Saint John Community Loan Fund

Industry:

Banking

Description

The Saint John Community Loan Fund made its first loan in September 1999. The first loan was a nail biter, with the volunteer loan committee deliberating over two separate meetings to tie-up their first "risky" loan. It was for $5,000, and it was to a company, a one-man show, that salvaged sunken logs from the bottom of the Saint John River. The loan was a success, with the loan being paid back and the borrower going on to develop another business that continues to contribute to Saint John.

The Saint John Community Loan Fund was incorporated as a non-profit corporation in April 2000 and received its charitable tax status from Revenue Canada in April 2003. It continues to be an innovator, being the first and only community loan fund in Atlantic Canada, joining approximately forty other micro-credit organizations across the country. All risk capital (loan and reserve) comes from community investors and donors, with a diversity of funding sources meeting operational needs.

In 2003, the Loan Fund confirmed its Vision, 'to be an innovative community lender, responding to local needs, with sufficient resources to help individuals build self-reliance through a variety of financial tools, and to provide an effective vehicle for Saint John citizens to invest directly in their community.' The Loan Fund started with back to work loans and business loans in 1999. In 2003, the damage deposit loan was added in response to a priority stated in the 2000 Community Plan. Training in financial literacy and business plan training were added in 2003 as well.

The Loan Fund continues to be recognized as a leader in community investment and community economic development in the country. In 2004, the Loan Fund won the contract to serve as the Atlantic Regional Coordinator for the Canadian Community Economic Development Network and was a key player in creating the Canadian Community Investment Network.

In November 2006, Seth Asimakos represented the Saint John Community Loan Fund at the Global Microcredit Summit held in Halifax. He was a panelist and presenter at the event that attracted over 2,000 delegates from around the world attended.