INNOVATIVE BUSINESSES LOAN PROGRAM LAUNCHED BY THE INNOVATION CITY

SOMERVILLE
- The City of Somerville-the 'Innovation City'-is supporting the growth of
next-generation industries that will fuel the 21^st century economy
with the creation of the Somerville Innovation Fund (the I-Fund), a $1 million
loan program to support the growth of innovative businesses in the city.

Businesses
expanding in Somerville that feature innovation in their purpose, operation,
products or services, or other demonstrable aspect of their operation, can
apply for loans from $25,000 up to $500,000 to support working capital
purposes. With flexible terms and interest rates based on a full evaluation of
each company, these loans support the special borrowing needs of expanding
businesses. Priority for the loans goes to projects that create jobs, leverage other
financing, and are located in designated economic opportunity areas.

Similar
to the $300,000 working capital loan that the City of Somerville provided to
Greentown Labs for its expansion into Somerville, I-Fund loans contain
requirements that the business must hire new employees within one year, that
not less than 51 percent of new jobs must be available to persons who meet low-
moderate-income guidelines, and that the business must agree to make a good
faith effort to hire Somerville residents for all available job opportunities.

"If
Somerville is going to compete in the new industrial renaissance, we have to
support those businesses that will form the foundation of the 21^st
century economy. We launched our Future Economies Commission specifically to
ensure that Somerville is at the forefront of the next generation of economic
opportunities," Mayor Joseph A. Curtatone said. "These loans directly support
job creation in the city, while also planting the seeds that will lead to the
revitalization of the city's industrial and business districts and unlock other
important economic opportunities for our city. These growing businesses are
looking to Somerville, because it's a city that supports originality,
creativity and innovation."