Development Capital — Debt financing

Q: How much funding can be received?

There is no informations about how much funding can be received.

Q: What is the deadline to apply?

The deadline to apply is not specified.

Q: Is the Development Capital — Debt financing a grant, loan, or tax credit?

Development Capital — Debt financing is a Loans and Capital investments

Q: Who are the financial supporters of the Development Capital — Debt financing?

Development Capital — Debt financing is funded by Investissement Québec (IQ), Gouvernement du Québec

Q: Who can I contact for more information about the Development Capital — Debt financing?

You can contact Investissement Québec (IQ).

Q: Where is the Development Capital — Debt financing available?

The Development Capital — Debt financing program is available the province of QC.

Last Update: January 24, 2025

QC, Canada

Loans for large-scale projects in Quebec

At a glance

Eligible Funding

No Condition

Timeline

Open Date : November 14, 2019

Financing Type

Loans and Capital investments

Eligible Industries

All industries

Funds Providers

Investissement Québec

Gouvernement du Québec

Program status

Open

Overview

Debt financing up to $100 million to acquire a company in Quebec or abroad, for growth and productivity enhancements, and more.

Financing terms and conditions

This grant program offers various financing modalities designed to support ambitious projects in Quebec through structured and flexible financial instruments. The program leverages a combination of debt and equity solutions to provide substantial capital access for eligible enterprises.

Equity financing with a minimum investment threshold of $10 million.
Debt financing available up to $100 million.
First-ranking secured loans typically arranged in collaboration with other lenders, offering competitive and market-aligned terms.
Subordinated loans available with or without collateral, with repayment terms and pricing adjusted according to the specific circumstances of the business, under prevailing market conditions.
Convertible debt with conversion, repayment, and pricing conditions tailored to the business's situation and consistent with market standards.

Activities funded

Acquisition of an enterprise in Quebec or abroad.
Growth or productivity improvement projects, such as expansion or equipment modernization.
Partial or total buyout of shares to ensure the continuity of Quebec ownership.

Examples of admissible projects:

$ 33,000,000

Partial buyout of shares in an education service company for sustainability

$ 79,500,000

Acquisition of a tech startup to enhance software development capabilities

$ 70,000,000

Expansion of renewable energy facilities by GreenLeaf Co-op

$ 27,000,000

Modernization of manufacturing equipment for a factory

$ 54,500,000

Acquisition of a food processing company to diversify product lines

$ 18,500,000

Expansion of a healthcare cooperative to include new diagnostic equipment

Eligibility

Eligibility for this grant is determined by specific requirements related to the sector of the company applying.

All companies in Quebec are eligible except those in the following sectors:
Agricultural operations, unless they are not eligible for programs by La Financière agricole du Québec.
Finance and insurance.
Real estate, with some activities being excluded.
Retail and activities similar to retail.
Other sectors mainly serving individual customers, except the tourism sector.

Who is eligible?

All businesses in Quebec can apply, except those in the following sectors:- Agricultural operations- Finance and insurance- Real estate (certain activities excluded)- Retail and activities similar to retail- Other sectors primarily serving individual customers, excluding the tourism sector Companies not eligible for La Financière agricole du Québec programs may still receive funding from Investissement Québec.

Who is not eligible

This grant excludes certain companies from applying based on their industry or primary activities. These restrictions are intended to target key sectors that align with the grant's economic development mission.

Agricultural operations, with some exceptions.
Finance and insurance sectors.
Real estate activities (certain activities within this sector are excluded).
Retail and activities analogous to retail.
Other sectors where the customer base consists predominantly of individuals, except for the tourism sector.

Eligible expenses

This grant supports projects aimed at enhancing the economic sustainability and growth of businesses in Quebec. Eligible projects include strategic acquisitions, productivity improvements, and actions ensuring business longevity within the province.

Acquisition of a company in Quebec or abroad.
Growth or improvement of productivity, such as expansion and equipment modernization.
Partial or total buyback of shares to ensure the continuity of Quebec-based ownership.

Eligible geographic areas

This grant targets companies established in specific regions to support regional economic development. The eligible geographical area for companies applying for this grant is the Province of Quebec.

Companies located within the Province of Quebec, Canada.

Selection criteria

Yes, there are evaluation and selection criteria for this grant. All companies in Quebec except those in specific sectors are eligible, with a focus on high-potential growth and innovative sectors.

Companies in Quebec are eligible, excluding those in:
Agricultural exploitation
Finance and insurance
Real estate (certain activities excluded)
Retail sales and comparable activities
Other sectors with a majority of individual clientele, except for tourism
Focus on sectors such as:
Food processing
Aerospace
Information and communication technologies
Advanced applied technologies
Clean energy
Life sciences
Innovative manufacturing
Vision centered on long-term economic development
Goals to ensure the sustainability of Quebec businesses

How to apply

Initial contact

Contact the major accounts team at Investissement Québec to discuss your project and verify eligibility.
Provide an overview of your company and your financing needs.

Preparation of the proposal

Write a detailed proposal describing the project, including goals, growth plans, and financial forecasts.
Include supporting documents such as the financial statement, business plan, and market strategies.

Submission of the request

Send the complete proposal to the Investissement Québec team electronically or by mail, according to the instructions provided by the advisor.
Ensure the verification of all required documents for the completeness of the application.

Evaluation of the request

Decision and follow-up

Receive an official decision regarding the grant of development capital.
In case of a positive decision, work on the final terms of the financing with the team.

Additional information

Here are additional relevant details for this grant:

Investissement Québec offers flexible financing solutions through both equity and debt financing tailored to your business's specific needs and market conditions.
They have a strong financial capacity and offer a long-term global perspective to support ambitious business projects.
Their portfolio focuses on innovative companies with high growth potential, especially in sectors like aerospace, ICT, advanced technologies, clean energy, life sciences, and innovative manufacturing.
Investissement Québec brings added value through a wide network of contacts and complementary services with other market players.
Financing packages start at a minimum of $10 million, which can go up to $100 million for debt financing.

Documents and links

Development Capital — Debt financing

Apply to this program

Frequently Asked Questions about the Development Capital — Debt financing Program

Here are answers to the most common questions about the Development Capital — Debt financing. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.

What is the Development Capital — Debt financing?

How much funding can be received?

What expenses are eligible under Development Capital — Debt financing?

This grant is designed to support various ambitious business initiatives that contribute to economic growth and sustainability in Quebec. The eligible projects include but are not limited to acquisitions, productivity improvements, and ownership structuring activities. Acquisition of an enterprise in Quebec or abroad. Growth or productivity improvement projects, such as expansion or equipment modernization. Partial or total buyout of shares to ensure the continuity of Quebec ownership.

What is the deadline to apply?

Is the Development Capital — Debt financing a grant, loan, or tax credit?

Who are the financial supporters of the Development Capital — Debt financing?

Who is eligible for the Development Capital — Debt financing program?

To be eligible for the Development Capital — Debt financing program, you must: All businesses in Quebec are eligible except those in the following sectors: agriculture, finance and insurance, real estate, retail trade, and sectors with a primarily individual clientele, except for tourism. Businesses not eligible for La Financière agricole du Québec programs may still qualify for funding from Investissement Québec.