• 
• CLASS
• JOBS
• AUTO
• HOMES

Loans help Walworth County businesses stay afloat

ELKHORN — Several small businesses in Walworth County are weathering the tough economic climate with the help of a revolving loan program through the Walworth County Economic Development Alliance.

“We’re dealing with the essence of small business,” said Fred Burkhardt, executive vice president of the alliance. “We’re the only ones making small business loans.”

The revolving loan program is designed to help provide financing for small businesses or new businesses that might not have access to a conventional loan pool.

The Walworth County Economic Development Alliance in 2008 received a $500,000 federal grant to create the program, and nine Walworth County businesses so far have received loans and are using the money to survive during challenging economic times.

More than 25 jobs have been created or retained as a result of the revolving loan program, Burkhardt said.

Businesses must have 50 or fewer employees or do $1 million or less in sales to qualify for a loan of up to $50,000 through the program.

“The uses are pretty far ranging,” Burkhardt said of the loans.

The money has been used to buy equipment, build equipment and hire employees.

Global Recruiters of Lake Geneva, a professional talent recruiting firm, opened in April and used a loan from the Walworth County Economic Development Alliance to add two staff members to the recruitment team in June.

“I needed some extra working capital to bring two people into the business,” said owner Dan Michalove.

Global Recruiters plans to continue growing, and the company soon could employ as many as 10 local people.

Troy Tool and Die of Elkhorn received a loan in February, when business was especially tough, said Bob O’Neill, company president. The money came just in time, he said.

“Without the loan, we might not be in business today,” he said.

Troy Tool and Die employed four people when it received the loan. Business since has improved, and the company plans to hire two more people.

The Walworth County Economic Development Alliance has issued all but $25,000 of its initial $500,000 grant, but as companies that received those initial loans begin to pay them back, more money for loans will be available to more companies, Burkhardt said. Applications for loans through the revolving loan program are being accepted, he added.