Eligible Business Corporation
Highlights
This program is designed for small business owners like you. By registering as an Eligible Business Corporation (EBC), you can attract equity capital directly from investors without needing to set up a venture capital corporation. This structure is perfect if you want investors who are actively involved in your business's growth.
Why Apply?
- Direct Access to Investors: Gain direct investment from individuals interested in your business.
- Tax Credit Support: Investors can benefit from tax credits, making your business more attractive.
- Public Register Listing: Increase visibility to potential investors by being listed on the public register of EBCs.
Benefits for Your Business
- Flexible Financing: Unlike traditional loans, this program offers equity financing, which means you don't have to worry about immediate repayment.
- Growth Support: Investors involved in your business can provide valuable expertise and resources.
- Easy Qualification: The process to qualify is straightforward, ensuring you can quickly start raising capital.
Being approved for this program can significantly boost your business's growth and financial stability. Take advantage of this opportunity to secure the funding and support you need.
Financing Details
Type of Financing:
Equity Capital
Repayment Terms and Interest Rates:
There are no repayment terms or interest rates associated with equity capital. Investors receive a share of ownership in your business in exchange for their investment.
Eligible Expenses:
Funds raised through equity capital can be used for a variety of business expenses, including but not limited to:
- Business expansion
- Research and development
- Marketing and advertising
- Hiring new employees
- Purchasing equipment
Use of Funds:
The funds cannot be used for:
- Personal expenses
- Repayment of existing debts
- Non-business-related activities
Fees:
There are no fees associated with raising equity capital through this program.
Qualifications
- Must be a small business.
- Must be registered as an Eligible Business Corporation (EBC).
- Must be located in British Columbia.
Must be actively raising investment.
Disqualifications:
- Not registered as an Eligible Business Corporation (EBC).
- Not located in British Columbia.
- Not actively raising investment.
Description
This program allows your business to receive direct equity capital from investors. You don't need to set up a venture capital corporation, making it simpler and quicker to get funding.
You can use this money to grow your business. Whether it's expanding your operations, developing new products, or entering new markets, this program provides the financial boost you need.
Investors can be actively involved in your business. This means you get not just funding, but also valuable expertise and support from experienced investors who are interested in your success.
The program maintains a register of businesses actively seeking investment. This makes it easier for investors to find and support your business, increasing your chances of securing the capital you need.
No payback period is required for this equity investment, as investors receive shares in your company instead of expecting repayment. This can ease your cash flow and allow you to focus on growth.
Program Steps
Register Your Business:
- Visit the official website and complete the registration process for your business to be recognized as an Eligible Business Corporation (EBC).
Prepare Documentation:
- Gather the following documents:
- Business Plan
- Financial Statements
- Proof of Business Registration
- Investor Information
- Pre-approved Authorization for Tax Credit Supported Investment (if applicable)
- Gather the following documents:
Submit Registration Form:
- Fill out the EBC registration form available on the website.
- Attach the necessary documentation.
- Submit the form online or via mail as instructed.
Await Confirmation:
- Wait for confirmation from the program administrators that your business has been successfully registered as an EBC.
Access the Public Register:
- Once registered, decide if you want your business to be included in the public register of EBCs.
- If you choose to be included, ensure your business details are accurately listed.
Engage with Investors:
- Use the public register to attract potential investors.
- Provide them with your pre-approved authorization for tax credit supported investment, if applicable.
Raise Equity Capital:
- Begin raising equity capital directly from investors.
- Ensure all transactions comply with the program guidelines.
Annual Returns:
- Prepare and submit annual returns as required by the program.
- Include updated financial statements and details of any new investments.
Compliance and Audits:
- Be prepared for potential audits by maintaining accurate and up-to-date records.
- Ensure ongoing compliance with all program requirements.
Seek Assistance if Needed:
- Contact the program office at 250-952-0136 or toll-free at 1-800-665-6597 for any questions or additional support.