Chantier de l'économie sociale Trust — Real Estate Patient Capital Loans
Highlights
This program is designed for businesses like yours, offering patient capital loans to support your growth and development. Whether you need funds for working capital, equipment, or real estate projects, this program provides flexible financing options tailored to your needs. With no capital repayment obligation for 15 years and competitive fixed interest rates, you can focus on expanding your business without immediate financial pressure.
Key Benefits:
- Up to $1.5 million in financing for real estate projects
- Up to $250,000 for operational needs
- No guarantee required for operational loans
- Subordinated guarantee for real estate loans
- Advance capital repayment with no penalty
Why Apply?
- Lower financial risk compared to traditional loans
- Conserve capital for your project’s needs
- Improved debt ratios and financial capacity
- Stable payments with fixed interest rates
- Enhanced ability to attract other financial partners
Qualifying for this program is straightforward, making it an excellent opportunity to secure the funding you need to take your business to the next level.
Financing Details
Type of Financing:
- Patient Capital Loans
Repayment Terms and Interest Rates:
- No capital repayment obligation before the end of its 15-year term.
- Monthly interest payments.
- Competitive fixed interest rate for the duration of the investment.
- Possibility of advance capital repayment with no penalty.
Eligible Expenses:
Operations Patient Capital Loans:
- Working capital
- Equipment acquisition (office, computers, vehicles, machinery, and tools)
- Absorbing operational deficits during start-up
- Inventory
- Leasehold improvements
- Upgrading the enterprise’s capital
- Introducing new products to the market
- All other needs related to operations
Real Estate Patient Capital Loans:
- Acquisition, construction, and renovation of real estate assets
- Professional fees (architect, land surveyor, notary, etc.)
- Transfer taxes
- Moving costs
- Working capital for production stoppage
- All other costs related to a real estate project
Ineligible Expenses:
- Pre-start-up activities
- Recovery or refinancing of existing debts
- Early repayment of a long-term loan aimed at lowering overall financing costs
- Financing activities that result in the substitution of jobs held or to be held by public sector employees
Fees:
- No specific fees mentioned in the provided context.
Qualifications
- Must be a social economy enterprise, non-profit organization, or cooperative.
- The majority of employees must live in Québec.
Business assets must be under $100 million or capital under $50 million.
Disqualifications:
- Enterprises whose appointment processes for governing bodies don’t ensure a preponderance of civil society stakeholders.
- Enterprises that exclusively offer educational services or residential rental housing services.
- Enterprises whose activities result in the substitution of jobs held or to be held by public sector employees.
- Private enterprises.
- Public bodies.
Description
This program offers your business a chance to borrow between $50,000 and $1.5 million. You can use this money for various needs, such as:
- Working capital
- Equipment acquisition (like office supplies, computers, vehicles, machinery, and tools)
- Inventory
- Leasehold improvements
- Upgrading your business’s capital
- Introducing new products to the market
For real estate projects, you can finance costs related to acquisition, construction, and renovation of buildings or warehouses. This includes professional fees, transfer taxes, and other related expenses.
Key benefits include:
- No capital repayment obligation for 15 years, allowing you to focus on growing your business.
- Monthly interest payments with a competitive fixed interest rate.
- No penalty for early repayment.
- No guarantee required for operational needs, and only a subordinate guarantee for real estate financing.
This program helps lower your financial risk and improves your business’s financial capacity, making it easier to attract other financial partners.
Program Steps
Gather Required Documentation: Prepare the necessary documents for your application. These include:
- Financial statements
- Business plan
- Details of intended use of funds (e.g., quotes for equipment, renovation costs)
- Proof of business registration
- Identification documents for business owners
Complete the Application Form: Fill out the application form provided by the Chantier de l’économie sociale Trust. Ensure all sections are completed accurately.
Submit the Application: Submit the completed application form along with the required documentation to the Chantier de l’économie sociale Trust. This can be done via their online portal, email, or by mail.
Review and Follow-Up: After submission, the Chantier de l’économie sociale Trust will review your application. Be prepared to provide additional information or clarification if requested.
Approval and Agreement: If your application is approved, you will receive an offer outlining the loan terms. Review the terms carefully, and if acceptable, sign the agreement.
Receive Funds: Once the agreement is signed, the funds will be disbursed to your business. Use the funds as specified in your application to support your business operations or real estate projects.
Maintain Communication: Keep in regular contact with the Chantier de l’économie sociale Trust to provide updates on your project and ensure compliance with the loan terms.