SADC de Gaspé

The objective of the Temporary Loan program is to ensure the continuity of the activities of a business or social economy enterprise by facilitating access to rapid financing that can address a specific, one-time situation, the resolution of which is planned.

Eligibility criteria:

• Meet the general criteria for the regular investment fund.
• Have completed a full fiscal year.
• Provide financial results for the last year (or years if possible).
• Demonstrate good financial health.
• Not be used to finance existing debts.
• Provide supporting documents corresponding to the requested financing.
• Comply with conflict of interest rules.

Eligible activities:

• Working capital awaiting reimbursement of a contribution from a government, a crown corporation, a financial institution, or a client demonstrating reliability with supporting documentation.
• Any other eligible activity.

Terms and Conditions:

• Business loan;
• Term repayment;
• Short term (usually less than six months, but could reach a maximum of eighteen months in certain situations);
• Settlement mechanism provided in the event of default. This will be established based on the terms and conditions of the regular investment fund;
• Required interest rate: Bank of Canada prime lending rate plus 2%;
• Security: Written commitment from company representatives regarding amounts to be received.
• Requests under $10,000 will be processed and approved by SADC de Gaspé staff relatively quickly, once the application is completed. Funded applications will be presented to the Board of Directors (for information purposes) quarterly.
• Financing requests over $10,000 will be analyzed by SADC staff and then submitted to the Investment Committee for recommendation and to the Board of Directors or its Executive Committee for approval.
• Funding comes directly from the regular investment fund of the SADC de Gaspé.

The Express Loan program is designed for all businesses located in the La Côte-de-Gaspé region that want access to rapid financing tailored to specific needs that are generally difficult to finance. This loan is available for businesses of between $5,000 and $10,000, repayable over three or four years.

Eligibility criteria:

• The business’s main activities are located within the Gaspé SADC territory.
• The business must be for economic purposes.
• The project meets the conflict of interest rules.
• The project complies with the SADC’s areas of intervention.
• The business demonstrates good financial health.

Eligible Activities:

• Acquisition of fixed assets, equipment, or software
• Productivity improvement
• Justifiable increase in inventory
• Development or diversification of customer offerings
• Integration of e-business
• Launch of an advertising campaign
• Working capital, in exceptional circumstances
• No debt refinancing

Terms:

• Financial assistance of $5,000 to $10,000
• Rate: Bank of Canada prime business lending rate plus 3%
• Maximum term of 3 or 4 years

Priority sectors:

• fisheries-aquaculture
• forestry
• agriculture
• manufacturing-processing
• tourism
• innovative services (information technology, high technology*)

The trade/service sector is eligible, with some exceptions.

* Internet, robotics, pharmacology, biotechnology, computer science, automation, recycling, wind power, etc.

The PAIS program provides financial support for local economic development projects carried out in partnership with other socio-economic stakeholders in the community to address opportunities or concerns identified within an organization or for the Côte-de-Gaspé region.

Eligibility:

• The project must be initiated by an economic organization and/or a socio-economic development partner.
• The project must have an economic purpose.

Eligible Legal Statuses:

• Legally constituted non-profit organizations involved in economic development (registered in the Quebec Enterprise Register).

Conditions:

• The project must be initiated by an organization and/or a partner as part of a strategic approach.
• The project must have the support of at least two organizations other than the SADC.
• A partnership agreement must be signed with the other project partners. This agreement must specify the costs that will be covered by funding from the SADC de Gaspé.
• The invoice may be in the partner’s name.
• The SADC must document partnership projects in its files with the following elements: partnership agreement, copy of the invoice from the service provider paid by the partner.

Contribution rate:

• The SADC de Gaspé will provide financial assistance, in the form of a non-repayable contribution, not exceeding five thousand dollars ($5,000) per year, up to a maximum of fifteen thousand dollars ($15,000) or 40% of the total project cost.
• The eligible intervention costs will be determined by the SADC, based on an analysis grid.
• Projects related to the SADC de Gaspé’s annual action plan will be prioritized.

Eligible Expenses:

Costs funded by the SADC must be eligible under the contribution agreement with Canada Economic Development (Appendix 3 – Operating Costs), for example:

• Professional fees (consultant, accountants, tax specialists, lawyers, notaries, business valuation experts, graphic designers, etc.).
• Consultant travel expenses.
• Purchase of documentation.

The support of the PATEO allows small businesses and organizations to access specialized expertise in various fields considered major economic challenges in Quebec and Canada, with the goal of improving their productivity and profitability to ensure their sustainability.

Financial assistance must make a difference. It can cover up to 80% of expenses, up to a maximum of $2,000. It can be combined with funding from other organizations, but the promoter must always cover a minimum of 20% of the project cost.

Eligible expenses:

• Professional fees (consultant, accountants, tax specialists, lawyers, notaries, business valuation experts, graphic designers, etc.)
• Consultant travel expenses
• Purchase of documentation

Examples of interventions:

INNOVATION

Clearly identify innovation needs;

Implement a culture of innovation;

Develop a sustainable innovation strategy.

SUSTAINABLE DEVELOPMENT

Implement an internal sustainable development approach;

Develop a sustainable development plan;

Identify the most effective and relevant technologies and processes;

Carry out projects that reduce the environmental footprint.

INTEGRATION OF DIGITAL TECHNOLOGIES

Implement management and production tools that promote the digital transition (CRM, process automation).

COMMUNICATIONS AND MARKETING

Develop a market positioning strategy;

Develop a communications and/or marketing strategy;

Use social media effectively;

WOMEN, INDIGENOUS, AND DIVERSITY ENTREPRENEURSHIP

Identify relevant expertise to help businesses significantly owned by women, First Nations people, or entrepreneurs from groups less represented in the entrepreneurial community expand their business activities and ensure greater profitability.

BUSINESS SUCCESSION AND TRANSFER

(Assistance reserved for clients of the Gaspé SADC investment funds)

Support successors by covering a portion of the professional fees related to the transaction.

STRATEGIC PLANNING

Define an action plan that meets guidelines and objectives based on an analysis of the internal and external environments.