Grossman Tours Lunenburg Business Aided Through Loan Program
Funstuf Rentals Received Expansion Capital Through Small Business Banking Partnership
Treasurer Steven Grossman today toured the recently relocated Funstuf Rentals in Lunenburg, a recipient of a $100,000 loan made by Rollstone Bank & Trust leveraged through the Treasury’s Small Business Banking Partnership.
“All across the Commonwealth we are seeing successful businesses like Funstuf Rentals put their entrepreneurial spirit to work through the Small Business Banking Partnership,” said Treasurer Grossman. “By directing additional deposits into Massachusetts community banks and encouraging them to lend to Massachusetts small businesses, the Partnership puts the reserve resources of the Treasury to their optimal use, creating jobs, opportunity, and prosperity throughout the Commonwealth.”
The Small Business Banking Partnership moves Treasury cash reserve funds typically held by large national and international financial institutions and deposits them in amounts of up to $10 million in Massachusetts banks. In exchange for the infusion of new deposits, the banks sign a Memorandum of Understanding (MOU) signaling their intent to enhance their loan portfolios to small credit-worthy Massachusetts businesses.
Funstuf Rentals rents a host of amusement attractions such as bounces, water slides, obstacle courses, bungee runs, dunk tanks, a Velcro wall, and a photo booth. The loan has allowed the company’s president, Francis Dower, to move the business out of his home barn to a store front at 10 Massachusetts Avenue in Lunenburg. The loan will also permit the business to expand its scope of rentals to include barbeque grills, pig roasters, tables, tents, chairs, and lobster steamers. Because of the move, Dower expects to expand his operation from 3-4 part-time/seasonal jobs to 1 full time job and 8-10 part-time/seasonal jobs.
“This store has been a dream of mine for several years,” said Dower. “Rollstone Bank and Trust and the state Treasurer’s office are making this happen. Starting out in my barn with a couple of bounce houses, and now 15 years later I’m in a store, I can truly say that the American Dream is still alive.”
Rollstone Bank & Trust is headquartered in Fitchburg and has been in business since 1846. It has a Loan & Wealth Management Center in Worcester and seven branches throughout central Massachusetts. The bank, which offers a full range of banking and financial services, prides itself on community involvement and investments in local businesses.
”We were extremely excited when the State Treasurer’s Office approached us with the idea of moving state funds into local banks to fund small business lending. The Treasurer’s Office has been a pleasure to work with,” said Michael A. Olson, Executive Vice President/Chief Lending Officer.
All deposits that the Treasury makes in these community banks are protected through either insurance or collateral, and the interest rate on the money is comparable to what the Commonwealth receives at out-of-state financial institutions.