Diversification Loan Guarantees (DLG)

By mmuise
Description:

MASC's Diversification Loan Guarantee (DLG) program assists with the diversification, innovation and value-added activities of farmers by guaranteeing funds borrowed from participating commercial lenders. The program can also be used to finance the purchase of equity shares in New Generation Cooperatives.


Comments on Funding:

1. Funding takes the form of loan guarantees. 2. The maximum principal available is not capped.
3. Fixed or floating interest rates can be selected but rates cannot exceed maximum levels established by MASC:
a) the individual lender’s prime rate plus 2% for floating rates;
b) the individual lender’s residential first mortgage rate for the term plus 2% for fixed rates.

Deadline: Continuous Intake
Eligibility:

Eligibility criteria:

  • Applicants must be individuals, partnerships, corporations, and co-operatives.
  • The majority of the applicants must be residents of Manitoba and Canadian citizens (or have lawful permanent residence status).
  • The project must demonstrate, based on the business plan, satisfactory cash flow and long-term profitablility to service the debt.
Application Steps:

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Documentation Needed:

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Other Things to Note:

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About the author
mmuise