First Peoples Economic Growth Fund — Entrepreneur Loan Program
MN, Canada
Loans for Manitoba First Nations entrepreneurs
grant_single_labels|summary
grant_single|eligibleFinancing
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- grant_single|projectCostPercent
grant_single|deadlines
- grant_single|timelineUnspecified
grant_single|financingType
Loans and Capital investments
grant_single|eligibleIndustries
- grant_single|allIndustries
grant_single|grantors
- First Peoples Economic Growth Fund Inc. (FPEGF)
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grant_card_status|open
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Get a repayable loan that is the lesser of $200,000 or 50% of the fair market value of the total costs of your business project, including starting a new business and purchasing, upgrading or expanding an existing business.
grant_single_labels|projects
This grant program is specifically targeted towards entrepreneurs who are members of Manitoba First Nations. These eligible areas focus on supporting economic development within Manitoba First Nation communities both on and off reserves.
- Manitoba First Nation communities located on reserves.
- Manitoba First Nation communities located off reserves.
grant_single|admissibleProjectsExample
$90,000
Thompson
Upgrading a transportation business
$20,000
Churchill
Starting a new IT consulting firm
$40,000
Winnipeg
Starting a new Indigenous-owned organic farm
$30,000
Brandon
Expanding a community-owned coffee shop
$100,000
Flin Flon
Purchasing an outdoor adventure company
$65,000
Selkirk
Purchasing an existing bakery
grant_single_labels|admissibility
Eligibility for this loan program is based on specific criteria related to the applicant's background and the proposed business project.
- Applicants must be members of a Manitoba First Nation, regardless of residence on or off reserve in Manitoba.
- Applicants must be aged 18 and over, and eligible to work in Canada.
- A sound business plan demonstrating the viability of the business must be provided.
- Applicants must contribute equity equal to a minimum of 5% of the total project costs. In cases of higher risk, larger equity contributions may be required.
- All applicants will undergo a credit score review, though approval is not solely based on credit score. Unresolved collection issues must be resolved before proceeding with the application.
grant_eligibility_criteria|who_can_apply
This program is intended to assist Manitoba First Nation entrepreneurs by providing financial support through subordinated interest-free loans. Applicants must be members of a Manitoba First Nation, aged 18 or over, and eligible to work in Canada. They must also present a viable business plan and contribute at least 5% equity of the total project costs, which can be in cash or unencumbered business assets.
grant_eligibility_criteria|who_cannot_apply
There are specific considerations when applying for this grant, though detailed restrictions on company types or industries are not fully specified. However, businesses must meet certain operational and ownership conditions to qualify.
- Must primarily operate in Manitoba.
- Businesses must be at least 51% owned and controlled by a member of a Manitoba First Nation.
- Projects must have a profit objective; not-for-profit projects are not considered.
- The business should be reputable and appropriate in nature.
- New businesses, business purchases, or expansions only; refinancing is not eligible.
grant_eligibility_criteria|eligible_expenses
This grant is designed to support Manitoba First Nation entrepreneurs in establishing or expanding their businesses. The eligible projects focus on new business startups, expansion of existing businesses, and business acquisitions.
- Starting a new business venture.
- Expanding an existing business operation.
- Acquiring an existing business as part of business growth strategies.
grant_eligibility_criteria|zone
The program provides loan capital for eligible business expenses as part of a project cost to start, expand, or acquire a business.
- Costs related to capital expenditures.
- Working capital requirements for the business project.
- Appraisal costs for determining the project costs.
grant_single_labels|criteria
There are evaluation and selection criteria for this grant. The criteria include assessing the viability of the business plan, the applicant's equity contribution, ownership by a member of a Manitoba First Nation, and the primary operation in Manitoba.
- Viability of the business plan
- Applicant's equity contribution
- Ownership by a member of a Manitoba First Nation
- Primary operation in Manitoba
grant_single_labels|register
Here are the steps to submit an application for this grant:
- Step 1: Prepare Business Plan
- Develop a comprehensive business plan that demonstrates the viability of your business.
- Ensure that the plan aligns with the project costs and financing requirements.
- Step 2: Verify Eligibility
- Confirm membership in a Manitoba First Nation and eligibility criteria (e.g., age and work eligibility in Canada).
- Determine your ability to contribute the required equity (cash or assets).
- Step 3: Register Business Name
- Register your business name with the Companies Office, if not already done.
- Step 4: Compile Financial Statements
- Prepare and compile any requested financial statements (quality, internally prepared, auditor reviewed, etc.).
- Step 5: Application Submission
- Complete any additional forms and gather necessary documentation as required by the loan program.
- Submit all materials directly to the First Peoples Economic Growth Fund (FPEGF) as per their instructions.
- Step 6: Address Credit and Collection Issues
- Resolve any outstanding collection issues prior to application processing.
- Step 7: Obtain Confirmation
- After submission, ensure you receive a confirmation of receipt from FPEGF.
- Keep a record of your application details for future reference.
grant_single_labels|otherInfo
Here are additional relevant details for this grant:
- Loan proceeds are required to be used strictly for the purpose they were applied for, such as starting, expanding, or acquiring a business.
- Loan proceeds cannot be used for refinancing or to pay off existing debt.
- The business funded through this program will be registered as security or collateral for the loan.
- Applicants are subject to a credit score review, but low credit scores are not disqualifiers, though unresolved collection issues must be addressed before the application can proceed.
- The applicant’s equity contribution to the project can be in cash or unencumbered business assets with appropriate documentation supporting the value.
- Supplementary loans may be available based on satisfactory financial statements provided to the fund.
- The program includes a flexible approach to accepting various types of financial statements depending on the complexity of the business.
Apply to this program
Empowering Manitoba First Nation Entrepreneurs
The Entrepreneur Loan Program offers financial support to Manitoba First Nation entrepreneurs by providing interest-free loans that enhance their ability to secure additional financing. This program is designed to assist entrepreneurs in starting, expanding, or acquiring businesses within Manitoba.
In-Depth Insights into the Entrepreneur Loan Program
The Entrepreneur Loan Program plays a pivotal role in fostering economic development among First Nation communities in Manitoba by alleviating financial barriers for aspiring and existing entrepreneurs. The program strategically offers subordinated interest-free loans with flexible repayment terms to eligible applicants, allowing them to leverage this financial support to secure additional capital from other institutions and agencies, thus amplifying their business potential.
A critical aspect of the Entrepreneur Loan Program is its focus on equipping entrepreneurs with the necessary capital to initiate or scale their businesses, without the inherent financial strain of interest, hence supporting the sustainability and long-term viability of business operations. Each loan is tailor-fitted, capping at the lesser of $200,000 per project or 50% of total project costs, which ensures that projects are adequately funded while encouraging prudent financial planning and management among entrepreneurs.
Eligibility for the program is inclusive yet targeted, ensuring that it reaches those who can most benefit from its offerings. By requiring a sound business plan and a reasonable equity contribution, the program ensures that applicants are serious and prepared, fostering an environment where well-prepared entrepreneurs can thrive. Furthermore, the flexibility in equity contribution — accommodating cash, or unencumbered business assets — reflects the program's understanding of the diverse financial situations of entrepreneurs.
Additionally, while credit checks are performed, they are not the sole determinant for approval, making the program accessible for those who might not have optimal credit scores but possess the business acumen and potential to succeed. This approach is particularly beneficial in empowering business owners who may have faced systemic barriers in the traditional lending market.Supplementary loans are also a consideration for businesses that maintain sound financial health, indicating the program’s commitment to supporting continual business growth and development over time. This is contingent upon businesses meeting the financial statement requirements set by FPEGF, ensuring a balance between responsible financial management and growth facilitation. The program also necessitates the correct application of loan proceeds, mandating that funds be used in alignment with the proposed objectives — such as starting, expanding, or acquiring businesses — and not for refinancing or covering existing debts. This condition reinforces the program’s objective to catalyze new or expanded economic activities rather than temporarily alleviating financial distress. By offering a comprehensive financial solution tailored specifically for Manitoba First Nation entrepreneurs, the Entrepreneur Loan Program is designed not only as a financial aid tool but also as a catalyst for sustainable business development within these communities. It stands as a testament to the commitment towards empowering First Nation entrepreneurs, providing them with the necessary resources to create, innovate, and contribute positively to their local economies.
