ID Gatineau — Local Fund

• Businesses must be legally constituted for-profit enterprises under Quebec or Canada laws.
• Collective enterprises like cooperatives and non-profit organizations with commercial activities are eligible.
• The business must operate within the territory of the City of Gatineau and have its head office in Quebec.
• It must be registered with the Quebec Business Registry (Registre des entreprises du Québec - REQ).
• For the Fonds local de Solidarité (FLS), social economy enterprises must meet conditions outlined in Annex A.

Who is eligible?

• Legally incorporated for-profit companies under the laws of Quebec or Canada
• Collective enterprises (cooperatives and non-profit organizations) engaged in commercial activities

Who is not eligible

• Companies registered in the Register of enterprises ineligible for public contracts (RENA).
• Enterprises that have not met their obligations with previous financial aids from the Ministry or the City of Gatineau in the last two years.
• State-owned enterprises or those controlled directly or indirectly by the government.
• Companies under the protection of the Companies' Creditors Arrangement Act or the Bankruptcy and Insolvency Act.
• Enterprises with unethical behaviors negatively affecting the government's or municipality's image.
• Companies with irresponsible environmental practices.
• Businesses with a history of violating labor or human rights legislations.
• Organizations involved in armament production or distribution.
• Fossil fuel-related exploration, extraction, drilling, production, and refining, barring transition to low-carbon economy activities.
• Gambling and gaming operations, like casinos and bingo halls.
• Activities relating to violent games or combative sports involving living beings.
• Businesses engaged in sexual exploitation or related services.
• Real estate management and development industries.
• Companies dealing in tobacco or drug-related products, with specific exceptions for certain cannabis and industrial hemp-related activities.

Eligible expenses

• Additional working capital requirements for a period of up to two years for the realization of the enterprise's project.
• Capital expenditures directly related to the realization of the enterprise's project, such as acquisition of technology, land, buildings, equipment, machinery, and rolling stock, as well as construction, expansion, renovation, development of land and premises.
• Professional fees incurred prior to the realization of the enterprise's project, such as feasibility analysis, external audit, or impact study.
• Professional fees directly and strictly related to the realization of the enterprise's project, such as implementation of technology, equipment, and machinery, as well as acquisition, construction, renovation, and development of land and premises.
• Acquisition costs of property titles of the targeted company (voting shares or parts) and assets of the targeted company.
• Professional fees directly related to the transaction and acquisition of the enterprise, as well as the transmission of company management.

Eligible geographic areas

• Territory of the City of Gatineau
• Headquartered in Quebec

• The robustness and credibility of the business model, including aspects such as value proposition, market segments, distribution channels, client relations, key resources, activities, partners, revenue streams, costs, and environmental impact.
• The economic viability of the financed project, ensuring the project's potential for sustainable profitability and repayment capacity.
• The knowledge and experience of the promoters, focusing on relevant domain expertise and managerial capabilities.
• The environmental and societal benefits, with a preference for projects that improve the socio-economic and environmental landscape of Gatineau through sustainable business practices.
• The openness and approach to worker relations within the company.
• The avoidance of projects that solely result in subcontracting or privatization without creating new economic activities or employment.
• The involvement of other financial partners, encouraging partnerships with financial institutions and requiring promoter contributions as part of the project funding.
• The capacity of the project to ensure the longevity and self-sustainability of the funds.

• The "Fonds locaux" are tools designed to accelerate business projects across the territory, proactively supporting initiatives.
• The financial aid from the "Fonds locaux" is essential for securing other funding sources, such as traditional bank loans or other capital infusions.
• The FLI/FLS partnership involves a singular loan contract indicating the total loan amount and a weighted interest rate, which may differ for each fund.
• Under certain conditions, the FLI or FLS can invest independently, deviating from the usual joint investment strategy if a case is deemed too risky.
• In cases where the risk associated with an investment dossier is too high for one of the funds, the other fund may assume a greater share.
• The administrative fees related to the investment are to be kept at a minimum by the representative of the City of Gatineau.
• Legal costs associated with the realization of the investment are borne by the promoters.
• Investments through the "Fonds locaux" are managed by Investissement et Développement Gatineau on behalf of the City of Gatineau.
• The consignment of investments is conducted under the oversight of a communal investment committee (CIC).