Développement Vaudreuil-Soulanges — FSTE

The Développement Vaudreuil-Soulanges — FSTE grant offers comprehensive financing solutions designed to promote successful business transfers within the region. These financing modalities aim to accommodate the financial needs of both ceding and acquiring parties.

• Loans available ranging from $25,000 to $150,000 for acquiring parties, with an annual interest rate between 2% and 4% depending on risk assessment.
• Loan amortization periods span from 60 to 72 months, featuring a 12-month principal moratorium.
• Eligible expenses for acquiring parties range from $5,000 to $10,000.
• Non-repayable assistance is available as grants for professional fees, covering 50% of eligible expenses up to $5,000, subject to fund availability.
• For ceding parties, eligible expenses for evaluation reports range from $5,000 to $15,000.
• Grants for professional fees applicable to ceding parties cover 50% of eligible expenses, with a maximum of $7,500, until the funds are exhausted.
• No file opening or annual renewal fees are charged.

Eligibility for this grant is determined by specific requirements related to the companies' operational status and financials.

• The company must be in operation for over five years within the territory of the MRC of Vaudreuil-Soulanges and must be in good financial condition.
• Eligible companies must have annual sales exceeding $500,000 or employ more than five permanent staff members, including shareholders.
• A change of control involving more than 51% of the company's shares must be involved.

Who is eligible?

The Fonds de soutien au transfert des entreprises (FSTE) is specifically designed for businesses located in the Vaudreuil-Soulanges area. Eligible applicants include retail businesses, food and restaurant services, industrial enterprises, and service companies. Both business sellers and buyers aiming for business transitions within this region can apply. The targeted businesses must have been operational for over five years within the territory, in good financial health, and must have annual sales exceeding $500,000 or employ more than five permanent employees, including shareholders. Additionally, the business transfer involves a change of control exceeding 51% of the shares. Reimbursement or proof of professional fees is required for payment disbursement.

Who is not eligible

This grant excludes certain expenses and activities that do not align with the transition-focused goals of the fund. The restrictions ensure professional fees unrelated to pre-transaction phases are not covered.

• Professional fees related to the period after the offer acceptance up to the transaction closure.

Eligible expenses

Eligible expenses for the Développement Vaudreuil-Soulanges — FSTE grant include specific costs related to professional fees linked to business transfers.

• Independent opinion on an evaluation report submitted to the buyer by the seller.
• Opinion or drafting of legal documents related to a potential transfer transaction (e.g., Letter of Intent, promise to purchase, promise to sell, etc.).
• Evaluation report on the value of the business to be sold for sellers.

Eligible geographic areas

This grant is available exclusively to businesses operating within a designated geographical area to support regional economic development efforts. The program specifically targets a region that holds strategic importance for the funding body's goals.

• Companies located in the MRC de Vaudreuil-Soulanges.

Here are additional relevant details for this grant:

• No fees are required for the opening of a file or for annual renewal.
• The assessment is based on opinions submitted by recognized professional order members, ensuring credibility.
• DEV reserves the right to change eligibility criteria at any time based on its priorities.
• Expenditures are limited to the funds available, placing emphasis on timely application.