Shop Local, Eat Local, Invest Local!
Old Takoma Business Association Launches New Takoma Notes Local Investing Program.
The community known for its strong support of local businesses, will be able to invest in its businesses through a new local investing program, called Takoma Notes, created by the Old Takoma Business Association (OTBA). Through the program, local investors will be offered the opportunity to invest in local businesses, new and established, and watch their money in action in the community.
Working for over a year with a group of dedicated volunteers and representatives from Colombo Bank, the Old Takoma Business Association created a program which identifies local businesses that would benefit from additional capital and develops specific loan packages to meet their needs. Through the program, the OTBA vets the businesses then raises the money to make the loan by issuing Takoma Notes to local investors. When the OTBA raises the necessary amount within the established time period, it then lends the proceeds to the specified Takoma business. The business will pay interest and principal to OTBA which will in turn pass those payments to the Takoma Note investors. This program is offered to all Maryland and Washington, DC residents that want to support local businesses and see their money contribute to the vibrancy of the community.
Why Should You Invest in Your Community?
Locally-owned businesses are important and serve as a foundation for a resilient local economy. Locally-owned businesses are key to economic health of a region. Entrepreneurship creates wealth for individuals in the community, not just income; building prosperity and opportunity, in addition to paychecks.
A range of studies have highlighted how smaller companies have a more significant impact on job growth than larger companies, partly because the smaller companies are more likely to stay in the local area. A paper published by the Federal Reserve in Atlanta examines the relationships between locally based entrepreneurship and county economic performance between 2000-2009, looking at income and employment growth and changes in poverty level. The author finds that “local entrepreneurship matters for local economic performance and smaller local businesses are more important than larger local businesses for local economic performance.”
In addition, local businesses pay local taxes and are less likely to avoid taxes with loopholes and tax shelters. Local businesses can’t pack up and move oversees. Finally, local businesses are more likely to give charitable gifts to the local community. Learn more HERE
Thank you to all who invested! We met the $10,000 Offering for MAD Fitness. Stay tuned for more opportunities to invest in local businesses.
Click HERE for answers to Frequently Asked Questions.
There are currently not any Notes available. New options coming soon!