SADC Lac-St-Jean Ouest — Relève & transfert loan
QC, Canada
Financing for business acquisition and ownership transition
grant_single_labels|summary
grant_single|eligibleFinancing
- grant_single|maxCount
- 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
- SADC Lac-St-Jean Ouest
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grant_card_status|open
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The SADC Lac-St-Jean Ouest — Relève & transfert loan program offers up to $150,000 to facilitate the acquisition of businesses undergoing transition or transfer. It aims to support business continuity and retention by providing advantageous financing conditions for acquiring a substantial share of an existing company.
grant_single_labels|terms_and_conditions
The SADC Lac-St-Jean Ouest – Relève & transfert loan offers advantageous financing terms to support the acquisition of businesses undergoing succession or transfer. This initiative is structured to encourage the retention and continuity of existing enterprises in the region.
- Maximum loan amount of $150,000 per business involved in the transfer.
- Loan duration of up to 10 years, secured by a personal guarantee.
- Requirement to acquire 50% or more of the business shares.
- Favourable interest rates.
- Possibility of a 12-month moratorium on principal repayment.
- Minimum personal equity investment of at least 5% of the total acquisition cost.
- Progressive acquisition with a minimum of 25% of shares may be eligible.
grant_single_labels|projects
grant_single|admissibleProjectsExample
$ 50,000
Develop a sustainable urban farming project in the community
$ 30,000
Launch a local artisan market to support small businesses
$ 150,000
Establish a renewable energy training facility
$ 100,000
Create a community wellness center focused on mental health
$ 45,000
Start a mobile tech repair service targeting rural areas
$ 75,000
Implement a youth coding and entrepreneurship program
grant_single_labels|admissibility
Eligibility for the SADC Lac-St-Jean Ouest — Relève & transfert loan is determined by specific conditions related to the business acquisition process.
- The purchaser must acquire 50% or more of the business shares.
- A minimum personal contribution of 5% of the total acquisition project cost is required from the purchaser.
- A progressive acquisition with at least 25% of the business shares may qualify.
grant_eligibility_criteria|who_can_apply
This grant is targeted at individuals acquiring a business in the process of succession or transfer. Applicants must be acquiring at least 50% of the business shares, or a minimum of 25% if it's a progressive acquisition. Additionally, the purchaser must provide a personal guarantee and contribute at least 5% of the total acquisition cost.
grant_single_labels|register
Here are the steps to submit an application for this loan:
- Step 1: Initial Inquiry
- Contact SADC Lac-St-Jean Ouest to express interest in the Relève & transfert loan.
- Discuss eligibility criteria and funding terms with a representative.
- Step 2: Prepare Documentation
- Gather necessary financial documents and business acquisition details.
- Ensure documentation aligns with eligibility requirements for the loan.
- Step 3: Submit Application
- Complete the loan application form provided by SADC Lac-St-Jean Ouest.
- Submit the application along with all required documents to SADC Lac-St-Jean Ouest, either electronically or in person.
- Step 4: Application Review
- SADC Lac-St-Jean Ouest reviews your application for completeness and eligibility.
- Prepare for potential interviews or additional requests for information.
- Step 5: Receive Decision
- Await a decision from SADC Lac-St-Jean Ouest regarding your loan application.
- Review loan agreement terms if approved.
grant_single_labels|otherInfo
Here are additional relevant details for this loan:
- The loan must be secured by a personal guarantee.
- A minimum down payment of 5% of the total acquisition cost is required from the acquirer.
- A moratorium of up to twelve months on principal repayment is available.
- An option for a gradual acquisition, starting with a minimum of 25% of business shares, may be eligible.
- Personalized support and rigorous monitoring by SADC professionals are provided throughout the loan term.
Apply to this program
SADC Lac-St-Jean Ouest's Financial Solution for Business Acquisition
The Relève & Transfert loan provides beneficial financial assistance to individuals seeking to acquire a business undergoing succession or transfer. This loan initiative is designed to promote the continuation and stability of existing enterprises in the Lac-St-Jean Ouest region.
Detailed Insights into the Relève & Transfert Loan Program
The SADC Lac-St-Jean Ouest's Relève & Transfert loan program is an essential financial initiative that aims to support the transfer and continued operation of businesses within the region. This program caters to prospective business owners who wish to embark on entrepreneurial journeys by acquiring existing businesses, ensuring their sustainability and smooth transition through different ownership phases.
Offering loans up to a maximum of $150,000, the program provides potential business owners with substantial financial backing under favorable conditions. The loan is structured over a period that can extend up to 10 years, providing sufficient time for the new owner to stabilize and grow the business. This financial option is secured by a personal guarantee, a common precondition that helps ensure commitment to the business's success.
An appealing aspect of this financial aid is the advantageous interest rates, designed to lessen the financial burden while acquiring a significant portion of a business. To qualify, the potential owner must purchase at least 50% of the company's shares. However, the program also incorporates some flexibility, allowing acquisitions to take place progressively, provided they involve a minimum purchase of 25% of the business shares.
Furthermore, the Relève & Transfert loan includes a potential 12-month moratorium on the capital repayment, offering the acquirer a vital breathing space to manage initial operational costs without immediate financial stress. This grace period can prove crucial in ensuring that new owners have the necessary time to implement strategic plans and begin generating revenue.
To ensure the long-term viability of the business, the loan scheme requires a minimum personal investment, which is set at 5% of the total acquisition cost. This stipulation encourages commitment and a vested interest in the success of the business from the outset.
The SADC Lac-St-Jean Ouest does not stop at providing financial assistance; it extends into offering comprehensive professional support and personalized follow-ups. Throughout the duration of the loan, recipients benefit from tailored guidance designed to tackle challenges unique to their business context. Professional advisors assist with strategic planning, financial management, and operational improvements to optimize the transition and foster business growth.
By fostering a supportive entrepreneurial environment, the Relève & Transfert loan stands as a cornerstone for economic continuity in the region. It champions the cause of preventing business closures due to ownership transitions, thereby securing jobs and sustaining the local economy. This initiative is a testament to SADC Lac-St-Jean Ouest's commitment to preserving the vibrancy and diversity of the regional business landscape.
