Strategic Alliance

With the SMB Financial program, you can obtain a loan or loan guarantee.

ELIGIBILITY CRITERIA*   Eligible Businesses Your business is eligible if it operates in one of the following sectors: Manufacturing; New economy (biotechnology, pharmaceutical industry, information technology, aeronautics and aerospace); Certain computer and software service activities; Research laboratories; Tourism; Recycling; Environmental restoration; Waste recovery and processing; Call centres; Aquaculture, sea farming and marine biotechnology; Horticultural specialties.   Eligible Projects Business acquisition; Business consolidation or merger; Any other agreement between businesses to enhance competitiveness.   Special Requirements The project submitted must involve the participation of two or more unrelated complementary or competing businesses. The project must maintain or improve the partners' competitive positions and provide continuity.   You must demonstrate that Quebec residents will hold a controlling interest in the company, and if one of the participating companies is located outside Quebec, the financing must be used to maintain jobs in Quebec.   Your business must have a sound financial structure, adequate management, qualified staff and a solid organization.   *Special conditions may apply. Consult one of our advisors to learn more.

FINANCING DETAILS   We can provide a loan or loan guarantee. Our loan guarantee is a repayment guarantee on the net loss of a loan granted by a financial institution.   Terms and Conditions The minimum amount of the repayment guarantee or term loan provided by Investissement Québec is $50,000. The maximum duration for financial assistance is 10 years. The loan guarantee can cover up to 70% of the net loss, or 75% for projects in outlying regions.** Depending on the nature of the project, the maximum loan amount provided by the financial institution may cover up to 100% of all project-related expenditures. For loans directly granted by Investissement Québec, the amount provided may cover up to 75% of the total project costs. The interest rate is set by the financial institution. Interest is payable to the financial institution starting from the first loan disbursement. It is possible to defer repayment of the capital amount until after project completion. The usual securities are required based on the financing granted.   ** Outlying regions include: Abitibi-Témiscamingue, Bas-Saint-Laurent, Côte-Nord, Gaspésie─Îles-de-la-Madeleine, Mauricie, Nord-du-Québec, Outaouais (excluding the municipalities of Aylmer, Hull and Gatineau) and Saguenay─Lac-Saint-Jean.   Fees Commitment and guarantee fees depend on the nature of the project. To find out more about the cost of financing your project, talk to an Investissement Québec advisor.

PROCEDURE   Step 1 Contact an Investissement Québec advisor , who will answer your questions and recommend the product that best suits your needs.   Step 2 The advisor will help you draw up a list of the information you must provide: business plan, nature of the project, financing sought, planned expenses, marketing plan, guarantees, etc.   Step 3 For loan guarantees, submit your application to the financial institution of your choice. The institution will consult us to review your file; we will then contact you. For direct loans, submit your application to an Investissement Québec advisor.   August 2006