MRC Haute-Yamaska — Local investment and solidarity funds (FLI and FLS)

Who is eligible?

• Enterprises operating in sectors aligned with MRC priorities.
• Businesses with potential for job creation.
• Projects demonstrating added value.
• Entrepreneurial projects focused on sustainable development.
• Entrepreneurs or groups of entrepreneurs acquiring at least 25% of a business or its assets for succession purposes.
• Companies engaged in business sectors other than those excluded (e.g., not in arms production, gambling, or unethical industries).
• Enterprises in economic sectors that support community development and create sustainable jobs.

Who is not eligible

This grant is not open to certain companies and industries, based on their specific characteristics and activities. These restrictions ensure that funding aligns with the grant's economic and ethical standards.

• Companies listed on the Register of Ineligible Enterprises for Public Contracts (RENA).
• Entities that have failed obligations under past financial aid agreements within two years of application.
• State-owned enterprises or those controlled by any level of government.
• Franchises or companies with apparent dependency.
• Entities with unethical behavior impacting the government's integrity.
• Companies with irresponsible environmental practices.
• Businesses known for not respecting labor standards or human rights legislation.
• Industries involved in arms production or distribution.
• Projects related to unsustainable energy exploitation.
• Gambling operations, including casinos and bingo halls.
• Entities engaged in violent sports, animal fights or similar activities.
• Businesses involved in sexual exploitation.
• Real estate management and development companies, with some exceptions.
• Firms related to tobacco or drug consumption, with specific exceptions for cannabis and hemp in certain regulated scenarios.
• Producers of recreational cannabis products.
• Businesses involved in certain non-pharmaceutical hemp or cannabis products.

Eligible expenses

The grant supports a comprehensive range of investment-related expenses to facilitate business development and growth.

• Additional working capital needs directly related to the project's execution in the following year.
• Capital expenditures strictly and directly linked to project realization, including technology acquisition, land, buildings, equipment, machinery, and rolling stock.
• Construction, expansion, renovation, and land and premises development costs.
• Professional fees incurred before project realization, such as feasibility analysis, external audits, or impact studies.
• Professional fees directly related to project execution, including the integration of technology, equipment, and machinery, along with acquisition, construction, renovation, and premises development.
• Acquisition costs for ownership interests in the targeted business (voting shares or equivalent) and business assets.
• Professional fees directly and strictly connected to the transaction, acquisition, and management transition of the business.

Eligible geographic areas

This grant specifically targets businesses within the jurisdiction of the MRC de La Haute-Yamaska. The eligible geographical areas for this grant are defined by the regional boundaries set by this municipal entity to support local economic development initiatives.

• Companies operating within the territory of MRC de La Haute-Yamaska.

Here are additional relevant details for this grant:

• The cumulative total of governmental financial support must not exceed 50% of the total project cost, except for social economy enterprises where it can reach up to 80%.
• The common investment policy for FLI/FLS investments became effective on September 30, 2023, replacing any previous policies.
• The investment committee must approve any derogations from the policy, except for two non-changeable criteria: investment ceiling and lack of negative equity post-project.
• The committee has the authority to modify the interest rate policy based on risk assessment as determined by a risk assessment grid.
• There is a maximum investment limit for each fund to ensure equity in fund distributions.
• Recovery procedures are in place if obligations are not met, potentially involving legal mechanisms.
• File opening and annual follow-up fees are mandatory for every project funded.
• The investment funds cannot be utilized for housing projects, though equipment purchase or immobilization improving tenant living conditions might be supported.
• A strategic report ensuring the sustainability of the funds is required if interest rate modifications occur.