Completed in partnership with The University of Scranton SBDC and MetroAction.
Jared & Mary-Kate McTague received financing for the real estate and FF&E associated with the purchase of Space Age Plastics, a plastics manufacturer in Jefferson Township, PA. Space Age Plastics is a state-of-the-art manufacturer of plastic products. They have an extensive and proprietary line of products as well as custom molding abilities. Their proprietary items include rod covers, collegiate, and religious products. Their decorator line of shower rod covers and closet rod covers add a touch of class to any home decor. The collegiate collection is a growing list of licensed college products, like the popular Penn State Nittany Lion. Their religious designs include Nativity Sets, indoor/outdoor statues, crosses, crucifixes, figurines, and gift items.
The business has been operational for over 50 years and spanned two generations of ownership. They have taken extensive pride in assuring their customers receive products with fine craftsmanship. Space Age has ample knowledge and experience to complete all jobs and their production facility is modern and efficiently designed.
NEPA Alliance, in partnership with Wayne Bank, PIDA, Seller Financing, NEPRIC, MetroAction, USDA RMAP, USDA RD, and borrower’s contribution, provided a loan to the borrowers. Total funds include $400,000 from PIDA at 2.75% interest for 13 years, $800,000 from Wayne Bank, $160,000 from NEPA USDA RD funds, $200,000 from seller financing, $80,000 from NEPIRC, $75,000 from MetroAction, $50,000 NEPA USDA RMAP and $235,000 in borrower’s equity.
NEPA Alliance worked with a group of local economic development agencies in completing this comprehensive business purchase. The project utilized the University of Scranton SBDC in the creation and support of the business plan and projections that were used in the loan approval process at the state and at NEPA Alliance. The borrowers utilized this consultation in their overall financing structure. The project also included subordinate financing from MetroAction as part of the financing package. Without the support of the SBDC and subordinate financing, the borrowers would not have been able to purchase and preserve this manufacturing facility in Northeast Pennsylvania.
The business is located at 581 Cortez Road, Jefferson Township, Lackawanna County, PA. The purchase of the location will retain 10 employees and create one position over the next three years. These positions are mostly skilled laborer positions with livable wages. The project will keep a small manufacturer in Northeast Pennsylvania.