Akaitcho shines bright
$2.6 million in payroll added to communities in past year
Walter Strong
Northern News Services
Published Wednesday, November 26, 2014
SOMBA K'E/YELLOWKNIFE
Only 20 per cent of small businesses survive their first five years in business, according to Statistics Canada.
Thanks to the Akaitcho Business Development Corporation (BDC), that trend is not a rule.
Ninety per cent of the small businesses that have benefited from the non-profit organization since 2009 are still in business.
The development corporation provides repayable five-year loans of up to $125,000 for business start-up, expansion or special projects to businesses based in Ndilo, Dettah and Yellowknife.
"By providing access to funding, business guidance, support and so much more, they play a key role in the success of entrepreneurs in these communities," said David Ramsay, minister of Industry, Tourism and Investment, a guest speaker at the development corporation's annual general meeting earlier this month.
Board chairperson Darrell Beaulieu oversaw a summary of 2013-14 activities and financial standing as of March 31 during the meeting.
Akaitcho BDC has 31 clients representing $1.15 million in loans, with zero non-performing. Last fiscal year, Akaitcho BDC met with 14 small businesses and approved $400,000 in loan financing for six of those businesses.
In addition to loans, the non-profit provided seminars and business counselling services to 29 entrepreneurs leading, to the start-up or expansion of five store front businesses and 14 home-based businesses, according to the annual report.
This translated into 37 full-time and four part-time jobs. The Akaitcho BDC pegs the value of that employment to be more than $2.6 million in payroll injected back into the communities.
Three businesses were selected as outstanding contributors to the communities in 2013-14. The winners were Akaitcho Bay Trucking, owned by Victor Crapeau, Simplistic hair studio, owned by Jennifer Lockhart and Elizabeth Ferrier, and Jerrie's Delivery, owned by Ed Dithurbide. A $500 donation was made on behalf of each winner by Akaitcho BDC to the charity of the winner's choice.
Akaitcho BDC was founded in 1989 with the help of a $617,500 contribution from the GNWT. Since then, the corporation has grown that initial investment to $1,254,309.
The Akaitcho BDC volunteer board of directors is made up of members from all three communities. With Darrell Beaulieu as chair and Shirley Tsetta the secretary treasurer, the organization's five directors are Patrick Doyle, Roy Erasmus Jr., John Hazenberg, Steven Meister and Jonas Sangris. The corporation also has three employees.
Besides financial assistance, Akaitcho BDC offers several business seminars over the year. Topics range from small business banking and bookkeeping, to working with the GNWT to start and grow a business in Ndilo, Dettah and Yellowknife.
