News

Greetings,

2019 was quite the year for Alaska Growth Capital (AGC) as we worked across Alaska and beyond to grow economic opportunity, rooted in community. Please see the three infographics accompanying this note for some of the impressive statistics about our impact last year. Here are a few more highlights I’d like to share:

-We received the 2018 Alaska Community Lender of the Year award from the Small Business Administration (SBA) for the 9^th time. We are honored to again be recognized as an innovative and community-focused small business lender. 

-We were awarded $650,000 through the Community Development Financial Institution (CDFI) Fund’s Native American CDFI Assistance Program to support loans in Native communities in Alaska.

-We submitted a competitive application to the New Markets Tax Credit (NMTC) program, hoping to once again bring these federal tax credits to Alaska to benefit large infrastructure projects in rural and Native communities. We also participated in important federal advocacy around the NMTC program, hoping to increase the tax credits allocated to Native organizations like ours that do work in indigenous communities.

-We said farewell to our former President & CEO Logan Birch, who transferred to fellow ASRC subsidiary, ASRC Energy Services, in summer 2019.  Upon his departure, I transitioned from my previous position as Senior Vice President of Lending to President & CEO. We also said goodbye to loan officer Hilary Upicksoun, who accepted a new opportunity with fellow ASRC subsidiary, Petro Star Inc. 

-In 2019 we welcomed three new staff members – Julie Woodworth, Cody Beech, and Penny Gage. We also welcomed an intern, Brendon Doyle, who is an ASRC Shareholder pursuing an economics and finance undergraduate degree at the University of Alaska Anchorage. Two of our staff – Jennifer Snodgrass and Penny Gage – received the Alaska Journal of Commerce’s “Top Forty Under 40” award in 2019.

-Our North Slope Marketplace business plan competition for ASRC Shareholders, founded in 2009, underwent significant changes in 2019, including revision of the application process, creation of a cohort model with a three-day intensive businesses training on the North Slope (rather than flying in Semi-Finalists to do a training in Anchorage), and incorporation of a mentor program. We also initiated new partnerships to support the program in 2019 with the Arctic Education Foundation, three fellow ASRC subsidiaries, and the Minority Business Development Association.

I join the entire team at AGC in having gratitude for what was accomplished in 2019. We hope to build on this work in the coming year to help grow Alaska’s economy and support small businesses. 

Here’s to a productive and impactful 2020!

Taka Tsukada
President & CEO, Alaska Growth Capital

Alaska Growth Capital is excited to announce a partnership with the Anchorage Community Land Trust to provide a business development training program called Set Up Shop. This program is made available to ASRC shareholders like you, who are interested in doing business in or around the Anchorage neighborhoods of Mountainview, Fairview or Spenard.

Set Up Shop is a 12 week program that provides comprehensive training for new or growing business owners. The class covers marketing, finances, operations, real estate and more! After the class, alumni will have access to continued support, business assistance and even be eligible to apply for microloans.

These are the building blocks to getting your new business idea off the ground!

We are happy to announce the retirement of our Vice President of Credit Administration. After 40 years in the Financial Services Industry, Sandi Brown joins the elite club of retirement. In her 9 years of service with AGC, Sandi has done an exceptional job of maintaining the quality of AGC’s loan portfolio through her detailed credit risk management. We wish you the very best and appreciate the work you accomplished with AGC.

In 2018, AGC welcomed Mike Rzeszut to the team to work alongside Sandi to ensure a smooth transition.

The North Slope Marketplace (“NSM”) is a business plan competition open to Arctic Slope Regional Corporation Shareholders residing on the North Slope and provides winners with vital grants funds of up to $25,000 and technical training. Awarded funds go towards the creation or growth of locally owned and operated small businesses and provide much needed capital to individuals that may not otherwise have options. The mission of the North Slope Marketplace is to provide financial and technical resources that support and encourage adaptive, entrepreneurial activity for sustainable North Slope communities.

To date, the NSM has funded and supported 47 shareholder businesses and provided countless trainings to new and existing entrepreneurs. In 2017, AGC assumed sole sponsorship and administration of the NSM, reaffirming the company’s commitment to shareholders and to sustainable North Slope communities. In 2017, AGC awarded NSM awards to five shareholder owned businesses on the North Slope. The 2017 NSM awardees are excellent examples of shareholders utilizing the resources made available to them and taking a chance at success through entrepreneurship.

Arnold Arey, of Utqiagvik was awarded $11,013 for his business, Arey’s Northern Outfit & Cargo, LLC. that provides safe reliable cargo delivery to residents and businesses across the North Slope. Arnold delivers a necessary community service, transporting vital gear like vehicles, snow machines, ATVs and cargo to local residents. He was originally awarded $12,000 in 2014 to open his business. He reapplied this year for the remaining $13,000 available, Mr. Arey’s second award was used to replace equipment. Mr. Arey is an exemplary shareholder that has managed a successful business, employing three locals to meet the needs of North Slope residents, while also making time for a subsistence lifestyle.

Tariek Oviuk is a prime example of a shareholders drive to succeed. Mr. Oviuk’s award is representative of the NSM’s belief in an individual’s power to change. As an individual with a criminal background, Mr. Oviuk was unable to access traditional and even nontraditional sources of financing. Because of Tariek’s involvement in the community, as a whaling captain and dance group leader, the NSM committee granted him a partial award of $10,000, allowing him to order inventory and buy necessary equipment to open his store, learn the ins and outs of his new business and apply for additional funding based on a strong business track record in the future. From this award, Point Hope welcomed a new store, AK2K Store, solely owned and operated by Tariek Oviuk.

Price and Bobby Itta purchased Alaska Fur Cache in August of 2016, with financing from Alaska Growth Capital. While Alaska Fur Cache operated for over 30 years in Anchorage, in September 2017 the Itta’s relocated the business to Utqiagvik returning an age old traditional industry (i.e. fur trading and manufacturing) back to the Slope, making them eligible for NSM funding. The NSM approved a partial award to cover expenses related to relocating and buying furs from hunters and trappers on the North Slope. The Itta’s award was a special exception, as the NSM is geared towards new businesses or businesses that do not have access to capital. However, the NSM committee saw great value in the Itta’s work and approved funds for relocating the business; believing it would stimulate broad based economic activity across the region.

Robert and Pauline Bowers returned home to the village of Nuiqsut in 2016 and immediately saw a need for an additional store in the community. They both had experience managing stores, with both of their parents owning separate stores in Nuiqsut during their youth. The Bowers applied and were approved $25,000 to purchase and build a small structure to house their new store. They sell convenience items out of their home and are looking to complete the buildout of the new store structure in the summer of 2018. The Bowers have big plans for their store, the NSM committee is eager to support the Bowers progress and the community economic development of Nuiqsut.

Brian Gordon, with the help of Petrostar, applied for a NSM award to start Chief Gordon’s Pizzeria in Anaktuvuk Pass. As a community leader and Anaktuvuk Pass’ Fire Chief for a number of years, the NSM committee has confidence in Mr. Gordon’s character. Mr. Gordon’s previous pizzeria management experience and new business plan make the NSM committee confident in his ability to succeed as an entrepreneur. He was awarded the full $25,000 in December of 2017 and is scheduled to open his business in the summer 2018. Mr. Gordon will have the closest pizza place within 300 miles of Anaktuvuk Pass and one of the only operational restaurants in the community.

Alaska Growth Capital has returned to the ASRC building located at 3900 C Street in Anchorage, Alaska. This is a small change since it is just down the street from our previous location, but we believe this is a great opportunity for our company. It allows us to be closer to our parent company and strengthen our relationship with our community and ASRC shareholders.