A Gloucester-based advanced manufacturing company that specializes in precision machining will be able to buy four new machines and associated tools thanks to a loan from MassDevelopment that is available from federal pandemic relief funds.
MassDevelopment announced it is providing a $284,000 equipment loan, enhanced with an export guarantee, from the CARES Act Revolving Loan Fund to Fleet Machine Company Inc. The company will use proceeds to buy four new computer numerical control (CNC) machines and associated tooling that will help Fleet Machine increase production of advanced components for the aerospace, defense, medical, and robotics industries.
Fleet Machine expects to create an additional four new jobs in the next three years, according to the announcement; this is the seventh automated solution that MassDevelopment has helped Fleet Machine finance since 2016.
The 2020 CARES Act authorized the U.S. Economic Development Administration to make grants to entities like MassDevelopment to capitalize revolving loan funds that make loans to small businesses and nonprofits impacted by the COVID-19 pandemic.
“From the Berkshires to Cape Ann, manufacturers know that there is ample opportunity for growth all across the state,” said Housing and Economic Development Secretary Mike Kennealy, who serves as chair of MassDevelopment’s Board of Directors. “MassDevelopment’s low-cost equipment financing is an important tool that the commonwealth uses to help these companies create jobs and expand operations.”
“MassDevelopment is proud to help manufacturing companies create amazing products every day by financing the tools and space they need to increase production capacity,” said MassDevelopment President and CEO Dan Rivera. “In Gloucester, our continued partnership with Fleet Machine Company Inc. is empowering the company to buy needed equipment, expand operations, and remain a key contributor to the Massachusetts economy.”
Fleet Machine purchased its first four-axis horizontal machining center in 2016 with the help of a $225,000 equipment loan from MassDevelopment, according to the announcement. The agency increased that financing in 2017 to support the purchase of a second machine. In June 2021, the company used a $510,000 equipment loan from MassDevelopment to buy a new five-axis multi-tasking center.
“The city of Gloucester is grateful for the continued investment MassDevelopment has made in businesses like Fleet Machine,” said Mayor Sefatia Romeo Theken. “The partnership and resulting job creation are a boost to the local economy as we continue to manage the effects of the COVID-19 pandemic. We are proud to have Fleet Machine in the city with their commitment to an innovative and conscientious approach to manufacturing.”
Fleet Machine, which was founded in 2010, is located at 1 Kondelin Road in the Cape Ann Industrial Park.
“As our company has continued to excel at producing high-precision components for advanced industry, MassDevelopment has supported our growth every step of the way,” said Fleet Machine Company Inc. President Jack McGourty. “MassDev understands the value a business can provide to a community and our success is a result of their commitment.”