proving very useful, according to the latest annual report of the Bermuda Small Business Development Corporation.

Tabled in the House of Assembly on Friday the BSBDC's annual report for the year ended March 31, 1999, shows that 17 new guarantees totalling $259,450 were underwritten.

The guarantees supported loans totalling $705,735 and were used to start 16 new companies and one expansion.

The report reveals that during the same period, 12 guarantees totalling $129,250 were satisfied by the repayment of bank loans.

Two losses in the period amounted to $54,600 -- $37,410 of which the BSBDC was able to recover from the principals.

"The tightening of bank credit policies, establishment of credit recovery departments at both lending banks and a general lack of respect for credit by select entrepreneurs can be attributed to call guarantees,'' the report read.

The report also revealed that the Corporation aided in the establishment of seven new businesses, the reorganisation of 13 seriously troubled ones, played an active role in helping three businesses to sell their operations and assisted six companies with setting up proper management accounting systems.

The BSBDC also organised three seminar/workshops during the year and met 386 people, giving advice and answering queries.

Over half of those met with were owners of existing businesses who sought advice on a wide range of subjects, including governmental regulations, business planning, marketing, valuing a business for either sale or purchase, franchising, financial statement analysis, good employer practices, partnership agreements and financial proposal writing.

Thirty-eight percent of people who met with the office were looking to start up new businesses.