NBIF Venture Capital Fund

Up to $500,000
Type
LOANS AND CAPITAL INVESTMENTS
Application Difficulty
HARD
Time To Complete4 weeksProgram Budgetno cap
See If You Qualify

Highlights

Our Venture Capital Fund (VCF) is designed for businesses like yours that have customers and market traction. This program offers seed investment ranging from $200,000 to $500,000 to help you scale up quickly. The funds can be used for product enhancement, marketing, employee recruitment, and acquiring additional IP protection. This investment is structured through preferred shares, common shares, or convertible debentures, providing flexible financing options.

By applying to this program, you gain access to capital that can support your business for 12 to 18 months, allowing you to focus on growth and innovation. The VCF is particularly beneficial because it looks for companies with the potential to scale rapidly and a strong team, ensuring you have the support needed to succeed. Additionally, the program aims to deliver decisions as soon as possible, making it easier for you to plan your next steps.

Qualifying for this program is straightforward if your business meets the criteria. With the VCF, you can expect a thorough evaluation of your product, market, team, and financials, ensuring that you are well-prepared for future investment rounds. This program not only provides immediate financial support but also positions your business for long-term success.

Financing Details

Type of Financing: Equity Investment

Investment Amount:

  • Ranges from $200,000 to $500,000 per round.

Eligible Expenses:

  • Product enhancement
  • Marketing and branding
  • Employee recruitment
  • Acquiring additional IP protection
  • Other early-stage business operations

Use of Funds:

  • The investment is intended to support your business for 12 to 18 months.

Repayment Terms:

  • This is an equity investment, so there are no repayment terms or interest rates. Instead, the investment is made through preferred shares, common shares, or convertible debentures.

Fees:

  • No specific fees are associated with this program. However, all investments are subject to due diligence, negotiation, and appropriate approvals.

Qualifications

  • Must be a start-up based in New Brunswick.
  • Must have customers and market traction.
  • Must be generating meaningful revenue.
  • Team must have grown to support increased product demand.
  • Must have interest from new investors.
  • Must have successfully received additional non-dilutive capital in the form of grants or loans.
  • Must have a minimum viable product.
  • Must have a novel concept or unique business model.
  • Must have a large addressable and target market.
  • Must have market validation from customers.
  • Must have a strong team, including co-founders and a well-rounded management team, based in New Brunswick.
  • Team must have domain or technical expertise in the market space.
  • Must have a minimum of 12-18 months of runway.
  • Must provide three-year financial projections with monthly detail for the first year, and quarterly detail for the following two years.

  • Disqualifications:

    • None explicitly mentioned.

Description

The Venture Capital Fund (VCF) offers your business a chance to grow quickly. You can receive $200,000 to $500,000 per funding round. This money can be used for product enhancement, marketing, hiring new employees, protecting your intellectual property, and other early-stage operations.

The investment is made through preferred shares, common shares, or convertible debentures. The goal is to support your business for 12 to 18 months. This funding helps you scale up, reach more customers, and prepare for future investment rounds.

Key benefits include:

  • Significant funding to boost your business.
  • Flexible use of funds for various business needs.
  • Support for 12 to 18 months to stabilize and grow your operations.

This program is a valuable opportunity to secure the capital needed to expand your business and achieve your goals.

Program Steps

  1. Prepare Business Documentation: Gather the necessary documents to support your application. These include:

    • Business plan
    • Financial statements
    • Three-year financial projections (monthly detail for the first year, quarterly detail for the next two years)
    • Details of market traction and revenue
    • Team information and resumes
    • Intellectual property documentation (if applicable)
  2. Email the Investment Team: Contact the investment team by emailing [email protected] to express your interest and start the application process.

  3. Submit Initial Application: Provide the required documentation and information about your business, including your business plan, financial statements, and market traction details.

  4. Participate in Due Diligence: Engage with the investment team as they conduct due diligence. Be prepared to provide additional information and answer questions about your business, market, and financials.

  5. Review Investment Terms: Once due diligence is complete, review the proposed investment terms, including the type of shares or convertible debentures, and any conditions attached to the investment.

  6. Negotiate and Finalize Agreement: Discuss and negotiate any terms as necessary. Finalize the investment agreement with the investment team.

  7. Receive Investment: Upon approval and agreement, receive the investment funds to support your business growth, product enhancement, marketing, and other early-stage operations.

Visit Program Website