Social Enterprise – NL Small Business in the News

ACCESS TO CAPITAL

Support provides access to capital for non-profit organizations engaged in social enterprising in the St. John’sand Mount Pearl area. Social enterprises are community-based businesses that sell goods or services in the market place to achieve to achieve a social, cultural and/or environmental purpose; they reinvest their profits in their social mission.If you are a non-profit organization with a social enterprise or wanting to start one, the Support program maybe able to help you start or expand it. The organization may also access business training and counseling.

THE LOAN

  • Repayable loan to a maximum of $50,000.
  • No penalty for early repayment.
  • Flexible interest rates starting at Prime plus 1%.
  • Flexible repayment periods up to ten years.

ELIGIBILITY CRITERIA

  • Start-up of a new Social Enterprise or the expansion or upgrading of existing are acceptable.
  • Incorporated Non-Profits.
  • The Social Enterprise must be located in St. John’s or Mount Pearl area.
  • Year-round and/or seasonal business activities qualify.
  • Borrower must invest the Loan as capital into the Social Enterprise.
  • Loan proceeds may be used to finance fixed assets and working capital.
  • The majority of revenue must be reinvested back into the Social Enterprise.
  • The Social Enterprise’s business activity should demonstrate a reasonable expectation of economic viability and ensure that fundamental business aspects are present.
  • Must be able to demonstrate the ability to repay the capital and interest on approved financing.
  • While there are no personal guarantees, security will be taken against existing equipment.
  • The Loan cannot be used for bail-out situations (i.e. refinancing of existing debt or a restructuring exercise).
  • Loan decisions will take into consideration competitive impacts on existing businesses.

CONTACT US FOR MORE INFO OR TO APPLY!!

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