6. EDSR 07-10-2006 - Laserfiche WebLink

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Cous'idcc Loan Hxtcnsioo Rcyucst: Lake Assault Custom Boats Jme 14, 2006, EDA 1'inanec Committee Mccdng Page 2 of 2 ISSUe The balloon payment on this loan in the amount of $37,596.89 was due June 5, 2006. In accordance with the City's Micro Loan Policy, the company is eligible to be considered for a two-year extension at a market rate of interest. Pxiox to the due date, Jerry Atheron, President, provided staff with the attached written request for the EDA's consideration of a two-year extension. In addition, Mx. Atherton submitted the attached financial statements in order fox the EDA Finance Committee to review and provide recommendation to the EDA regarding the extension. Future Plans The company would like to double its work force to accommodate an extensive work load. Their goal is to have three boats in production at all times. Latex this summer, the company plans to start looking for a new facility with awell-lit lobby to display two boats; however they like the traffic volume at the current location. The company currently holds amonth-to-month lease at the Decker building. Jerry Atherton, Lake Assault Custom Boats President, will be present at the Finance Committee meeting to answer questions. Following any questions and answers, Mx. Atherton will be excused during the Finance Committee's discussion and recommendation. Recommendation Staff recommends that the Finance Committee consider a recommendation that the EDA approve the two-year loan extension request to Lake Assault Custom Boats, LLC with the following terms: • Market rate of interest Loan repayment schedule to be adjusted retroactive as of the company's June 5, 2006 balloon payment due date Next Step The Finance Committee's recommendation will be brought to the EDA fox final action at its July 10, 2006 Regular Meeting at 5:30 p.m.