TO: Mayor and Members of City Council
THRU: Kelly Strickland, Assistant City Manager
FROM: Robert Van Geons, President and CEO of Fayetteville-Cumberland Economic Development Corporation
DATE: June 9, 2025
RE:
Title
Public Hearing to Award Round 1 Can Do Performance Financing Program Funding
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
Goal 2 - The City of Fayetteville will have a Responsive City Government supporting a diverse and viable economy.
Goal 3 - The City of Fayetteville will be a city invested in Today and Tomorrow
Goal 4 - Continue the City’s Commitment to revitalization efforts.
Executive Summary:
FCEDC launched the Can Do Performance Financing Program in partnership with the City of Fayetteville and the Community Development Foundation (CDF) in January 2025. This program addresses historical barriers to capital that has limited the growth of sustainable businesses within Fayetteville’s low- to moderate-income census tracts, especially those that are minority-, veteran-, and woman-owned. This program supports many of the City’s goals, including supporting a diverse procurement pool and a viable economy.
Two companies have qualified to receive funds from the Can Do Performance Financing Program in the initial application cycle. Ashley Johnson of A & A Holdings Corporation has requested $125,000 to create five jobs. Latisha Perkins of Maybridge Development LLC has requested $300,000 to create twelve jobs in two phases. We respectfully submit these two requests for City Council approval. Upon approval, the candidates will enter into an Incentive Agreement detailing project terms and performance conditions. If all requirements are met, the company will have no repayment obligations.
Background:
The Can Do Performance Financing Program was established with $2.5 million from the City of Fayetteville and $2.5 million from the State of North Carolina. The program offers patient financing for eligible businesses operating within a Qualifying Census Tract (QCT) in the City of Fayetteville. If program requirements are met by awarded businesses, the funds may not have to be repaid.
To qualify, businesses must have 15 or fewer employees and demonstrate viable plans for job creation and capital uses. The program places particular emphasis on supporting minority-, veteran-, and women-owned businesses that add to the local procurement base. Additionally, priority consideration is extended to companies operating within the aerospace, technology, defense, and cybersecurity sectors.
Program requirements include:
• Operation as an established, for-profit business in a QCT
• Creation of at least five full-time jobs
• Pay full-time wages at least 10% above the local average for the classification
• At least 60% of new hires must be from low- to moderate-income households
• Achievement of 50% of job creation within 18 months, and 100% within five years
• Maximum of $25,000 per job and $750,000 per project
Funds may be used for capital expenses, including equipment, technology, facility improvements, vehicles, and real estate. Businesses that fail to meet job creation benchmarks are subject to pro-rated repayment based on the number of jobs that were not created. Awarded companies are required to provide regular project updates and progress towards their committed employment targets.
After confirming that applicants meet initial eligibility requirements, projects are evaluated using the adopted rubric. Selection is based on how well each project scores against this rubric, which considers costs per job created, the potential to support local institutional partners through procurement, and overall business viability. Bonus points were given to minority-, veteran-, and women-owned businesses, and those in priority sectors. Scores for viability and the potential to support institutional partnership were awarded by the Investment Committee during candidate presentations.
The Can Do Performance Finance Investment Committee is comprised of six members with professional expertise in small business planning, finance, and banking who do not have conflicts of interest or existing relationships with likely applicants. Members were selected by the City of Fayetteville (4), FCEDC (1), and the CDF (1).
The community response to the Can Do Performance Financing Program has been overwhelmingly positive. We received more than 140 project requests in less than a month. Referral sources included community partners, local stakeholders, and the broader business community, like the Fayetteville ECD, FSU HUB, CEED, Fayetteville PWC, FTCC, and the Chamber of Commerce. Our next application window will include a targeted advertising campaign and an information session for prospective candidates.
By the Numbers:
• 111 unique businesses submitted interest forms, requesting a combined $11.96 million in funding.
• Non-qualifying applicants were informed of their status as it was determined and were referred to community partners for further assistance and support.
• 18 non-qualifying applicants enrolled in FCEDC-sponsored programming at the HUB that helps businesses strengthen foundations, scale operations, and create plans for sustainable growth.
• 61 candidates met basic program criteria and were asked to complete a Project Summary Form.
• 49 of those candidates chose to complete the Project Summary Form. The forms were scored quantitatively by FCEDC staff using the Project Rubric
• 16 projects were submitted to the Can Do Performance Financing Investment Committee for consideration.
• 5 committee-selected finalists were referred to CEED for vetting. Four of those presented their projects for consideration, with one withdrawing from the process prior to the presentation. During these presentations, the Committee added their scores for viability and institutional partner support.
• 2 projects met the minimum 70-point scoring requirement for first-round awards and are being presented to the City Council for final approval.
The two projects qualifying for 1st Round Funding are:
• Ashley Johnson of A & A Holdings Corporation
• Commercial construction business focusing on renovations, remodeling, and new construction
• Requesting $125,000 to create 5 jobs
• Minority- and woman-owned business
• Capital is being used for the purchase of a commercial truck, a side-by-side UTV, a dual-axle equipment trailer, technology upgrades, the refurbishment of tools and equipment, and repairing/maintaining her current fleet of construction equipment
• Latisha Perkins of Maybridge Development LLC
• Offers government construction services (licensed for projects up to $350,000), tiny houses, historic preservation, project management, natural disaster cleanup, and park renovations
• Requesting $300,000 over two phases to create 12 jobs
• Minority- and woman-owned business
• In Phase 1, Maybridge Development expects to create 8 jobs. $200,000 in funding is being used to purchase a commercial vehicle and utility trailer, field tablets and technology, marketing and branding, essential equipment and PPE, a storage solution, and the lease and buildout of more appropriate office space.
• In Phase 2, Maybridge Development will create 4 jobs for the creation and mobilization of a disaster response team. No funds will be disbursed until Phase 1 job requirements are met.
Issues/Analysis:
Historically, minority-, veteran-, and woman-owned businesses have faced significant barriers to accessing capital for growth. The Can Do Performance Financing Program provides an innovative solution to this challenge, using patient, non-interest-bearing capital to empower small businesses to scale, create jobs, and participate in local procurement opportunities.
These two recommended projects scored highly on program criteria, were thoroughly vetted by CEED, and aligned with the City’s goals of economic inclusion and community revitalization. Denying this request would be inconsistent the City Council’s goals for the program.
Budget Impact:
There is no additional impact on the City budget. The program was previously funded with $2.5 million from the State of North Carolina and $2.5 million from the City of Fayetteville. All funds are currently being held by the Community Development Foundation in a designated account, as agreed.
Options:
There are three options for consideration:
1. Approve Ashley Johnson of A & A Holdings Corporation and Latisha Perkins of Maybridge Development LLC for Can Do Performance Financing funding of $125,000 and $300,000, respectively.
2. Approve one of the two candidates.
3. Deny the request for both candidates.
Recommended Action:
Approve Ashley Johnson of A & A Holdings Corporation for Can Do Performance Financing funding in the amount of $125,000 and Latisha Perkins of Maybridge Development LLC for phased Can Do Performance Financing funding totaling $300,000, and authorize the CDF to release the funds, subject to the candidates entering into an incentive agreement.
Attachments:
Project Summaries for Ashley Johnson of A & A Holdings Corporation and Latisha Perkins of Maybridge Development, LLC