Continuity Loan
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Contribution of capital to an individual(s) to promote the purchase of share capital in a company1 whether or not he/she is present at the time of the request, in order to ensure the succession or long-term continuity of the company's operations. Emphasis is placed on the expertise of the individual(s).

 

Financing offer :

  • The total amount of the personal loan(s) may not exceed $150,000 for the new shareholder(s);
  • Personal loans;
  • Maximum amortization period of 180 months.

 

Basic criteria essential for processing a request :

  • The company must operate within the designated territory of the Lac-Saint-Jean-Est MRC;
  • The company must maintain or create jobs;
  • The company must operate in non-competitive sectors2;
  • The company must have been in operation for at least 5 years;
  • The company must be financially sound to ensure its long-term viability, and have a vision for its future development;
  • The application must be submitted to the Société d'aide au développement de la collectivité (SADC) Lac-Saint-Jean-Est during the succession transition process;
  • The company must demonstrate that its request is well-founded, i.e. that of incorporating an individual(s) into its shareholder base for the purpose of using the individual(s) to ensure succession or continuity of operations.

 

Priority sectors :

Primary sector :

  • Agriculture :

In an effort to broaden the community's agricultural base, agricultural intervention priorities are focused on :

- traditional agriculture3 with distinct added value and/or marketing;

- non-traditional agriculture.

  • Mining and natural resources :

This sector is prioritized indiscriminately, including granite, marble, peat, forestry and hydroelectricity.

Secondary sector :

  • Processing and manufacturing plant.

Tertiary sector :

  • Non-competitive or essential to a specific community.

Quaternary sector :

  • Biotechnology;
  • Software and systems design.

 

1 : NPO and cooperative not eligible.

2 : In order to address the problem of the exodus of young people and the need for new entrepreneurs, the non-competition clause could be waived for takeovers of existing businesses in areas of market competition.

3 : Traditional agriculture is defined as follows: dairy farm, beef cattle farm, market garden, pig farm, poultry farm (eggs) and sheep farm.