Fleet Machine to Increase Production and Create Jobs with CARES Act Loan | News
A Gloucester-based state-of-the-art manufacturing company specializing in precision machining will be able to purchase four new machines and associated tools through a loan from MassDevelopment which is available from Federal Pandemic Relief Funds.
MassDevelopment announced a $ 284,000 equipment loan, backed by an export guarantee, from the CARES Act Revolving Loan Fund to Fleet Machine Company Inc. The company will use the proceeds of the loan. ” purchase of four new computer numerical control (CNC) machines and associated tooling that will help Fleet Machine increase production of advanced components for the aerospace, defense, medical and robotics industries .
Fleet Machine plans to create four additional new jobs over the next three years, according to the announcement; this is the seventh automated solution that MassDevelopment has helped Fleet Machine fund since 2016.
The CARES 2020 law authorized the US Economic Development Administration to provide grants to entities like MassDevelopment to capitalize revolving loan funds that provide loans to small businesses and nonprofits affected by the COVID-19 pandemic.
“From the Berkshires to Cape Ann, the manufacturers know there are many opportunities for growth across the state,” said Housing and Economic Development Secretary Mike Kennealy, who chairs the board of directors for MassDevelopment. “MassDevelopment’s low-cost equipment financing is an important tool the Commonwealth is using to help these businesses create jobs and grow their operations. “
“MassDevelopment is proud to help manufacturing companies create incredible products every day by funding the tools and space they need to increase their production capacity,” said Dan Rivera, President and CEO of MassDevelopment . “At Gloucester, our continued partnership with Fleet Machine Company Inc. allows the company to purchase the necessary equipment, expand its operations and remain a key contributor to the Massachusetts economy.
Fleet Machine purchased its first four-axis horizontal machining center in 2016 with the help of a $ 225,000 equipment loan from MassDevelopment, according to the announcement. The agency increased this funding in 2017 to support the purchase of a second machine. In June 2021, the company used a $ 510,000 equipment loan from MassDevelopment to purchase a new five-axis multitasking center.
“The City of Gloucester is grateful for the continued investment MassDevelopment has made in companies like Fleet Machine,” said Mayor Sefatia Romeo Theken. “The partnership and the resulting job creation are boosting the local economy as we continue to manage the effects of the COVID-19 pandemic. We are proud to have Fleet Machine in the city with its commitment to an innovative and conscientious approach to manufacturing.
Fleet Machine, which was founded in 2010, is located at 1 Kondelin Road in the Cape Ann Industrial Park.
“As our company has continued to excel in producing high precision components for the advanced industry, MassDevelopment has supported our growth every step of the way,” said Jack McGourty, president of Fleet Machine Company Inc. “MassDev understands the value that a business can bring to a community and our success is the result of their commitment.