NLIS 4
December 21, 2004
(Innovation, Trade and Rural Development)

 


Labrador companies receive almost $100,000 for business development

Five companies from across Labrador have received funding under the Department of Innovation, Trade and Rural Development�s Small Business Seed Capital Equity Program and Business Market Development Program. Combined, these businesses will receive $99,902 in funding from the provincial government for a variety of initiatives including expansion, marketing and strategic planning. Kathy Dunderdale, Minister of Innovation, Trade and Rural Development and Minister Responsible for the Rural Secretariat, and Trevor Taylor, Minister Responsible for Labrador Affairs and Minister of Fisheries and Aquaculture, made the announcement today. 

"As part of this government�s commitment to revitalizing Newfoundland and Labrador, I am pleased to announce this funding," said Minister Dunderdale. "It is our intention that these companies, through this funding and their respective business development initiatives, will increase employment opportunities in Labrador, and positively impact the economic outlook of the communities in which they are based."

"The province needs to be strategic in how it spends its limited resources," said Minister Taylor. "These investments in Labrador's small businesses are part of our efforts to stimulate and grow our economy. Of particular importance is funding that will work towards ensuring the continued vitality of 5 Wing Goose Bay." 

Borderside Farms Incorporated was started in 1997 in L�Anse Au Clair. A 20-acre plot of land was leased and three acres were planted. Every year since, the farm has continued to expand, both in size and diversity of crops. Currently, approximately eight acres are being utilized, with expansion plans now in place for 2005. This farm has the potential to supply all the root crops needed in the local area. Borderside Farms utilized $13,000 in funding from the Small Business Seed Capital Equity Program to construct a new storage facility to house, preserve and maintain the freshness and quality of its crops until ready for retail distribution. 

Labrador Winter Trails (LWT) was established to act as an umbrella organization for development associations, snowmobile clubs, government parties, and the private sector to ensure the development of a consistently high quality Labrador winter trail system. This integrated approach is also supported at the local community level with well over 100 volunteers donating their time and energy to ensuring the success of the winter trail system. $15,250 from the Business Market Development Program will enable LWT to market snowmobiling through magazine advertisements in relevant industry publications, participate in trade shows and create supportive information kits. 

Moulders of Dreams Incorporated is an initiative based in Port Hope Simpson that focuses on Labrador residents affected by myotonic dystrophy - a progressive disease affecting the muscular system in speech, legs, arms, and feet, and then continues attacking the body�s other major systems. Moulders of Dreams has been in existence for approximately three years. It has trained people in the techniques of wheel-thrown pottery, producing and decorating items such as creamers, mugs and bowls, with a traditional Inukshuk design. After operating a successful manufacturing operation in those years, and given the progression of skills development and rapid improvement in production quality, Moulders of Dreams is now poised to develop into a viable and prosperous venture. Funding of $5,000 from the Business Market Development Program will provide direction for future operations of this extremely worthwhile program through the development of a strategic plan. 

The Labrador North Chamber of Commerce (LNCC) located in Lake Melville, received $16,652 in funding from the Business Market Development Program to coordinate and lead a "Lessons Learned Tour of Canadian Best Practices." Through this initiative, a diverse group of community stakeholders visited, studied and learned from three sites within Canada that have pro-actively and positively responded to challenges posed by military downsizing. The tour has raised the area�s profile with key decision-makers in the Canadian aerospace industry, as well as provided opportunities to meet investors who may be interested in pursuing economic opportunities in Goose Bay. In addition, stakeholders developed a productive network with other groups who have faced and surmounted obstacles similar to 5 Wing. This initiative complements the current effort to sustain and expand the economic activity of 5 Wing Goose Bay. 

Northern Lights Fishing Lodge opened in 1989 in Labrador City as an outfitter for fishing and hunting. The lodge, with its recent expansion into caribou hunting and snowmobile adventures, has increased its operating season from the standard 10 to12 week fishing season to nearly 10 full operating months. The lodge has discovered a tremendous demand in Europe and Asia for adventure tourism, specifically wilderness excursions. Northern Lights Fishing Lodge will use $50,000 from the Small Business Seed Capital Equity Program to expand its facilities and meet the growing demand for its services in new markets. 

The Business and Market Development Program is designed to provide new entrepreneurs and expanding small businesses with funding to help them acquire the necessary expertise to pursue new business ideas and new markets for their products or services. The program is intended to support new growth opportunities in the economy, such as value-added manufacturing activities and export-oriented opportunities. 

The Small Business Seed Capital Equity Program is designed to provide new or expanding small businesses with access to "patient" equity capital, to assist in building a stable business foundation from which to grow their operations. The program is intended to support new growth opportunities in the economy, such as value-added manufacturing activities and export-oriented opportunities. 

Media contact: Lynn Evans, Communications, (709) 729-4570 or (709) 690 6290 

2004 12 21                         2:25 p.m.


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