La Vallée-du-Richelieu Agricultural Microcredit Fund

• Application form
• Business plan or Appendix A responses
• Credit inquiry authorization
• Financial statements or opening balance sheet
• Proof of equity contribution

Who is eligible?

• Agricultural businesses with their headquarters and activities located in the Vallée-du-Richelieu MRC

Who is not eligible

• Companies whose main activities are not related to agriculture.
• Enterprises whose head office and activities are located outside the territory of the MRC de la Vallée-du-Richelieu.
• Businesses seeking funding for the acquisition of quotas or other production shares.
• Enterprises that are not members in good standing of the local UPA union.
• Companies that do not have a ministerial identification number (NIM) as an agricultural producer.

Eligible expenses

• Purchase of equipment or animals.
• Consulting service fees.
• Costs related to planting or preparing the land.
• Expenses for processing, distribution, or marketing.
• Acquisition of technologies, software, software packages, or patents (excluding R&D activities).
• Purchase or improvement of land, buildings, equipment, machinery, rolling stock, as well as the construction, expansion, renovation, or development of land or premises.
• Working capital needs for the first year of operation (strictly related to activities).
• For business transfer projects: acquisition of ownership rights or assets of the targeted company, as well as professional fees directly related to the transaction and the transfer of management.

Eligible geographic areas

• Companies headquartered and operating within the territory of the MRC de La Vallée-du-Richelieu.

• Feasibility of the project.
• Applicant's implementation capacity.
• Expected outcomes after the project.
• Leverage effect of the loan.
• Prospect of sustainable development and integration of technologies.

• Step 1: Preparation of the application file
  • Download and fill out the financial aid application form from the Agricultural Microcredit Fund of La Vallée-du-Richelieu (FMAVR).
  • Write a detailed description of the project including objectives, target market, promoters' skills, competition analysis, likelihood of success, and any other relevant information.
  • Prepare accurate financial forecasts and indicate the total cost of the project as well as the expected additional sources of funding.
  • Gather the required documents according to the type of business: business plan or responses to the questions in Appendix A, credit inquiry authorization, financial statements for the last two years or opening balance sheet (if starting up), projected financial statements for two years, CVs of the promoters, personal balance sheet, proof of equity contribution, and any other documents deemed relevant.
• Step 2: Submission of the application
  • Send the duly completed application form and all required documents by email to dev.zoneagricole@mrcvr.ca.
  • Alternatively, print the file and send it by mail to the following address:
    MRC de La Vallée-du-Richelieu
    Attention: Agricultural and Agri-food Development Officer
    255, boulevard Laurier, office 100
    McMasterville (Quebec) J3G 0B7
• Step 3: Follow-up on the file
  • A follow-up can be carried out by the agricultural development officer to complete or clarify certain documents or information if necessary.

• Complete files are pre-analyzed by the MRCVR support service before being sent to the FMAVR Committee.
• The FMAVR Committee reviews loan requests and decides whether to approve them.
• The Committee meets at least once a year.
• Final approval rests with the MRCVR Council.
• Approved loans are paid after the agreement is signed between the MRCVR and the business.

• The fund requires a 20% equity contribution from the applicant, which may take various forms such as capital, equipment, fixed assets, or incorporation fees.
• Only two loans are awarded per year for a period of five years, based on a fixed fund capital.
• The fund is managed in collaboration with the local UPA union and Farm Credit Canada, along with the MRCVR.
• Applicants must be a member in good standing of the local UPA union and possess a ministerial identification number (NIM) confirming agricultural producer status.