Vin Bin Success Praised
State Secretary Steven Grossman praised small businesses and Marlborough as a community during a visit to the Vin Bin Thursday.
State Treasurer Steven Grossman spoke highly of Marlborough as a community while he toured the Vin Bin Thursday.
"I love Marlborough. I feel Marlborough in so many ways is a pioneering community," said Grossman.
Part of that pioneering spirit is reinterpreting the downtown and businesses in the city, he said. The Vin Bin and the Marlborough Savings Bank which loaned the money for its Main Street location and a new location in Hopkinton as just such community businesses, said Grossman.
“The Vin Bin is the kind of place we are hoping to target with our Small Business Banking Partnership,” said Treasurer Grossman. “The backbone of this commonwealth is small business."
The Vin Bin is the recipient of a loan made by the Marlborough Savings Bank leveraged through the Treasury’s Small Business Banking Partnership. The financing helped to create seven jobs in Marlborough and will facilitate the opening of a new Vin Bin location which will create 10 or more jobs in Hopkinton.
"That's what we consider ourself," said Owner Rick Lombardi. "Someone to start the economic growth."
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The Vin Bin, a purveyor of fine wine, artisan cheese, specialty foods, craft beer and spirits opened its doors in 2004. The Vin Bin moved into the 100-year-old former Central Fire Station in 2011. The fire station sat dormant for more than 15 years.
"I'm not only the mayor; I'm a customer," said Mayor Arthur Vigeant of the Vin Bin. "It's really been a great anchor in the downtown area."
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 community banks.
The program was designed to make loans for small, Massachusetts businesses more readily available, said Grossman, and thus stimulate growth throughout the state.
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. Treasury has deposited $293 million in 50 community banks statewide, which has helped leverage over 3200 small business loans totaling $477 million.
"This bank has been committeed to the downtown and to Main Street for 152 years," said Rick Bennett, President and CEO of Marlborough Savings Bank.
All deposits that the Treasury makes in local community banks are protected through either insurance or collateral. The interest rate on the money is comparable to what the Commonwealth receives at out-of-state financial institutions.