Small Business Assistance

Amount:

No Fixed Amount

Type of Program:

Loan

Description:

The Small Business Assistance is designed to meet the special needs of Prince Edward Island's small business community and entrepreneurs for the following purposes: purchase and/or acquisition of business, expansion, debt consolidation, and new construction. It does not provide working capital for the small business sector.

The assistance can take the form of:

1
intermediate term loans for the purchase of machinery, equipment or other acquisitions of a capital nature,
2
long term loans for the purchase and/or refurbishment of capital assets and, in some cases, for debt restructuring.

Comments on Funding:

The long term loans will not generally exceed 80% of the fair market value or purchase price, whichever is less, have flexible repayment options and must be secured by a lien on the property, and in some cases alternate security may be considered.

The repayment period must coincide with the expected life of the asset being financed, but in no case will it exceed 20 years.
There is an application fee of $250.00 or one half (½) of one per cent of the amount of the loan proposed, whichever is greater.

When It Ends:

Ongoing

Deadline:

Rolling deadline

Eligibility:

The applicant can be any person that :

carries on business, or intends to carry on business, in the province,
purchases a finished product from a supplier and resells that product without alteration,
does not employ more than 100 people
did not have annual gross sales exceeding $10 million in the fiscal year immediately after an application.