Development Fund

Traverse City Area Chamber of Commerce Development Fund The Development Fund of the Traverse City Area Chamber of Commerce is an Economic Development program designed to primarily assist companies in obtaining sufficient capital to grow their business and create additional jobs in the region. Financial support is limited to between $25,000 - $250,000. Any eligible company may apply for assistance from this Fund at any time. Review the Development Fund Program Overview, the Due Diligence Checklist and the Subordinated Note Agreement documents to understand this program in more detail and to help you prepare your application.

The purpose of the Chamber’s Development Fund is to increase the region’s access to capital to spur economic growth. It is the intention of the Chamber to use the Fund to help existing companies grow their business’ through diversification, product expansion or other growth opportunities that require capital which is not available through traditional financing options. Specifically, the Development Fund will be used for gap financing. Click here to review all available financing programs.  The Development Fund program will not compete with existing financing programs that are available in our region, or be offered if alternative financing is available.

Eligibility Criteria

To be considered for assistance from the Development Fund, the following criteria will apply:

Company headquarters or primary workforce must be located in or around the 5-county region of Antrim, Benzie, Grand Traverse, Kalkaska and Leelanau Counties Company has sales revenue with high growth and profitability potential Company has a clear use of funds and identify “pay out” sources Use of funds are for sustainability and growth, not to pay outstanding debt   Funds will not be provided to publicly traded companies, however funds can be used to spin out a new business

How to Apply The Fund is administered through the Traverse City Area Chamber of Commerce who will perform all application due diligence and be the liaison between the company and the Development Fund Committee.  Refer to the Due Diligence Checklist for more detail regarding information to be submitted with the application.

Companies seeking assistance from the Development Fund should complete a Development Fund Application.  An non-refundable application fee of $375 will be charged for funding consideration.  In addition to basic contact information about the company, the following information is also required:

• Business Plan (Limited to 30 pages)
• Organizational Papers (i.e. LLC Documentation)
• 3 Years Financial History (Balance Sheet, Profit & Loss, Cash Flow)
• 3-5 Year Financial Projection (Profit & Loss, Cash Flow)
• Sources and Uses of Funds Statement
• 2 Years Company Tax Returns
• Bio/Resume of company founder and top management team (limit 2 pages for each)
• Certificate of Good Standing from the State of Michigan
• Investor/Bank Commitment Letter(s)
• Personal Financial Statement / Tax Returns may be requested

A completed Fund Development application along with supporting material should be emailed to Development-Fund@tcchamber.org.

Once all required components of your application are received and the application fee is processed, a formal due diligence procedure will be conducted. Additional technical support may be provided as necessary through the contracted assistance of professionals in the fields of accounting, law, or finance.

The Development Fund Committee will evaluate the application and make the final approval decision. The Board may:

• Reject a Company’s Application
  A summary report is provided to the applicant stating reasons for rejection. 

• Request More Information from Company
  If a particularly important technical area of due diligence is missing, the Development Fund Board can request a cursory review of that diligence item as part of the submission. The Development Fund Board Members may also request to meet with company executives. 

• Approve Funding Request for the Company
  The Development Fund Board may accept the requested amount in whole or a smaller amount within the prescribed limits of the Fund.  Review the Development Fund Program Overview for more information on approved funding.

Time from application submission to funds being dispersed may be up to 60 days.  A company may apply for funding at any time. 

The primary beneficiaries of this Fund will be companies that are traditionally beyond the start-up phase. Recipients could be early stage, high-growth potential companies, or companies (in terms of jobs, goods or services) that have revenue less than $100 million that are seeking to diversify their business.  Funds will not be offered for real estate development or start-up operations.

The Fund will deploy capital throughout the region with an expectation of a reasonable return to sustain the Fund for continuous availability to spur economic growth.  Funding will be provided through loans and co-investments.

Review the Development Fund Program Overview, the Due Diligence Checklist  and the Subordinated Note Agreement documents for more information.