CBDC General Business Loan
Highlights
This program is a great opportunity for your business to secure the financing you need to grow and thrive. You can receive up to $150,000 in loans with competitive repayment terms and interest rates. Whether you need to purchase new machinery, upgrade your facilities, or expand your market reach, this loan can provide the necessary funds.
Key Benefits:
- Flexible financing options: Choose from demand loans, term loans, loan guarantees, or equity investments.
- Repayment terms: Loans can be secured for one to ten years, allowing you to develop your business without immediate financial pressure.
- Wide range of uses: Funds can be used for start-up costs, land and buildings, machinery, equipment, and more.
Applying for this loan is straightforward, and qualifying is easier than with many traditional lenders. Approval can help you maintain or create jobs, ensuring your business remains competitive and successful.
Financing Details
Type of Financing: Loan
Repayment Terms and Interest Rates:
- Loans up to $150,000 may be available.
- Repayment terms range from 1 to 10 years.
- Competitive interest rates are offered.
- Loans will be secured.
Eligible Expenses:
- Start-up costs
- Land and buildings
- Fixed assets
- Machinery and equipment
- Fixtures and furniture
- Vehicles strictly for business use
- Franchise purchases
- Leasehold improvements
Ineligible Expenses:
- Personal expenses
- Non-business-related costs
Fees:
- No specific fees mentioned. Please check with your local CBDC office for details.
Qualifications
- Must be an entrepreneur or business purchasing a new or existing company in rural Atlantic Canada.
- Must be expanding an existing business.
- Must be an existing company in need of working capital.
- Both year-round and seasonal businesses are eligible.
- Must have eligible business expenses, which may include:
- Start-up costs
- Land and buildings
- Fixed assets
- Machinery and other equipment
- Fixtures and furniture
- Vehicles strictly for business uses (in some cases)
- Franchise purchases
- Leasehold improvements
- Must show a legitimate chance of economic viability.
Must create and/or maintain employment without negatively impacting existing area businesses.
Disqualifications:
- Businesses not located in rural Atlantic Canada.
- Businesses unable to demonstrate economic viability.
- Businesses that negatively impact existing area businesses.
Description
You can borrow up to $150,000 for your business. This loan can help you buy new equipment, upgrade your facilities, or expand your business to reach new markets.
You can use the loan for:
- Purchasing machinery or equipment
- Upgrading buildings or facilities
- Buying land or fixed assets
- Acquiring furniture, fixtures, or vehicles for business use
- Improving leasehold areas
- Buying a franchise
The loan comes with competitive repayment terms and interest rates. You can repay the loan over a period of one to ten years, giving you the flexibility to grow your business without immediate financial pressure.
This program is a great opportunity to secure the funds you need, with the support of a reliable financial partner.
Program Steps
Gather Required Documentation: Prepare the following documents to support your application:
- Business plan
- Financial statements (past two years)
- Cash flow projections
- Details of intended use of funds (e.g., quotes for equipment, renovation costs)
- Proof of business registration
- Personal identification of business owners
Complete the Application Form: Obtain the application form from your local Community Business Development Corporation (CBDC) office or their website. Fill in all required fields accurately.
Submit the Application: Submit the completed application form along with all required documentation to your local CBDC office. Ensure all information is clear and complete to avoid delays.
Attend an Interview: Be prepared to attend an interview with a CBDC representative. This meeting will help clarify your business needs and the specifics of your loan request.
Review Loan Terms: If your application is approved, review the loan terms, including interest rates, repayment schedule, and any associated fees. Ensure you understand all conditions before proceeding.
Sign the Loan Agreement: Once you agree to the terms, sign the loan agreement. This formalizes the loan and outlines your obligations.
Receive Loan Funds: After signing the agreement, the loan funds will be disbursed. You can then use these funds for the approved business expenses.
Follow Up and Reporting: Maintain regular communication with your CBDC representative. Provide any required progress reports or updates on how the loan is being utilized to ensure compliance with the loan terms.