and technology. With the additional funding the
business owner opened her doors in June with a fully equipped classroom space. As the head of a household
with 6 children, this business owner is on the path to building a strong business and a successful future.
Highlights, Networking, & Outreach
Funding & Policy Updates
• August – MCCD is excited to share that we are 1 of 32 recipients of the US SBA’s PRIME grant awards! This is a
first-time funding source for MCCD and will directly impact our small business development program and
support technical assistance to economically disadvantaged microentrepreneurs.
Staffing
• August – MCCD welcomed Electra Skrzydlewski, Director of Shared Ownership. Devoted to the utilization of
shared ownership models to foster collective self-determination and promote racial and economic justice,
Electra’s expertise strengthens MCCD’s commitment to community wealth-building.
• September – MCCD’s Chief Financial Officer, Trish DeAnda, is honored as one of the Minneapolis/St. Paul
Business Journal’s CFOs of 2023 in recognition of her outstanding work and financial leadership.
Dakota County Q3 Report 9.30.2023
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Programming, Partnerships, & Trainings
• September 22 – Lending partners from banks, credit unions, and CDCs along with dedicated volunteers gathered
at the MCCD office for lending-focused networking and breakfast.
• October 10 – The Open to Business team participated in the first annual teambuilding retreat. The team
gathered to reflect on 2023 and look ahead to 2024.
• November 8 – In partnership with accounting firm Tax Actions of Minneapolis, MCCD is hosting a bookkeeping
and accounting Q&A webinar. The event will cover an overview of bookkeeping practices for small businesses as
well as a Q&A section where the attendees can have their bookkeeping questions answered by an expert. RSVP
via Eventbrite.
• November 9 – Join MCCD along with our partners and clients at our Annual Meeting and Celebration. We will
celebrate our collective community impact at Broken Clock Brewing Cooperative in Minneapolis, 4 – 6 PM. RSVP
via Eventbrite.
• November 17 – In partnership with the UMN Law School, MCCD is hosting another Small Business Law Q&A
webinar. As in past legal Q&As, legal experts provide transaction-based legal assistance to small businesses on
a variety of subject matters including entity formation, owner distributions, and commercial lease review. These
Q&As are a great opportunity for business owners and entrepreneurs to get free guidance on legal matters.
RSVP via Eventbrite.
Advertising & Outreach
• August – West Saint Paul entrepreneur and MCCD client Hamburguesas El Gordo was featured in the city’s
quarterly newsletter. With MCCD’s support and guidance over the years, the business successfully expanded
their operations to include the West St. Paul location at 1731 South Robert St. Read the full article here.
• September – MCCD rolled out a new Business Resource E-Newsletter which is sent to clients and community
contacts monthly. MCCD will curate and dispatch business resources to further support small business needs
including useful training, grant opportunities, policy updates, and more. Reach out to us if you would like to
subscribe and we will add your information to the mailing list.
• Banker and lender outreach occurred specifically with Amplio, CMDC, Fidelity Bank, Merchants Bank, Northeast
Bank, Old National Bank, Royal Credit Union, Sunrise Bank, Think Bank, and US Bank.
• Written or in-person presentations were made and/or networking efforts were made including Dakota County
Regional Chamber networking event on August 10, Hasting Makers Market on August 31, South Robert Street
Business Association on September 11, Dakota County Regional Chamber on September 11, Dakota County
Library Adult Services on September 27, and West Saint Paul Workforce Development Center on October 20.
Regular/update meetings occurred with the Workforce Development Board’s Business Services/Economic
Development Committee, the University of MN Law School, Dakota County CDA, the City of Farmington, and the
City of Eagan, the City of Hastings, and the City of South Saint Paul.
Dakota County Q3 Report 9.30.2023
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Client Highlight
Asian Mart LLC
14600 S 10th Avenue South in Burnsville & 464 Concord Street South in South St. Paul
Asian Mart LLC embodies authentic Asian culture. Its owner, Watson Fong, first ventured into entrepreneurship in 2007
operating two retail stores in the region. In 2019 he purchased Asian Mart in Burnsville. As a Filipino immigrant working
7 days per week to grow the business, Watson was committed to deepening his connection with Minnesota’s vibrant
Asian culture and community through the revitalization of the food mart. Asian Mart now focuses on Filipino cuisine
with a refreshed interior, new suppliers, and hard to find cooking ingredients. After 5 successful years in Burnsville and
a steadily growing customer base, Watson needed more space for inventory and wanted to expand his prepared food
and catering offerings. It was time for a second location and Watson found it on Concord Street in South Saint
Paul. Watson established a connection with MCCD through his bank and worked closely with Business Advisors on
budgeting, concept development, and securing the financing needed to bring his plans to life.
The project includes remodeling a 2,400 square-foot building to have ample warehouse space and deli, grocery and
bakery areas, food counters and seating for up to 15 guests. The financing package closed in September 2023 with
participation from MCCD, Cortrust Bank, the SBA, and the City of South Saint Paul. Construction will be completed in
2024. Asian Mart stands as a vital asset to the Midwest’s Asian community, catering to patrons from Twin Cities area,
Duluth, North and South Dakota, Iowa, Wisconsin, and Canada. Customers are thrilled to hear about the expansion. The
business employs 3 and the expansion aims to add 3 to 6 new jobs.
MCCD makes the loan process smooth from initial consultation to closing, they have a heart to help small minority
businesses like us. We greatly appreciate their support. – Watson Fong