ADRIAN — Many communities stress shopping and buying locally.
Some in Adrian are taking that thinking a step further by stressing investing locally.
The idea was on display at Wednesday’s Adrian Area Investment Accelerator meeting in the Adrian Armory Events Center.
Leading the meeting was Chris Miller, Adrian’s Downtown Development Authority/economic development coordinator, who said the idea of investing locally has become a movement in large part because of changes in laws allowing more flexibility.
According to the website CrowdfundingMI, in 2013, Michigan enacted Public Act 264 and became one of four states to authorize pioneering intrastate crowdfunding legislation.
“Investment crowdfunding is a powerful economic development tool for using local capital to support and grow local businesses, fund start-ups, and nurture an entrepreneurial environment in Michigan,” according to CrowdfundingMI, which is operated by the Michigan Municipal League.
Miller said Michigan and Adrian in particular have examples of community capital at work in local investment projects. He cited Tecumseh Brewing Company as a great example of establishing a successful local business thorough local support. That local support can come in the shape of donation fund or investing with a return expected.
Miller said investing locally through crowdfunding is “a way, again, to bring local capital together to allow the community to invest in those projects and then have an opportunity on return of investment.”
“What’s really exciting is that everybody can participate in this,” he said.
At Wednesday’s meeting, two firms made crowdfunding pitches. Acropolis Games is seeking build-out funds for its new downtown location and The Buzz Café and Marketplace is seeking build-out funds.
Acropolis Games, currently at 105 Sand Creek Highway, is retail tabletop game and comic book store that also hosts event for “gamers” and acts as a gaming club. It purchased the building at 109 W. Maumee St. in downtown Adrian.
Acropolis got a head start on its plan to relocate to downtown by winning the UpStart! Adrian business plan competition, which provided $25,000 in funding help as well as support services. Acropolis’ owner Tim Roberts and his team have been working at the new location doing demolition and cleaning work, and now are ready for the next stage to complete the retail build-out.
The estimated cost of the project is $230,000, which would be for the retail, first-floor build-out. Acropolis has a bank loan from County National Bank as well as some personal funds and those from UpStart! Adrian, but will soon be seeking crowdfunding of $100,000.
Roberts said this would be revenue-share model, so the plan would have investors, who will be able to invest as little as $50, seeing a return on what they put forth. He said Acropolis is trending upward and he sees a bright future. Roberts’ main pitch goes back to the mission of his business, which he described as a place for everyone that is safe and fun. He said they want to be “a positive force in the community.”
The Buzz Cafe and Marketplace, which currently is in final negotiations to secure its location, plans to be a coffee cafe, specialty market and artisanal chocolate shop. The Buzz team is made up of Joyce Miller, Ben Rosebrock and Deveny Rosebrock. Joyce Miller and Ben Rosebrock said their aim is to make it a cool, community-centered shop that would have dining-in for breakfast and lunch, Michigan-roasted coffee, beer and wine service, and a marketplace with specialty grocery items.
Ben Rosebrock said they’re a hardworking team with a lot of passion, which has given them a head start in becoming licensed food handlers and certified alcohol service management. They also have experience with other small businesses with Joyce Miller being co-owner of Sass and the Rosebrocks with Treat Handcrafted Confections.
Their goal is to crowd fund $200,000. Investors in their plan also would be paid back from a percentage of the revenue.
“This is an opportunity to join our dedicated team that believes in providing an unmatched customer experience, friendly community environment, and a healthy return on investment,” The Buzz team said in their pitch.
Both projects soon wil be up on the site: localstake.com. To contact them, email tim@acropolisgames.net and thebuzzadrian@gmail.com.
Chris Miller said both projects aiming to further revitalize downtown and the community, and the community has the opportunity to be part of this as well.
“So please tell people that you know, that love this community, that are passionate about it, that love entrepreneurs, that love new businesses and unique things that are happening,” Miller said to those gathered at the meeting, “because we’re going to be able to facilitate a lot of those people like the folks here today by using this wonderful community capital movement.”