Treasurer Steven Grossman today toured the recently opened Orange Leaf frozen yogurt shop in Newburyport, which was made possible through a $500,000 loan made by the Newburyport Five Cents Savings Bank leveraged through the Treasury’s Small Business Banking Partnership. The new store has added three new full-time and 35-40 new seasonal and part-time jobs to the Newburyport-area economy.
“This is another great example of a community bank helping to fuel a local success story, and we’re delighted to be a part of it,” said Grossman. “All across the Commonwealth, we are seeing successful new businesses like Orange Leaf put the entrepreneurial spirit to work through the Small Business Banking Partnership.”
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.
Orange Leaf in Newburyport was opened by the husband and wife team of David Pierre and Nancy Angell, who already own similar stores in Salem and Andover and are poised to open another soon in Somerville. They not only pride themselves on serving up a top-notch yogurt product, but also on reaching out to schools, sports teams and charities to donate their time, products, or a portion of their profits.
“We are so excited to be part of the Newburyport community and would like to thank Newburyport Five Cents Savings Bank for making this possible. We believe in strong community involvement and are looking forward to getting involved with the local schools and non-profit organizations,” said David Pierre. “We greatly appreciate the overwhelmingly positive reception we have received since opening our doors in this vibrant community.”
The Newburyport Five Cents Savings Bank, which has six locations throughout the Greater-Newburyport area, extended the loan to Orange Leaf to fund the purchase of the store’s building and start-up costs associated with the new location. The bank, which prides itself on community involvement and investments in local small business enterprises, has been in business since 1854.
“We value that local entrepreneurs and small business owners rely on us to help them start and grow their businesses. Participating in the Treasurer’s Small Business Banking Partnership program only reinforces our commitment to small businesses and how important it is to support the ‘main street’ economy which helps to employ local people and keeps communities healthy and vibrant. We are very happy to join other community banks in this initiative,” said Janice C. Morse, President and CEO of the Newburyport Five Cents Savings Bank.
“Small businesses are the backbone of the economy and local, community banks understand that, and provide those businesses with the capital they need to grow and thrive. The Newburyport Bank and Jan Morse have once again stepped up to make a meaningful investment in our community,” said Representative Michael Costello. “I want to thank Treasurer Grossman for his leadership on the Small Business Banking Partnership which puts state money to work for our community banks and for our local businesses.”
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.