Continuously serving Kosciusko County since 1854
Bix Benson and Jean Wojtowicz presented information abut The Founders Fund, a venture capital funding group, during Kosciusko Development Inc.'s board of director's meeting Wednesday.
Benson said in introductory statements there is a lot of concern in the business community to retain or regain local ownership of area businesses. However, there were no venture capital funds specifically for northeast Indiana.
Wojtowicz, of Cambridge Capital Management Corp., Indianapolis, described herself as a professional manager of non-traditional financing sources.
She and her partner have developed several funding groups since 1983, including the Indiana Statewide Certified Development Corp., the Indiana Community Business Credit Corp., Lynx Capital Corp. and Cambridge Ventures.
The Founders Fund is a venture developed specifically for northeast Indiana businesses to provide non-traditional sources of financing.
Wojtowicz said Cambridge's investment philosophy is to offer funds to closely-held companies with a long history of high-quality management.
Investors have received returns "in the teens," she said.
A letter from county auditor Sue Ann Mitchell was reviewed by board president Dennis Moynahan. The communication advised county commissioners approved $33,250 for funding in 2004, a 5 percent cut. Receipt of the money is granted on a matching basis.
Moynahan said $80,000 was requested, an amount KDI member and county councilman Larry Teghtmeyer recommended.
He said he hadn't heard from either Teghtmeyer or KDI member and county commissioner Ron Truex regarding the decision.
KDI member Charlie Smith said Economic Development Income Tax disbursements are expected to be less.
"Money is tight," the city councilman said. "Working on budget expenses before knowing revenues is the most assenine thing I've ever heard."
Moynahan commented the county's EDIT money is going toward the jail and Justice Building renovation costs, not economic development.
The group has worked with a negative net income, given as -$8,980.49 for January through June.
In other business the board:
• Heard the annual Indiana Chamber of Commerce dinner will be Oct. 23.
• Approved a CDAG grant application.
The next meeting is Oct. 24 at noon.
