Bay Colony Development Corp. in the News

A new year will bring new changes to Bay Colony Development.  Effective July 1st, Erik Adams will take over as President and CEO of the organization.  Mr. Adams is currently Bay Colony’s Executive Vice President and will be celebrating his fifteenth year with Bay Colony Development in June.  He has over 20 years of experience in the CDC industry, after coming to Bay Colony Development from California Statewide CDC. Erik currently serves as a Regional Director on the Board of NADCO (National Association of Development Companies), the trade association of SBA Certified Development Companies (CDCs).

Mr. Adams said, “It has been a privilege working with the Bay Colony Development team over the last 15 years. I am honored to be selected by Mary and the Board of Directors to lead the organization and continue to provide access to capital to small businesses throughout the region.”

Mary Mansfield, Bay Colony’s current President and CEO, has been in that role for the last nine years and has been with the company for forty years.  She will be stepping into the role of Senior Advisor and will continue working for Bay Colony Development to promote small business growth in New England.  Mrs. Mansfield said, “I have thoroughly enjoyed leading the organization over the last nine years, and it is with a sense of pride and gratitude that I turn the reins over to Erik. I have tremendous confidence in the team’s continued success, and I look forward to seeing what the next chapter brings for all of us.”

Congratulations to our borrower, Roses Restaurant, for being featured in Berkshires Week as one of the top 7 picks for places to linger with a friend over lunch! Roses is located at 160 Housatonic Street in Lee and is open for Breakfast, Lunch and Brunch.  Stop by when you are in the area and support this great small business!

Join us as we celebrate a huge milestone for the CDC lending industry.  CDC lenders and the SBA have helped over 175,000 small business owners receive  $100,040,561,000.00 in all time SBA 504 financing.  The total impact, which includes the financing from third party lenders, has supported over $250 billion in local economic development across the nation.  

We applaud the hard work of the CDCs, their lending partners, the SBA and 504 champions in Congress for their commitment and focus on making a difference for small businesses.  Our collaboration and shared mission has ensured that small business owners across the country get the financing they need to succeed, grow, create jobs and enhance their local communities.    

Reach out to us to see how the 504 loan program can help your borrowers!

Each year, the Small Business Administration (SBA) reviews certain fees payable to the Agency by 504 borrowers to determine if any of those fees need to be adjusted to cover the estimated subsidy costs of the 504 loan program.

Program fees paid on 504 loans for loans approved on or after Oct. 1, 2021, through Sept. 30, 2022 will be as follows:

(a) The Fees include the one-time upfront SBA Guarantee Fee that is priced as an Administrative Cost in the Debenture at 0.005 of Net Debenture Proceeds (50 basis points). This applies to both regular 504 Loans and Debt Refinance without Expansion 504 Loan approved in FY2022.
(b) The Ongoing SBA Guarantee Fee for regular 504 Loans approved in FY2022 is decreased to 0.2475% (24.75 basis points) from the FY2021 Ongoing SBA Guarantee Fee which has been 0.4517% (45.17 basis points) of the outstanding amount of the 504 Loan.
(c) The Ongoing SBA Guarantee Fee for Debt Refinance without Expansion 504 Loans approved in FY2022 is decreased to 0.2590% (25.90 basis points) of the outstanding amount of the 504 Loan (0.2475% plus 0.0115%) from the FY2021 Ongoing SBA Guarantee Fee for Debt Refinance without Expansion of 0.4865% of the outstanding amount of the 504 Loan (0.4517% plus 0.0348%).
(d) The Economic Aid Act’s waiver of the Third Party Lender Participation Fee ends September 30, 2021.

Bay Colony Development Corp. is happy to announce that effective September 1st, Laura Brown will be joining our team. Laura brings a wealth of SBA and financial services knowledge to our team, having most recently worked for BDC Capital/ CDC New England as an SBA 504 Business Development Officer covering the Northern MA and NH Markets. Prior to that Laura worked for Eastern Bank and Salem Five Bank in the Business Banking teams.

We are excited to have Laura join our team and assist Bay Colony Development Corp. to continue our expansion in the New Hampshire market and to provide the excellent level of customer service she is known for to our bankers and borrowers.

Her contact information will be shared once she starts!

Welcome Laura!