SOCCA — Term loan for Indigenous businesses
Highlights
This program is designed for you. It offers competitive term loans to help you start, acquire, or expand your business. The loan amount is based on your repayment capacity, ensuring it fits your financial situation.
Key Benefits:
- Competitive interest rates comparable to traditional financial institutions.
- Flexible loan duration up to 30 years, based on the lifespan of the asset.
- Equity requirement as low as 10% of the total project cost.
What's in it for you:
- Up to 70% financing for building, land, and equipment.
- Support for inventory with up to 50% financing.
- No financing required for working capital.
This program is easier to qualify for than many others, making it a valuable resource for your business growth.
Financing Details
Type of Financing: Term Loan
Repayment Terms and Interest Rates:
- Competitive interest rates, comparable to traditional financial institutions.
- Interest rates are based on the risk associated with the project.
- Loan duration is based on the lifespan of the asset, up to 30 years.
Eligible Expenses:
- Building and land: Up to 70% of the cost.
- Equipment: Up to 70% of the cost.
- Inventory: Up to 50% of the cost.
Ineligible Expenses:
- Working capital: 0% coverage.
Fees:
- No specific fees mentioned for application or processing.
Qualifications
- Must be an Aboriginal business.
- Must be a member of one of the following First Nations:
- Abenaki
- Algonquin
- Atikamekw
- Huron-Wendat
- Malecite
- Micmac
- Must provide proof of Aboriginal ancestry (copy of the Indian Status card or member of the Native Alliance of Quebec).
- Must provide the following documentation:
- Application for financing form
- Personal balance sheet form
- Declaration regarding the accuracy of information provided and consent to gather, keep, use and disclose personal information form
- Résumé
- Business plan (if already prepared)
- For an existing business:
- Financial statements for the last three years
- Recent interim financial statements
- Governing documents of the business
- Ownership agreement (where applicable)
Description
This program offers your business a chance to borrow up to $1,000,000. You can use this money to start, buy, or expand your business.
You can use the funds for:
- Buying or improving buildings and land (up to 70% of the cost)
- Purchasing equipment (up to 70% of the cost)
- Acquiring inventory (up to 50% of the cost)
The amount you can borrow depends on your ability to repay. The loan terms are based on the lifespan of the asset, with a maximum term of up to 30 years. Interest rates are competitive and comparable to traditional financial institutions.
Key benefits include:
- Flexible use of funds for various business needs
- Long repayment period, providing financial stability
- Competitive interest rates based on project risk
This program is a valuable opportunity to secure funding for your business growth and sustainability.
Program Steps
Complete the Application for Financing Form: Fill out the required application form to start the process.
Prepare the Necessary Documentation: Gather and prepare the following documents:
- Personal balance sheet form
- Declaration regarding the accuracy of information provided and consent to gather, keep, use and disclose personal information form
- Résumé
- Proof of Aboriginal ancestry (copy of the Indian Status card or membership in the Native Alliance of Quebec)
- Business plan (if already prepared)
- Financial statements for the last three years (for existing businesses)
- Recent interim financial statements (for existing businesses)
- Governing documents of the business (for existing businesses)
- Ownership agreement (if applicable)
Submit the Application and Documentation: Submit the completed application form along with all the prepared documentation to the appropriate authority.
Review and Follow-Up: After submission, the application will be reviewed. Be prepared to provide any additional information or clarification if requested.
Approval and Agreement: Once the application is approved, review the final terms and conditions. Discuss any questions or concerns before finalizing the agreement.
Receive Funds: Upon agreement, the funds will be disbursed according to the terms discussed, allowing you to proceed with your business plans.