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Financing a Business
Last Verified:
2008-01-29
This Info-Guide presents an overview of the major financing programs offered by the federal and provincial governments, the private sector, and some non-governmental organisations to help Québec entrepreneurs with their plans to start a business, expand, export or innovate.
In addition, we suggest you consult the other Info-Guide listed at the end of this document, which suggest financing programs specific to certain sectors or clienteles.
Note: The documents given as references in the text can be consulted on our Web site or be requested from our information agents.
TABLE OF CONTENTS
| 1. General programs | Start-Up | Expansion | Export | Innovation |
| Canada Small Business Financing (CSBF) Program (IC) | ● | ● | ||
| Programme d'aide aux entreprises – PAE (MDEIE) | ● | ● | ● | ● |
| Small and Medium Business Financial Program (IQ) | ● | ● | ● | ● |
| BDC Financing (BDC) | ● | |||
| Business Assistance – Immigrant Investor Program (IQ) | ● | ● | ● | |
| Business and Regional Growth Program (CED) | ● | ● | ● | ● |
Canada Small Business Financing (CSBF) Program – Industry Canada (IC)
The CSBF, under the Canada Small Business Financing Act, can assist businesses in obtaining term loans and capital leases of up to $250 000, leases for establishing, expanding, modernising and improving small businesses. For more information, consult our document
Canada Small Business Financing (CSBF) Program, call 514 496-4636 or 1-888-576-4444, or visit http://www.ic.gc.ca/epic/site/csbfp-pfpec.nsf/en/home
Programme d'aide aux entreprises (PAE) – Ministère du Développement économique, de l’Innovation et de l’Exportation (MDEIE)
This program is part of an integrated service offer. It is for joint business development projects for which some components may receive financial assistance. The program also supports projects submitted by a group of businesses. Three types of projects are eligible:
1. Business development projects
These projects must be part of a structured approach and in line with the business’s development strategy. For businesses, the assistance is awarded in the form on a non-refundable contribution of up to 40% of eligible expenses. For specialised collaborative networks, an assistance of up to 50% of eligible expenses may be awarded. Other conditions may apply.a) Market development
b) Innovation and adaptation to change
c) Development of technological and business partnershipsFor more information, call 1-866-463-6642 or visit http://www.mdeie.gouv.qc.ca/index.php?id=370&no_cache=1&tx_igaffichagepages_pi1[pid]=4096&mode=arbo
2. Projects specific to businesses
a) Technical Validation and Technology Showcase
This program is designed to help SMEs to prior to commercialisation, establish the credibility of an innovative product developed in Quebec, and launch the market phase of a new technological innovation developed in Quebec and for which demonstration in real time operation is necessary. The assistance takes the form of a non-repayable subsidy of up to 40% of eligible expenses to a maximum of $50 000 for Technical Validation and $350 000 for Technology Showcase. Other conditions may apply. For more information, call 418 691-5809, or visit http://www.mdeie.gouv.qc.ca/index.php?id=4194b) Feasibility study for an investment project
This program aims to support businesses or groups of businesses who wish to carry out an investment project in Québec. The MDEIE's non-refundable contribution of up to 40% of eligible expenses, without exceeding $50 000, covers studies to validate the technical or economic parameters, the addition of equipment or machines and the construction of new facilities. For more information, call 418 691-5698, extension 5809, or visit http://www.mdeie.gouv.qc.ca/index.php?id=4193c) Research and Innovation component
This program, through its jobs in “Research and innovation” component, is to create a research and innovation function in businesses, or to consolidate that function, by incorporating new scientific and technological skills, while simultaneously defraying part of the salaries paid for new innovation jobs. The financial assistance is awarded in the form of a two-year wage subsidy, representing 50% of the employee’s salary without exceeding $20 000 a year. For more information, call 1-866-463-6642 or visit http://www.mdeie.gouv.qc.ca/index.php?id=42023. Projects involving more than three businesses (specilised collaborative networks)
Projects eligible must be related to knowledge sharing, the adoption of better business practices, the implementation of a technology or a new production technique, the development of a new market, a new product or industrial strategies, and the promotion of fashion and industrial design. Other conditions may apply. For more information, call 1-866-463-6642 or visit http://www.mdeie.gouv.qc.ca/index.php?id=370&no_cache=1&tx_igaffichagepages_pi1[pid]=4096&mode=arbo
Small and Medium Business Financial Program – Investissement Québec
Through its numerous program segments, the SMB Financial Program can meet various business needs especially in export, manufacturing, or in the high added value service industry. Choose one of the segments below based on the nature of your project's activities.
General Section
Investissement Quebec can provide a repayment guarantee on the net loss of a loan, line of credit or letter of credit granted by a financial institution. They can also offer a term loan.
Interim Financing of Tax Credits
Enables businesses to increase their short-term cash flow.
Improving Productivity
Intended for businesses that want to establish themselves in the market, modernise or expand.
Market Development Outside Québec
For businesses that want to establish themselves in markets outside Québec, promote exports on existing markets outside Québec, or set up an export consortium.
Export Credit
For businesses that intend to carry out sales, marketing, or acquisition activities outside Québec.
Working Capital for Growth Purposes
Designed for businesses that need additional working capital.
Technological and Design Innovation
Targets businesses that have a technical research and development project or a project in design innovation.
Strategic Alliance
For businesses that want to improve their competitive position on the market through acquisitions, business combinations, amalgamations or mergers.
International Conventions
For businesses that want to organise a large-scale conference in Québec.
Succession
Intended to support the transfer of a business to a family member, an employee or a manager of the company, any other individual or company.
For more information, call 1-866-870-0437 or visit http://www.investquebec.com/en/index.aspx?page=925
BDC Financing – Business Development Bank of Canada (BDC)
BDC offers flexible term financing solutions for a variety of commercially viable projects, including expansion projects, plant overhauls, the purchase of existing businesses and the acquisition of fixed assets. In some cases, the financing may be used to reconstitute working capital depleted by capital expenditures or to finance sales growth. For more information, consult our document
BDC Financing, call 1-877-232-2269, or visit http://www.bdc.ca/en/business_solutions/financial_services/
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Business
Assistance – Immigrant Investor Program – Investissement Québec
IQ Immigrants Investisseurs Inc, a subsidiary of Investissement Québec, was created to manage investments by immigrant investors. The program targets SMEs with total assets of less than $35 million and is intended for investment and market development. Financial assistance will be in the form of a non-repayable contribution of up to 15% of project costs and cannot be less than $40 000. For more information, consult our document
Business Assistance - Immigrant Investor Program, call 1-866-870-0437, or visit http://www.investquebec.com/en/index.aspx?page=1293
Business and Regional Growth Program – Canada Economic Development for Quebec Regions
(CED)
This program is aimed at helping enterprises improve their performance, become more competitive and engage in more innovation to foster their sustainable development, supporting the establishment of conditions that will facilitate the transfer of technology and research outputs to enterprises and creating the right conditions to attract foreign investment. It has two distinct components, SME Competitiveness and Regional Growth. Financial assistance awarded through this program shall be in the form of contributions and grants and must comply with the provisions of the Treasury Board's Policy on Transfer Payments. For more information, consult the document
Business and Regional Growth Program, call 514 283-2500 or 1-888-576-4444, 418 648-4826 or 1-800-463-5204, or visit http://www.dec-ced.gc.ca/asp/ProgrammesServices/Prog_Crois_Entr_Region.asp?LANG=EN
Starting a business – Business Development Bank of Canada (BDC)
BDC's customised term financing up to $150 000 for new businesses demonstrating long-term viability. This program cannot be used for starting a retail business. It can be used to finance various types of projects such as working capital, acquisitions, fixed assets, marketing, start-up costs or buying a franchise. For more information, consult our document
Starting a business, call 1-877-232-2269, or visit http://www.bdc.ca/en/my_project/Projects/Starting_Business.htm?cookie%5Ftest=2
Industrial Cooperation Program – Canadian International Development Agency (CIDA)
Is a cost-sharing program that provides a financial incentive (a cash contribution between $100 000 and $600 000) to Canadian companies to start a business or provide training in developing countries or countries in transition to a market economy. For more information, consult our document
Industrial Cooperation Program (CIDA-INC), call 1-800-230-6349 or visit http://www.acdi-cida.gc.ca/CIDAWEB/acdicida.nsf/En/
JUD-1129121142-N6V?OpenDocument
Fonds Propulsion III – Placements Propulsion Inc.
The Fonds Propulsion III, L.P. is an information technology sector fund (specifically, software and Internet models) set up by Placements Propulsion Inc. It invests in business start-ups and companies raising their first round of financing. For more information, call 514 397-8450 or visit http://www.propulsionventures.com/06/fr/index.php?page=1#1
Mesure de soutien au travail autonome (STA) – Centre local de développement (CLD)
This measure aims to provide financial and technical support to people wishing to create or buy a very small business or to become self-employed to promote the creation of long-term jobs in the region. Recipients of employment insurance benefits, income security as well as people whose jobs are at risk are eligible. The duration of the technical and financial assistance will be determined with each individual participant and can be extended over a maximum of 52 weeks. For more information, contact your Centre local de développement (consult the Entrepreneurship Assistance document for your region) or visit http://66.36.242.105/acldq.qc.ca/francais/cld/servicesta.php (In French only)
Fonds Relève PME – Fonds de solidarité FTQ
This program aims to support SMEs in almost every sector of economic activity except retail sales. Its assistance is reserved for companies with a market value of at least $500 000. The services offered by the Fonds Relève PME centre on four major areas: financing, tax and estate planning, company management, and ensuring the company’s succession. For more information, call 514 383-8383 or 1-866-373-5383, or visit http://www.fondsftq.com/internetfonds.nsf/VWebTAN/PmeSec?opendocument§eur=RELE
Buy or take over a business – Desjardins Venture Capital
Transferring ownership involves many steps. Desjardins Venture Capital experts can offer a complete conventional, equity or quasi-equity financing package. http://www.desjardins.com/en/entreprises/projets/transfert_entreprise/
vendre_entreprise/
Transition Planning – Business Development Bank of Canada (BDC)
This program makes consulting and financing solutions available under one roof to Canadian entrepreneurs who must plan the succession of their business. Under the program, financing is available in the form of a term loan leveraging both tangible and intangible assets, subordinate financing for more complex or structured transactions, refinance vendor financing (vendor take-back) resulting from a previous change of ownership. For more information, consult our document
Sell a business, call 1-877-232-2269, or visit http://www.bdc.ca/en/business_solutions/financial_services/
succession_planning.htm?cookie%5Ftest=2
NORTHSTAR Trade Finance Inc.
This program supports small and medium sized Canadian exporters by offering financing to credit worthy foreign buyers of eligible Canadian goods and services. NORTHSTAR complements Export Development Canada (EDC's) export financing services by financing export sales of between $100 000 and $5 million, with repayment terms of one to five years. For more information, consult our document
NORTHSTAR Trade Finance Inc.,
call 514 874-3366 or 1-800-663-9288, or visit http://www.northstar.ca/canadianExpBenefits.php
UBIFRANCE/QUÉBEC Program – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This program results of a Québec-France industrial cooperation agreement. Its aim is to promote the negotiation and signing of partnership agreements between small- and medium-sized businesses in France and Québec. Under certain conditions, it covers the cost of mission preparation, transatlantic transportation, living expenses and intercity transportation in France. For more information, consult our document
UBIFRANCE/QUÉBEC Program, call
514 499-2185, or visit http://www.mdeie.gouv.qc.ca/index.php?id=36
6&tx_igaffichagepages_pi1[pid]=4114&mode=arbo
Financing – Export Development Canada (EDC)
EDC offers a range of financing solutions to help Canadian companies and their international customers capitalise on trade opportunities.
Export Guarantee Program: encourages Canadian financial institutions to advance pre-shipment loans to Canadian companies exporting goods or services.
EXPORTExpressCredit: Helps Canadian companies to promote or expand their export.
Foreign Exchange Facility Guarantee (FXG): helps free up working capital for Canadian companies that purchase forward contracts from their financial institutions, enabling them to lock in the exchange rates as protection against foreign currency fluctuations. Consult our document Foreign Exchange Facility Guarantee.
Security Compliance Loan: helps Canadian companies to finance the upgrades required to meet security standards and qualify to become C-TPAT-compliant.
Master Accounts Receivable Guarantee: allows Canadian financial institutions use their foreign receivables to increase their operating line of credit up.
Factoring: helps Canadian companies establish factoring arrangements with financial institutions.
Equity Investments: allow Canadian companies to leverage EDC’s access to a unique combination of financial tools, expertise and international networks, and acquire the private equity and venture capital to grow their export business.
Note Purchases: foreign customers may issue promissory notes to Canadian companies as a means for extending payment for goods and services.
Canadian Foreign Direct Investments: is dedicated to helping Canadian enterprises become globally competitive. EDC’s Foreign Direct Investment (FDI) solutions are designed to facilitate companies’ expansion plans in markets around the world.
Foreign Buyer Financing: offers a range of financing solutions for foreign buyers of Canadian capital goods and services.
Lines of Credit: EDC provides lines of credit to foreign companies that intend to repeatedly buy goods or services from Canadian companies.
Corporate Loan Syndication: EDC structures and arranges corporate loan syndications on behalf of Canadian and foreign companies.
For more information, call 1-866-283-2957 or visit http://www.edc.ca/english/financing.htm
International Solutions - Export Financing – National Bank of Canada
National Bank and Investissement Québec have teamed up to offer a comprehensive solution to export companies that want to improve their productivity and, by extension, their competitiveness abroad. Finance up to 100% of equipment, machinery, technology and all other expenses related to your productivity project. http://www.nbc.ca/bnc/cda/content/
0,1008,divId-4_langId-1_navCode-10383,00.html
Innovation Financing – Business Development Bank of Canada (BDC)
In order to support innovative companies, the BDC has developed Innovation Financing Solution (up to $250 000), a new product designed to fund projects to develop e-business, explore new export markets and to cover the costs of R&D associated with the introduction of new products and services. For more information, consult our document
Innovation Financing , call 1-877-232-2269, or visit http://www.bdc.ca/en/business_solutions/financial_services/
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Québec Export 2006 – Ministère de l’Agriculture, des Pêcheries et de l’Alimentation du Québec (MAPAQ)
Québec Export 2006 is an assistance program aiming to promote and increase exports in the biofood sector. Its goal is to develop export markets by highlighting Québec’s entire offer and promoting Québec in foreign markets. All of Québec’s export companies are eligible for this program, and a 50% grant is awarded on eligible expenses. For more information, call 450 461-6266, extension 210, or visit http://www.groupexport.ca/fr/programmes/mapaq.php (In French only)
PEMD – Trade Association Activities – Foreign Affairs and International Trade Canada
The
PEMD – Trade Association Activities program provides annual financial non-repayable ranging from $20 000 to $150 000, to Canadian national sectoral associations for generic international business development activities that benefit a particular industry sector. Eligible activities must relate to the improvement of market access or the development of market intelligence. There are three types of international business promotion activities that are funded by PEMD-Associations: direct contacts; marketing tools and other marketing activities. For more information, call 1-800-551-4946 or visit http://pemd-pdme.infoexport.gc.ca/pemd/tradeassociations/assist-en.asp
Precarn-CRIM Alliance
Designed to meet the needs of SMEs (less than 50 employees and under $5 million in revenues), the Precarn-CRIM Alliance program awards funding of up to $200 000 for projects involving cooperation between private companies, research organisations and universities. These projects must yield subsantial technological innovations in intelligent systems, while producing commercial applications offering economic and social benefits. For more information, call 514 840-1234 or visit http://precarn.crim.ca/precarn/en/desc_prog.jsp
CANARIE
The Canadian Network for the Advancement of Research, Industry and Education (CANARIE) is a partnership between the private sector and the federal government. Through its funding programs, CANARIE supports a variety of initiatives to develop innovative applications and technologies to advanced broadband networks. CANARIE supports projects that conform to principles of open systems and interoperability. To be eligible for funding, projects must be led by a Canadian organisation and be carried out in Canada. For more information, consult our document
CANARIE, call 514 496-5363, or visit http://www.canarie.ca
Fonds de recherche sur la nature et les technologies
The Fonds is responsible for developing research and training through research in the fields of natural science, mathematics and engineering. It supports all fields of university research in Québec by awarding grants and bursaries to researchers. For more information, call 418 643-8560 or visit http://www.fqrnt.gouv.qc.ca/nateq/fqrnt/index.htm (In French only)
Fonds d'investissement en développement durable (FIDD)
The FIDD is a limited partnership with an investment fund enabling it to finance companies devoted to developing and marketing products and technologies promoting sustainable development. The FIDD is looking for companies that encourage eco-efficiency by supplying “sustainable” products or technologies. For more information, call 514 495-1022 or visit http://www.fidd.qc.ca/Accueil.php (In French only)
NRC Industrial Research Assistance Program (NRC-IRAP) – National Research Council Canada (NRC)
The NRC Industrial Research Assistance Program (NRC-IRAP) provides a range of both technical and business oriented advisory services along with potential financial support to growth-oriented Canadian small and medium enterprises. The program is delivered by an extensive integrated network of 260 professionals in 100 communities across the country. Working directly with clients, NRC-IRAP supports innovative research and development and commercialisation of new products and services. For more information, consult our document
NRC Industrial Research Assistance Program (NRC-IRAP), call 450 641-5300, 418 648-3419 or 1-877-994-4727, or visit http://irap-pari.nrc-cnrc.gc.ca
Strategic Support for Investment Program (PASI) – Investissement Québec
This program aims to support investment projects and the development of new products in order to increase the productivity of companies and improve their competitive position in the market. Investissement Québec can provide a repayable contribution or a repayment guarantee on the net loss of a loan, line of credit or letter of credit granted by a financial institution. For more information, consult the document
Strategic Support for Investment Program (PASI), call 1-866-870-0437 or visit http://www.investquebec.com/en/index.aspx?page=1294
Idea to Innovation (I2I) Program – Natural Sciences and Engineering Research Council of Canada (NSERC)
The objective of the Idea to Innovation (I2I) program is to accelerate the pre-competitive development of promising technology and promote its transfer to Canadian companies. The program supports research and development projects with recognised technology transfer potential by providing crucial assistance to college and university faculty members in the early stages of technology validation and market connection. For more information, call 613 947-9485 or visit http://www.nserc.ca/professors_e.asp?nav=profnav&lbi=b4
Programme de l'efficacité énergétique – Agence de l'efficacité énergétique
The mission of the Agence de l’efficacité énergétique is to promote the efficient use of energy from all sources in every sector of activity, working toward sustainable development and for the benefit of every region of Québec. The methods used to accomplish this mission include demonstration projects and support for energy efficiency research and development. Both profit-making enterprises and non-profit associations are eligible. The Agency's participation may be financial, professional or both. For more information, call 418 627-6379 or 1-877-727-6655, or visit http://www.aee.gouv.qc.ca/municipalites/PEE/PEE.jsp (In French only)
Technology Inflow Program (TIP) – National Research Council Canada (NRCC)
The Technology Inflow Program (TIP) has a domestic and international component and is designed to assist Canadian SMEs access Canadian or foreign technology and help develop R&D partnerships. The assistance consists of financial and/or technical support. For more information, call 450 641-5300, 418 648-3419 or 1-877-994-4727, or visit http://irap-pari.nrc-cnrc.gc.ca/tip_e.html
Research assistance program – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This program is divided into three components, which are designed to support projects or initiatives in the research and innovation fields. It is intented for non-profit organisations, public research institutions, health and education networks and businesses.
Component 1: Assistance for research projects or for strategic research organisations and groups
Eligible projects include structuring initiatives in the area of research development assistance; projects geared to developing research in clusters with potential for economic, social and cultural development; projects that foster creation, development or strengthening of research partnerships or networks. The assistance for research or networking projects or activities is in the form of a non-refundable financial contribution of up to 80% of eligible expenses. Other criteria and conditions apply. For more information, call 514 873-8330, extension 5019, or 1-877-511-5889.Component 2: Financial assistance for research infrastructures
Eligible activities include infrastructure repair, expansion, renovation and construction projects; projects to acquire the structuring equipment needed for research, innovation, and research promotion and dissemination activities. The financial assistance may cover up to 80% of eligible costs. Other criteria and conditions apply. For more information, call 418 646-4805 or 1-877-511-5889.Component 3: Assistance for international research and innovation initiatives
Eligible activities include ensuring the linkage and visibility of Québec research and innovation, elaborating international projects, and participating in joint international research and innovation projects. The financial assistance may cover up to 50% of eligible costs. Other criteria and conditions apply. For more information, call 514 873-8330, extension 3403, or 1-877-511-5889.
For more information, visit http://www.mdeie.gouv.qc.ca/index.php?id=370&no_cache=1&tx_igaffichagepages_pi1[pid]=4097&mode=arbo
Development and transfer assistance program – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This program is intented to meet the needs of universities, colleges, large public institutions and of certain non-profit organisations that play a key role in the development of research results, and the transfer of knowledge. It comprises two components:
Component 1: Assistance for recognised liaison and tranfer organisations
Applies to college centres for the transfer of technology and to liaison an transfer centres (CLTs).Component 2: Assistance for social innovation and structuring development and transfer projects
Applies to non-profit organisations specialised in social, economic or technological development, organisations specialised in the development and transfer of research results, and public and parapublic agencies. The financial assistance may cover up between 50% and 80% of eligible costs. Other criteria and conditions apply.
For more information, call 514 873-8330 extension 5065, 418 646-6795, or 1-877-511-5889, or visit http://www.mdeie.gouv.qc.ca/index.php?id=370&no_cache=1&tx_igaffichagepages_pi1[pid]= 4098&mode=arbo
| 3. Venture capital | Start-Up | Expansion | Export | Innovation |
| Export Development Fund – FODEX (FTQ) | ● | |||
| BDC Venture Capital (BDC) | ● | ● | ● | |
| GTI Capital | ● | ● | ||
| Innovatech Québec | ● | ● | ||
| Innovatech du sud du Québec | ● | |||
| Desjardins – Innovatech S.E.C. | ● | ● | ||
| TechnoCap | ● | |||
| Réseau Capital | ● | ● | ● | ● |
| Capital Connexion™ | ● | ● | ● | ● |
| Canadian Angel Investment Network | ● | ● | ● | ● |
Export Development Fund (FODEX) – F.T.Q.
FODEX is a venture capital fund whose mission is to finance export SMEs and support them in foreign markets. Its financing products may also complement other products offered by organisations such as EDC and banks. For more information, call 514 383-0782 or visit http://www.fodexcapital.com/english.htm
BDC Venture Capital – Business Development Bank of Canada (BDC)
This evergreen fund is a major venture capital investor in Canada, active at every stage of a company's development cycle, from start-up through expansion, with a focus on technology-based businesses. BDC Venture Capital stands behind commercially viable innovation with the aim of creating substantial value for all shareholders. For more information, consult our document
BDC Venture Capital, call 1 877 232-2269 or visit http://www.bdc.ca/en/business_solutions/venture_capital/
about_us/venture_capital.htm?cookie%5Ftest=2
GTI Capital
GTI Capital selects early-stage technology companies that have what is required to grow into high-performance businesses and provides the financing, strategic, and networking support that allows them to realise the full potential of their business vision. For more information, call 514 845-3800 or visit http://www.gticapital.com/en/
Innovatech Québec
Innovatech Québec is a venture capital fund owned by the Government of Québec specialised in high technology. Innovatech financially supports innovative technology projects from the research and development stage to first round financing or subsequent rounds, up to a maximum of $5 million per company. For more information, call 418 528-9770 or 1-866-605-1676, or visit http://www.innovatechquebec.com/www/home.html
Innovatech du sud du Québec
Innovatech du sud du Québec is a venture capital company that focuses on technological innovation. They assist enterprises with a high growth potential throughout the start-up and development phases. Their activities extend over a territory that includes 11 regional county municipalities (MRCs), all located in the Estrie, Montérégie and Bois-Francs regions of southern Québec and the city of Sherbrooke. For more information, call 819 820-3305 or visit http://www.isq.qc.ca/eng/indexEng.html
Desjardins – Innovatech S.E.C.
Desjardins – Innovatech S.E.C. is a limited partnership. Its main activities are investing in companies during startup or at the first stage of development, especially companies working on technological or industrial innovations, or in more established businesses working on new uses of existing technology or on developing new technology. For more information, call 514 281-7131 or 1-866-866-7000, extension 7131, or visit http://www.dcrdesjardins.com/En/fonds/DesjardinsInnovatech.html
TechnoCap
Investee companies are companies in the start-up or expansion stage principally in the information technology and telecommunications; computers and software, electronics and instrumentation; energy; environment and health sectors. For more information, call 514 483-6000 or visit http://www.technocap.com/presentation_eng.html
Réseau Capital
Réseau Capital is an association of key players in the private equity and venture capital industry. Its mission is to foster the growth of the industry and the professional development of its members through a range of services and activities, such as training, information, networking and promotion of their interests. For more information, call 514 334-9688 or 418 837-1040, or visit http://www.reseaucapital.com/Home_Eng_FrameSet1.html
Capital Connexion™
Capital Connexion™ is a local databases network containing business projects and venture capital sources configured according to a common model. Registration of business projects and private venture capital investors is entirely free of charge, but must be validated by a local economic development organisation that has been accredited by Capital Connexion™. For more information, visit http://www.carrefour-capital.com/
Canadian Angel Investment Network
The Canadian Angel Investment Network is the Canadian Web-based portal and matching service of angel investors seeking investments and entrepreneurs seeking capital. The Network has created Canada's largest database of qualified angel investors who are regular investors in various industries for Canadian small businesses. You can submit your confidential investment proposal for free. For more information, visit http://www.angelinvestmentnetwork.ca/
SMB Growth Stock Plan – Revenu Québec
The SMB Growth Stock Plan allows individuals to deduct their investments in companies with assets under $100 million. The plan, which is limited to the common shares of a qualified issuing corporation or investment fund securities, will remain in effect until December 31, 2009. http://www.revenu.gouv.qc.ca/eng/ministere/centre_information/nf/nf2005/in-136_68/action_croissance_pme.asp
Tax holiday for foreign researchers – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This incentive is intended for foreign researchers working for businesses that carry out scientific research and experimental development (SR&ED). It is designed to facilitate the recruitment of foreign researchers outside Québec or Canada whose expertise meet the needs of such businesses. For more information, consult our document
Tax Holiday for Foreign Researchers, call 514 873-8330, 418 643-8757 or 1-877-511-5889,
or visit http://www.mdeie.gouv.qc.ca/index.ph
p?id=370&no_cache=1&tx_igaffichagepages_pi1[pid]=4123&mode=arbo
Tax holiday for foreign experts – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This incentive is intended for foreign experts working for businesses that carry out scientific research and experimental development (SR&ED). It is designed to facilitate the recruitment of foreign experts outside Québec or Canada whose skills are related to, among other things, the coordination and carrying out of activities aimed at exploiting SR&ED results. For more information, consult our document
Tax Holiday for Foreign Experts, call 514 873-8330, 418 643-8757 or 1-877-511-5889, or
visit http://www.mdeie.gouv.qc.ca/index.php?id=37
0&no_cache=1&tx_igaffichagepages_pi1[pid]=4125&mode=arbo
Tax credit for technological adaptation services – Revenu Québec
This credit is intended to provide support to businesses in a number of areas: collection and processing of strategic information; innovation; research; and collaboration with other partners in the business sector. The credit covers liaison and transfer services. The credit is determined by multiplying by 50% the qualified expenditures the corporation incurs with an eligible liaison and transfer centre or an eligible college centre for the transfer of technology. For more information, consult our document
Tax credit for technological adaptation services, call 514 873-4692, 418 659-4692 or 1-800-567-4692, or visit http://www.revenu.gouv.qc.ca/eng/entreprise/impot/
credits/adaptation/dem_adaptation.asp
Scientific Research and Experimental Development (SR&ED) Program – Canada Revenue Agency (CRA)
The federal government provides income tax incentives to encourage Canadian businesses, including small businesses and start-up firms, in all sectors, to develop technologically advanced products and processes in Canada. Claimants can apply for SR&ED investment tax credits for expenditures such as wages, materials, machinery, equipment, some overhead and SR&ED contracts. For more information, consult our document
Scientific Research and Experimental Development (SR&ED;) Program, call 514 496-1317,
418 648-7151 or 1-866-204-0101 ext. 648-7151, or visit http://www.cra-arc.gc.ca/taxcredit/sred/menu-e.html
Refundable tax credit for private partnership pre-competitive research – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This tax
measure is for businesses conducting pre-competitive research. It is aimed at
businesses that establish their knowledge base through the development of
technological expertise. Assistance is in the form of a tax credit covering up
to 35% of all current and capital expenditures related to scientific research
activities, under Québec income tax legislation. For more information, call
514 873-8330 or 1-877-511-5889, or visit http://www.mdeie.gouv.qc.ca/index.php?id=3
70&no_cache=1&tx_igaffichagepages_pi1[pid]=4129&mode=arbo
Validation certificate for pre-competitive research consortiums – Ministère du Développement économique, de l'Innovation et de l'Exportation (MDEIE)
This tax measure is designed to encourage enterprises in the same or related economic sectors to participate in or set up pre-competitive research consortiums. Enterprises which are members of a recognised research consortium may obtain a refundable tax credit of up to 35% of the contributions or fees paid to the consortium that are reasonably attributable to the scientific research and experimental development undertaken in Québec. For more information, consult our document
Validation certificate for pre-competitive research consortiums, call 514 873-8330, 418
643-8757 or 1-877-511-5889, or visit http://www.mdeie.gouv.qc.ca/index.php?id=370&n
o_cache=1&tx_igaffichagepages_pi1[pid]=4127&mode=arbo
Duty Deferral
Program – Duty Drawbacks – Canada Border Services Agency (CBSA)
This program helps Canadian companies compete in export markets by allowing them, under special circumstances, to recover duties they paid on imported goods. (You cannot recover GST payments under this program.) For more information, consult our document
Duty Deferral Program - Duty Drawbacks, call 1-800-959‑2036, or visit http://www.cbsa-asfc.gc.ca/trade-commerce/tip-pec-eng.html
Local Investment Fund – Local Development Centre (CLD)
The local investment fund is a measure managed by local development centres (CLDs) that is aimed at supporting businesses in the start-up or expansion phase.including social economy businesses, whose goals conform to the CLD's investment policy. This program has a Young Entrepreneur component which is intended to foster the next generation of entrepreneurs in existing businesses. For more information, consult our document
Local Investment Fund (FLI),
contact your local CLD (see the Entrepreneurship Assistance document for your
region), or visit http://www.mdeie.gouv.qc.ca/index.php?id=366&tx_igaffichagepages_pi1[pid]=4111&mode=arbo
Fonds régionaux de solidarité – FTQ
Created by the Fonds de solidarité FTQ and the Québec Government, 16 regional solidarity funds were set up to meet the needs of companies throughout Québec. Focused primarily on the manufacturing and service sectors, the regional funds invest between $50 000 and $500 000 in the form of share capital or loans in companies in all phases: start-up, development, growth, or turnaround. For more information, consult our document
Regional Solidarity Funds (QFL) or the list of active funds at http://www.fondsreg.com/implnt/internetfondsreg.nsf/PortailFreg?openForm (In French only)
Regional Economic Intervention Fund (FIER) – Investissement Québec
The Regional Economic Intervention Fund (FIER) is a development fund designed to help companies obtain financing (equity or quasi-equity) at the start-up and development stages. It also aims to support the creation of sector funds and the implementation of development projects, mainly in the regions. It comprises three components: the Support Funds, the FIER-Regions and the FIER Partners, s.e.c. For more information, call 1-866-870-0437, consult the list of active funds at http://www.investquebec.com/en/index.aspx?page=1918, or visit http://www.investquebec.com/en/index.aspx?page=1771
Venture Capital Fund for Business Start-ups in the Regions – Canada Economic Development for Quebec Regions (CED)
This fund was created to support enterprise start-ups in seven regions and 21 regional county municipalities (MRCs) experiencing a declining population and slow economic growth by increasing their equity to levels acceptable to venture capital firms recognised in Québec, while paying special attention to priority sectors in these regions. The potential project contributions range from a minimum of $125 000, equal to the entrepreneur’s investment up to $500 000. Start-up SMEs must submit their application to a venture capital firm recognised in Québec. For more information, call at 514 283-2500 or 1-888-576-4444, 418 648-4826 or 1-800-463-5204 or visit http://www.dec-ced.gc.ca/asp/ProgrammesServices/Fonds_demarrage_entr.asp?LANG=FR
Capital Fund for Business Succession – Canada Economic Development for Quebec Regions (CED)
This fund was created to support business transfers in regions serviced by a Community Futures Development Corporation (CFDC) or Business Development Centre (BDC), by increasing their equity to levels acceptable to venture capital firms recognised in Quebec, while paying special attention to priority sectors in these regions. The potential project contributions range from a minimum of $125 000, equal to the entrepreneur's investment up to $500 000. SMEs located in eligible regions must submit their application to a venture capital firm recognised in Québec. For more information, call at 514 283-2500 or 1-888-576-4444, 418 648-4826 or 1-800-463-5204 or visit http://www.dec-ced.gc.ca/asp/ProgrammesServices/Fonds_capitalisation.asp?LANG=EN
Community Diversification Program – Canada Economic Development for Quebec Regions (CED)
This Program is aimed at helping Quebec regions maintain and develop their economic activity base. It has three components, Community Mobilization, Community Development and Attractive Communities. The financial assistance awarded through this program shall be in the form of contributions and grants and must comply with the provisions of the Treasury Board's Policy on Transfer Payments. For more information, consult the document
Community Diversification Program, call at 514 283-2500 or 1-888-576-4444, 418 648-4826 or 1-800-463-5204 or visit
http://www.dec-ced.gc.ca/asp/ProgrammesServices/Prog_Diversif_Collect.asp?LANG=EN
Community Economic Diversification Initiative – Vitality (CEDI-VITALITY) – Canada Economic Development for Quebec Regions (CED)
CEDI-VITALITY was created to support communities with slow economic growth. It is designed to support activities such as: consultants’ studies and projects concerned with the development of strategies and action plans; startup, expansion or modernisation projects for enterprises; design, development, adjustment and demonstration of a new or improved product, process or service that constitutes a technological innovation in a particular sector; projects that strengthen local development capabilities. The financing contributions are determined based on the assessment of the project and the authorised eligible costs. For commercial enterprises, part of the contribution may be non-repayable. This non-repayable amount must be less than $100 000. For more information, call 514 283-2500 or 1-888-576-4444, 418 648-4826 or 1-800-463-5204, or visit http://www.dec-ced.gc.ca/asp/ProgrammesServices/initt_divrs_econq_vitalite.asp?LANG=EN
Réseau québécois du crédit communautaire (RQCC)
The Réseau québécois du crédit communautaire (RQCC) has twenty members: nine (9) Fonds communautaires d’emprunt and eleven (11) Cercles d’emprunt. These organisations operate in eleven of the province’s administrative regions, and the diversity of practices corresponds to the specific needs of each region and the resources available to meet them. Community credit practices are related to those of micro-credit – a world-renowned development strategy employed on every continent. For more information, call 418 529-7928 or visit http://www.rqcc.qc.ca
Association communautaire d’emprunt de Montréal (ACEM)
ACEM provides loans and technical support to those who don't have access to traditional sources of credit. ACEM's services are available to those who are starting or expanding their business, community group or co-operative. Loans may be up to $20 000 and are granted for business plans developed by its target clientele or for community projects for its target clientele. For more information, consult our document
Montreal Community Loan Association – ACEM, call 514 843-7296, or visithttp://www.acemcreditcommunautaire.qc.ca/f_home.htm
Research and development fund – Centre d ’aide de la Rive-Sud (CAE)
This fund is a financial tool destined to existing enterprises that have the desire to finance their scientific research project and experimental development (SRED), in totality or partially. The priorities of investment by the CAE are focused towards enterprises that operate in an innovative activity field, that create and maintain lasting jobs, that are in good financial health and that are managed by a efficient and competent team. For more information, call 450 446-3650 or visit http://www.caers.ca/html-en/RD fund.htm
6. Technical Resources
Types of Financing – The Advantages and Disadvantages:
http://www.ic.gc.ca/epic/site/sof-sdf.nsf/en/so03367e.html
Type of Financing by Purpose of Financing:
http://www.ic.gc.ca/epic/site/sof-sdf.nsf/en/so00611e.html
Sources of financing glossary:
http://www.ic.gc.ca/epic/site/sof-sdf.nsf/en/h_so03335e.html
Sources of financing
http://www.ic.gc.ca/epic/site/sof-sdf.nsf/en/home
EXPORT Finance Guide
https://www.edc.ca/exportfinanceguide/eff_e.asp
1 866 PROJET9 – Direct line to the personalised support and systematic follow-up service for your investment projects in Québec. http://www.mdeie.gouv.qc.ca/index.php?id=370&no_cache=1&tx_igaffichagepages_pi1[pid]=4134&mode=arbo
In conclusion
We hope the information provided in this Info-Guide has been helpful to you. Many other interesting documents, tools and links may be found on our Web site.
If you need more information about business-related subjects, our agents are available to provide you with free information about federal, provincial, and municipal government programs, services, and regulations as well as some programs and services offered by the private sector.
We offer you a free library research service as well as access to data bases and Web sites of interest to business people. Our information specialists are at your disposal to answer your requests for strategic information.
Don’t hesitate to contact Info entrepreneurs at 514 496-4636 or Ressources Entreprises at 418 649-4636. In the regions, call 1-888-576-4444.
DISCLAIMER
Information contained in this document is of a general nature only and is not intended to constitute advice for any specific fact situation. Users concerned about the reliability of the information should consult directly with the source, or seek legal counsel.
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