DASNY Selects The Cayemitte Group to Provide Capital Management Services to MWBE and SDVOB Construction Contractors
BORDENTOWN, N.J., Oct. 21, 2020 /PRNewswire/ -- The Dormitory Authority, State of New York (DASNY) has selected The Cayemitte Group (TCG) through a competitive bid process to provide Cayemitte Capital Management (CCM) services to its MWBE and SDVOB construction contractors. Diverse vendors often find it difficult to become prime contractors because access to affordable capital and qualifying for bonding stand as barriers. Cayemitte Capital Management will provide sureties and lenders with the risk mitigation needed to comfortably bond and lend funds for DASNY projects. "Without strong financial presentation and funds management skills, diverse businesses are at a disadvantage as compared to majority contractors. CCM was developed to help level the playing field," explains David Cayemitte, President of TCG. With the challenges smaller firms face due to the pandemic, implementing new means of support has become crucial to their survival.
CCM provides a unique solution to an age-old problem in the construction contracting industry in general and for the MWBE/SDVOB community in particular. CCM enhances the contractor's toolbox as they prepare to work as primes by facilitating access to affordable capital, protecting project funds and mitigating lender and surety risk. "CCM shores up back office operations while teaching best practices in financial management" explains Cayemitte. Providing cutting edge support has kept DASNY at the forefront of optimizing diverse procurement. Michael Clay, Senior Director of Procurement and Opportunity Programs at DASNY explains "our decision to provide an option for bidders to utilize Capital Management services will be a game changer at increasing diverse spend." TCG was selected after responding to a rolling DASNY Request for Qualifications. DASNY President and CEO Reuben McDaniel, III, said "DASNY is committed to supporting the MWBE/SDVOB business community, and to having the partners we work with reflect the diversity of New York State."
Mr. Cayemitte began working with Mr. Clay and DASNY in 2009 when they designed the groundbreaking DASNY Surety Bond and Capital Access Program. Cayemitte has since expanded his vision of contractor capacity building, saying "in addition to our work in the classroom, contractors need hands-on real-life experience." Transitioning to work in the public arena can be a nonstarter without proper funding and skills. "Many contractors don't know what they don't know and try to figure it out on their own. In the finance area, this can be a death sentence" Cayemitte explained. "Small business owners are usually stretched too thin to reinvent the wheel. CCM provides training wheels for the back office; once we get them going on their own, they are able to grow into larger bond lines and projects." To Mr. Clay, the key benefit of CCM is that "small businesses can find themselves having to decide which bills need to be paid most urgently, and they may be tempted to use funds from a successful project to keep another project going. I don't want this happening on DASNY projects." Cayemitte is quick to point out that "surety companies and lenders have embraced CCM because it prevents cash strapped contractors from 'borrowing from Peter to pay Paul' while helping contractors to grow and prosper."
Contact: Liz Duncan-Gilmour
256341@email4pr.com /609-521-4116
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SOURCE The Cayemitte Group