Mary Mathews, president, Northeast Entrepreneur Fund   1/27/2010 by Richard Thomas

Mary Mathews knows what it means and what it takes to be entrepreneurial. She grew up on the Iron Range. Her father started a company that later became part of Barr Engineering.

She ran an upholstery business before becoming president of the Northeast Entrepreneur Fund, which provides consultation and capital for people starting and expanding businesses. It covers 13 counties in the region.

Over its 20 years, the nonprofit has helped launch 1,100 businesses. It has offices in Virginia, Grand Rapids, Duluth and Superior.

The fund was launched to help counter the downturn in the mining industry. "We always looked to other people to solve our problems," Mathews said. "For the last 100 years we have been a company town."

That company town mindset may be changing. Despite, or maybe because of the recession, loan activity has increased. In previous years the amount has been less than $1 million. In 2009 there were 75 loans totaling $1.8 million.

"There's always opportunity," Mathews said. "It depends on the market and the opportunity. So it's a time to be careful, but people are still buying goods and services. There are still needs to be met."

The Northeast Entrepreneur Fund helps those with entrepreneurial vision frame an idea and limit risk, as well as providing financial help.

"It's very important to be clear about the business idea before somebody starts or expands. So we focus a lot on entrepreneurial training and helping people be clear about their business and the financial risks before they start.

"What we try to do is help people in the planning. Part of it is goal setting; is the business that they want to start going to be one that will help them achieve their personal financial goals?

"If we get someone to the point of applying for a loan we rarely, if ever, say no. Sometimes there are additional steps that people need to take, and sometimes they don't want to take those steps."

Mathews can think outside the box in identifying and encouraging business development. In 2009 the fund started entrepreneur training for artists, which has produced the first Northland Flavor, an artist market to be held March 7-8, 2010 at the Duluth Holiday Inn & Suites.

"It's sort of a different twist between artists and economic development," Mathews said. "The economic development community would think of art as indicative of the creative culture. We’re looking at helping that creative culture generate money."

In January 2008 the organization started The Greenstone Group, an $11 million, 10-year initiative to provide business performance coaching and support for existing businesses looking to grow. Currently, 33 entrepreneurs are part of the group; the goal is 500.

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