SOCCA — Term loan for Indigenous businesses
At a glance
- 70% of project cost
- Open Date : May 07, 2021
- All industries
- Native Commercial Credit Corporation
Overview
Eligibility criteria
Eligibility criteria for this grant:
- For the start-up, acquisition, or expansion of an Aboriginal business
- The borrower's repayment capacity determines the loan amount
- The value of guarantees offered must reasonably cover the borrowed amount
- Applicants must be from eligible First Nations including Abenaki, Algonquin, Atikamekw, Huron-Wendat, Malecite, and Micmac
- Proof of Aboriginal ancestry required (Indian Status card or member of the Native Alliance of Quebec)
- Required documentation includes application form, personal balance sheet, business plan, and financial statements for evaluation
Who is eligible
Eligible companies for this grant include Aboriginal businesses seeking to start up, acquire, or expand their operations. The loan amount is determined by the borrower's repayment capacity, and the value of guarantees offered must reasonably cover the borrowed amount.
- Abenaki
- Algonquin
- Atikamekw
- Huron-Wendat
- Malecite
- Micmac
Eligible expenses
Eligible expenses for this grant include financing for start-up, acquisition, or expansion of an Aboriginal business, with loan amounts determined by the borrower's repayment capacity and guarantees offered covering the borrowed amount. Specific examples are:
- Building and land - Up to 70%
- Equipment - Up to 70%
- Inventory - Up to 50%
- Working capital - 0%
Eligible projects & activities
Projects eligible for this grant include start-up, acquisition, or expansion of Aboriginal businesses. The loan amount is determined by the borrower's repayment capacity, and the value of guarantees must cover the borrowed amount reasonably.
- Building and land - Up to 70%
- Equipment - Up to 70%
- Inventory - Up to 50%
- Working capital - 0%
Evaluation & selection criteria
There are evaluation and selection criteria for this grant providing support to Aboriginal businesses. The criteria include:
- Minimum 10% equity required
- Competitive interest rates based on project risk
- Loan duration based on asset lifespan (up to 30 years)
- Borrower's repayment capacity determines loan amount
- Sufficient guarantees to cover borrowed amount
How to apply
- Step 1: Obtain the required documents
- Step 2: Fill out the application for financing form
- Step 3: Complete the personal balance sheet form
- Step 4: Provide proof of Aboriginal ancestry
- Step 5: Submit the business plan (if already prepared)
Additional information
There is no additional information provided beyond what has already been mentioned.
Term Loan Grant
This grant provides financial assistance for the start-up, acquisition, or expansion of Aboriginal businesses, with competitive interest rates and a maximum loan duration of up to 30 years. Eligible clients include various First Nations communities, and applicants must provide specific documentation, such as a business plan and proof of Aboriginal ancestry, to apply for financing.
For First Nations entrepreneurs looking to secure funding for their business ventures, the Term Loan grant offers a valuable opportunity to access capital and support. With a focus on equity, interest rates, and loan duration, this grant aims to empower Indigenous businesses and drive economic growth within Aboriginal communities.
For entrepreneurs seeking to start a new business, acquire an existing enterprise, or expand their operations, the Term Loan grant presents a strategic financing solution tailored to the unique needs of Aboriginal businesses. By requiring a minimum equity contribution and offering competitive interest rates, this grant aims to facilitate sustainable growth and development in Indigenous entrepreneurship.
The Term Loan grant is specifically designed to meet the financial needs of First Nations entrepreneurs, providing access to critical funding for various business purposes, including building and land acquisition, equipment purchase, and inventory financing. With supportive terms and conditions, including a repayment capacity assessment and collateral requirements, this grant enables Indigenous businesses to pursue their goals and achieve long-term success.
Overall, the Term Loan grant serves as a vital resource for Aboriginal entrepreneurs seeking to establish or expand their businesses, offering comprehensive financial support, guidance, and assistance in building sustainable enterprises. By promoting economic empowerment and fostering entrepreneurship within First Nations communities, this grant plays a significant role in driving economic development and prosperity for Indigenous businesses in Quebec.
