Ann Arbor firms Buycentives, Local Orbit receive microloans

Ann Arbor firms took two of the three latest cash infusions from the Michigan Microloan Fund Program. Tree Town-based Buycentives and Local Orbit (along with Lansing-based CIMple Integrations) will split $95,000 from the Michigan Microloan Fund Program.  These fledgling firms will use the funding for product development and delivery. The capital is much needed during a time when credit lines remain largely frozen to small businesses trying to expand. Ann Arbor-based Buycentives plans to use the cash for product commercialization, software development, legal work, and marketing to potential first clients.”For us, this working capital accelerates the rate of our growth,” says David Goldschmidt, founder of Buycentives. “The process would be the same without it but it would take a lot longer.”Buycentives works with manufacturers to deliver customized sales incentives to online car shoppers during the shopping process. Via information provided by the consumer and parameters controlled by the manufacturer, Buycentives’ decision engine generates a personalized incentive in the form of a serialized certificate that can be redeemed at any automotive dealer during a purchase. Local Orbit connects restaurants, institutions, and individuals with local farmers and food producers in one convenient online location. The company is streamlining the process of purchasing local food through a marketplace that combines web-based business and community building tools with the best features of farmers markets and full-service grocery stores.The one-year-old Michigan Microloan Fund Program has distributed $706,500 in low-cost loans to 18 companies. These loans range from $10,000 to $50,000 for small, privately-held Michigan businesses that own or license innovative technology. The program is managed by Ann Arbor SPARK.Source: Ann Arbor SPARK and David Goldschmidt, founder of BuycentivesWriter: Jon Zemke