How much funding can be received?

The Share Capital program by DEL aims to support innovative businesses with high growth potential through equity investment, providing funding of up to $150,000. Eligible activities include creating or maintaining jobs, leveraging financing from strategic partners, and offering value-added products or services to a clearly defined profitable B2B market.

grant_single_labels|projects

Projects eligible for this share capital financing would generally include those that aim to offer innovative value-added products or services in a B2B context, with a focus on creating or maintaining jobs and demonstrating growth potential.

Innovative business projects with high growth potential
Projects that aim to create or maintain jobs
Projects demonstrating profitability and growth potential

grant_single|admissibleProjectsExample

$100,000

Vancouver

Launching a new biodegradable packaging line to serve eco-conscious B2B clients

$110,000

Calgary

Developing sustainable textile manufacturing using recycled materials

$90,000

Halifax

Creating an online platform to connect Canadian artisans with corporate buyers

$120,000

Ottawa

Implementing a cloud-based accounting software solution for small businesses

$130,000

Montreal

Establishing a new co-working space tailored for tech startups

grant_single_labels|admissibility

This grant is designed to support legally constituted businesses in the DEL region or planning to be, that operate in eligible industries and offer innovative value-added products or services in a B2B context.

Be legally constituted
Be located in the DEL region or plan to be
Operate in an eligible industry
Offer innovative value-added products or services intended for a clearly defined profitable market in a B2B context
Submit a project that will help to create and/or maintain jobs
Demonstrate that your management team is experienced and complementary
Submit a diversified financing structure, showing financial partners that are strategic to carrying out the project
Submit a project for which government financing and DEL financing combined cover a maximum of 50% of the project expenses
Demonstrate that the project is based on realistic financial forecasts demonstrating profitability and growth potential and potential to break even within 2 years of the investment
Submit current financial statements showing an equity of 20% after the project and ability to repay
Demonstrate that the business and entrepreneur are not in default to the government or its creditors, nor are they the subject of any litigation

grant_eligibility_criteria|who_can_apply

Yes, there are eligible types of companies for this grant. The eligibility criteria specify that companies must operate in an eligible industry, offer innovative value-added products or services intended for a clearly defined profitable market in a B2B context, and meet several other conditions.

Legally constituted businesses
Located in the DEL region or plan to be
Operate in an eligible industry
Offer innovative value-added products or services for a clearly defined profitable market in a B2B context
Submit a project that will help to create and/or maintain jobs
Have an experienced and complementary management team
Show a diversified financing structure with strategic financial partners
Government and DEL financing combined must cover a maximum of 50% of project expenses
Show realistic financial forecasts demonstrating profitability and growth potential, with potential to break even within 2 years of the investment
Submit financial statements showing equity of 20% after the project and ability to repay
Not in default to the government or creditors, nor the subject of any litigation

grant_eligibility_criteria|eligible_expenses

Yes, there are eligible expenses for this grant. They include various categories such as personnel costs and equipment costs.

Personnel costs
Equipment costs
Materials and supplies
Travel expenses
Consulting services
Administrative costs
Research and development costs
Training
Marketing and advertising costs
Facility rent or lease

grant_eligibility_criteria|zone

Eligible geographic zones for this grant include the DEL region. Businesses must be located in this area or plan to be.

DEL region
Planning to be located in the DEL region

grant_single_labels|criteria

Yes, there are evaluation and selection criteria for this grant. Eligible businesses must meet these criteria to qualify for DEL's share capital investment.

Be legally constituted
Be located in the DEL region or plan to be
Operate in an eligible industry
Offer innovative value-added products or services intended for a clearly defined profitable market in a B2B context
Submit a project that will help to create and/or maintain jobs
Demonstrate that your management team is experienced and complementary
Submit a diversified financing structure, showing financial partners that are strategic to carrying out the project
Submit a project for which government financing and DEL financing combined cover a maximum of 50% of the project expenses
Demonstrate that the project is based on realistic financial forecasts demonstrating profitability and growth potential and potential to break even within 2 years of the investment
Submit current financial statements showing an equity of 20% after the project and ability to repay
Demonstrate that the business and entrepreneur are not in default to the government or its creditors, nor are they the subject of any litigation

grant_single_labels|register

Step 1: Ensure Eligibility
Be legally constituted
Be located in the DEL region or plan to be
Operate in an eligible industry
Offer innovative value-added products or services for a B2B market
Have a management team that is experienced and complementary
Show financial statements with an equity of 20% after the project and ability to repay
Not in default to government or creditors, nor subject to litigation
Step 2: Prepare Necessary Documents
Business model and revenue model or business plan
Financial statements for the past 3 years and current year
Projected financial forecasts for the next 2 years
Entrepreneur’s personal financial statement and credit report
Subscription agreement
Shareholder agreement with an exit clause
Shareholder structure showing liquidation preferences
Business valuation prior to the investment
Step 3: Develop Project Proposal
Submit a project that helps to create/maintain jobs
Show diversified financing structure with strategic financial partners
Ensure combined government and DEL financing covers a maximum of 50% of project expenses
Base the project on realistic financial forecasts
Step 4: Book an Appointment
Contact DEL to schedule a meeting for further guidance and submission

grant_single_labels|otherInfo

The grant aims to support innovative businesses with high growth potential in the DEL region, with a clear focus on job creation and profitability.

Maximum Amount: $150,000
Investment must not exceed 49% of the voting shares
Can be combined with conditionally non-repayable financing
Submit a diversified financing structure
Provide realistic financial forecasts
Business must not be in default to the government or creditors
Comprehensive documentation required, including business plan and financial statements

grant_single_labels|contact

450 645-2335

Apply to this program

Summary of DEL Equity Investment Grant

The DEL Equity Investment Grant offers up to $150,000 in financing to innovative businesses with high growth potential in the Longueuil region, supporting development and job creation. This share capital investment must adhere to strict eligibility criteria and provide a clearly defined exit strategy within a five to seven-year period.

In-Depth Guide to DEL Equity Investment Grant

The Développement économique de l’agglomération de Longueuil (DEL) is a key player in supporting the economic development of businesses within the Longueuil region. To facilitate growth and innovation among local enterprises, DEL offers an Equity Investment Grant designed to provide financial support with an impressive maximum amount of $150,000. This grant primarily targets businesses with high growth potential that can bring significant economic benefits to the region through job creation and innovative ventures.

Understanding the Grant Structure

The DEL Equity Investment Grant provides share capital financing, either through voting or preferred shares. The key feature of this grant is the clearly defined exit clauses, which are set within a maximum period of seven years but not less than five years. The investment is limited to a maximum of 49% of the voting shares of the business, ensuring that the founders and owners retain control of their enterprise.

This grant can also be combined with conditionally non-repayable financing, which may cover up to 50% of the external professional fees related to the project. This creates a comprehensive financing solution that supports the full scope of a business's development needs.

Main Eligibility Criteria

To qualify for the DEL Equity Investment Grant, businesses must meet several strict eligibility criteria:

Legal Constitution: The business must be legally constituted.
Geographical Location: The business must either be located in the DEL region or have plans to establish itself there.
Industry Requirements: The business must operate in an eligible industry, offering innovative and value-added products or services aiming at a clearly defined and profitable market in a B2B (business-to-business) context.
Project Impact: The proposed project must contribute to the creation and/or maintenance of jobs in the region.
Management Team: The management team of the business should be experienced and complementary, demonstrating a solid capacity to execute the project efficiently.
Financing Structure: The proposed financing structure should be diversified, showcasing strategic financial partners essential for the project's success.
Government and DEL Financing: Combined government financing and DEL funding should cover no more than 50% of the total project expenses.
Financial Forecasts: The business must present realistic financial forecasts that demonstrate the potential for profitability, growth, and the ability to break even within two years of receiving the investment.
Equity and Repayment Ability: Current financial statements should show an equity of 20% post-project, with a clear demonstration of the ability to repay the investment.
No Defaults or Litigation: The business and the entrepreneur should not be in default to the government or creditors, nor should they be involved in any litigation.

Key Documents Required

Applicants must submit several key documents to support their grant application, ensuring a thorough evaluation process:

Business Model and Revenue Model or Business Plan: Detailed descriptions that outline how the business operates and generates revenue.
Financial Statements: Financial statements for the past three years, as well as the current year, to provide a clear picture of the business's financial health.
Projected Financial Forecasts: Projections for the next two years, illustrating the business's expected growth and financial trajectory.
Entrepreneur’s Personal Financial Statement and Credit Report: Detailed personal financial information and credit history of the business owner or main applicant.
Subscription Agreement: Agreement detailing the subscription conditions of the share capital investment.
Shareholder Agreement: An agreement among the shareholders that includes an exit clause to define the terms of equity withdrawal.
Shareholder Structure: Document showing the shareholder structure with details on liquidation preferences.
Business Valuation: Assessment of the business's value prior to the investment.

Why Opt for the DEL Equity Investment Grant?

There are several compelling reasons for businesses to consider the DEL Equity Investment Grant:

Significant Financial Support: The grant provides substantial financial backing that can be crucial for scaling operations and fostering innovation.
Strategic Financial Planning: The conditional non-repayable financing option for professional fees adds value by enabling businesses to access specialized services without straining their budgets.
Long-Term Growth: The equity investment structure, with defined exit clauses, encourages sustainable growth and development over a period of five to seven years.
Partnership with DEL: Partnering with DEL means gaining access to a network of professionals, resources, and additional support services that can drive the overall success of the business.
Enhanced Credibility: Securing investment from a reputable entity like DEL can significantly enhance a business's credibility and attractiveness to other potential investors and partners.

Application Process

To apply for the DEL Equity Investment Grant, businesses should follow these steps:

Initial Consultation: Book an appointment with DEL to discuss your project and assess your eligibility. This can be done through the DEL website or by contacting their offices directly.
Prepare Documentation: Assemble all required documents as listed above, ensuring they are comprehensive and accurately reflect your business and its potential.
Submit Application: Submit your complete application to DEL through their designated channels. It's crucial to double-check all documentation for completeness and accuracy.
Evaluation and Follow-Up: After submission, DEL will evaluate the application. They may request additional information or clarification during this process. Ensure you are responsive and provide any requested information promptly.
Approval and Investment: If your application is approved, you will receive the investment according to the agreed terms and conditions. Ensure you adhere to all outlined requirements and maintain clear communication with DEL throughout the grant period.

Conclusion

The DEL Equity Investment Grant is a valuable opportunity for innovative businesses in the Longueuil region to secure substantial financial support. By meeting the eligibility criteria and successfully navigating the application process, businesses can leverage this grant to realize their growth potential, create jobs, and contribute significantly to the regional economy. With the backing of DEL, businesses can confidently pursue their ambitious projects, knowing they have a trusted partner supporting their journey towards success.

DEL — Share Capital

grant_single_labels|summary

grant_single_labels|preview