City of Ventura Business Assistance & Enhancement Program November 15, 2010

1. City of VenturaBusiness Assistance & Enhancement ProgramNovember 15, 2010 Sid White, Economic Development Manager City of Ventura Bruce Stenslie, President/CEO Economic Development Collaborative Ventura County

2. Business Development Programs • Business Enhancement Program (BEP) • Free and Confidential assistance for businesses (w/ EDC-VC, SBDC, SCORE, WEV, WIB) • One-on-one consulting • Technical assistance • Agency referrals • Business Assistance Loan Program (BAP) • Provides up to $125,000 in low-interest loans ($250,000 w/ EDC-VC) • Commercial Rehabilitation • Code Compliance • Business Development

3. Business Enhancement Overview • Business expansion & growth • Increase business profitability • Create new jobs • Turnaround assistance for small businesses in crisis • Keep business in business • Retain jobs, avoid layoffs • Business Start-up, Entrepreneurship • One-on-One Professional Consultation • Bench of Experts • Confidential Service • No Cost for Services

4. BEP Marketing • Business License List • Ventura Magazine • Community Councils • DVO/P Newsletter • Ask the Director • Word of Mouth • Face to Face

5. Current Downtown Business Outreach Activity • Direct, personal visits to 80 select downtown business owners • In response to “what we heard” -- organizing a Downtown Business Workshop with DVO/P focusing on “Social Media” Marketing for Holidays. • Professional, no cost, confidential follow-up consultation with approximately 25 businesses • EDC-VC and Small Business Development Center/SBA resources, and/or referral to other expertise, and/or Loan Program Officer.

6. Business Enhancement Forums • Multiple sponsors, Chamber Partnership • Over 140 business attendees • Direct follow- up with more than 35 businesses • Better than a 4.5 positive rating on a 1 - 5 scale • Scheduling next for after first of year

7. Business Enhancement Forums

8. Program Partners • • Economic Development Collaborative-Ventura County • Small Business Development Center Network and SBA • Ventura Chamber of Commerce, Local & Regional Banks • SCORE, Women’s Economic Ventures • Workforce Investment Board of Ventura County and Ventura County Job & Career Centers • • Ventura County Community College District • • California Manufacturing Technology Consulting • Ventura County Regional Energy Alliance • • Southern California Edison & The Gas Company

9. Business AssistanceLoan Program Improve Business Access to Capital for: Small Business/Micro-Enterprise Development Commercial Rehabilitation Code Compliance Overcome Barriers to Entrepreneurship Provide a Pool of Capital for Direct Lending when Commercial Credit is Unavailable Connect Businesses to Other EDC-VC Loan Funds & Lenders, SBA Programs, Leverages Bank & Owners’ Equity Aligned with Economic Development Strategies

10. Business Assistance Loan Program History Program Inception in Years 1999/2000 $600,000 Commercial Rehab Loan Fund Downtown Redevelopment and Westside Revitalization Areas (added Midtown in 2002) $330,000 Code Compliance Loan Fund Citywide $250,000 +/- Community Development Block Grant (CDBG) “Annual” Allocation Working Capital Micro-Loan Program

11. BAP Marketing • Business License List • Ventura Magazine • Community Councils • DVO/P Newsletter • Ask the Director • Word of Mouth • Face to Face

12. Business Loan Program Performance Since Program’s Inception in Year 2000 48 Business Entities Assisted 78 Loans Issued Over 145 Jobs Retained Over 160 Jobs Created ($15,574 per job created) Total Loans Funded: $2,491,862 Defaults & Loan Losses: $268,303 Default Ratio: 10.77% (SBA 13-15%) Total Loan Pool Performance, Including Interest Earned on Loans, Is Positive, “Principal Intact”…

13. EDC-VC Partnership & Role • Full-time professional loan officer, loan recommendations approved by a bank-professional led loan board • Focus on client’s business plan & city’s policy objective to create at least one job per $25,000 loaned • Loan review process includes extensive, professional business development assistance • Rigorous credit standards, though more flexible than commercial credit • Three years of financial statements or projections • Collateral includes business assets, personal guarantees, UCC-1 filing

14. Diversity of Loan Recipients • Of the 47 loan recipients, primary concentration in Downtown Redevelopment Area • Outside Downtown, recipients include manufacturers, others with high wage jobs • Recipients include: • restaurants & hospitality industry • professional & technical services • retailers & wholesalers • information technology

15. Next Steps Continue targeted outreach; free, confidential, professional assistance Downtown Business Workshop Specific Topic Workshops Major Forum in early 2011- partnership focus Continue evaluation/tie-in lending priorities with City’s ED Strategy Balance “quality of life” service businesses, high value/wage industries…retain existing jobs, too! Increasingly seek out innovation & entrepreneurship

16. For Additional Information Sid White, ED Manager – CD Dept. swhite@ci.ventura.ca.us 805-654-7819 Bruce Stenslie, EDC-VC bruce.stenslie@edc-vc.com 805-384-1800, ext 24