Equipment and Technology Loan
$250,000.00
Loan
Description:
This program boosts efficiency by financing the purchase and installation of new or used equipment and the cost of technology and software or invest in employee training, production area setup and productivity improvement.
Comments on Funding:
1. Funding takes the form of loans of up to $250,000.
2. This loan can be combined with conditionally non-repayable financing that may cover 50% of external professional fees related to the applicant’s project.
Loan terms and fees:
1. Term loan repayable over 5 years, or under certain conditions, up to 7 years.
2. Possibility of postponing principal payments for up to 12 months, or under certain conditions, up to 24 months.
3. Collateral is normally required for this type of financing.
4. Repayable at any time without penalty.
5. Interest rate: competitive and risk-based.
Continuous Intake
Eligibility:
Applicants must be businesses seeking financing for their equipment and technology investments, and meeting these eligibility criteria:
1. Be legally constituted;
2. Be located in the DEL region or plan to be;
3. Operate in an eligible industry: Aerospace, Agri-Food, Transport and Logistics, Information Technology, and Life Sciences, and offer value-added services or products generally intended for businesses (B2B);
4. Submit a project that will create and/or maintain jobs;
5. Submit a project for which government financing and DEL financing combined cover a maximum of 50% of the project expenses;
6. Demonstrate that the project is based on realistic financial forecasts showing profitability and growth potential;
7. Provide current financial statements showing 20% equity after the project and the ability to repay;
8. Demonstrate that the business and entrepreneur are not in default to the government or its creditors, nor are they the subject of any litigation.
Application Steps:
Applicants must book an online appointment.
Documentation Needed:
Applicants must submit:
1. Financial statements for the past 3 years and the current year;
2. Projected financial forecasts for the next 2 years of the business;
3. Business model and revenue model or business plan;
4. Project cost quote;
5. Entrepreneur’s personal financial statement and credit report.
Other Things to Note:
About the author
Maurice
