STAGE 2: STARTING YOUR BUSINESS
You have the idea, the passion and the confidence that entrepreneurship is the right career for you. Now what? Now, you need to create a solid business plan, get the right financing, get matched with an outstanding mentor and launch the business. Follow these steps to learn how to put your ideas in motion.
CYBF & BDC have partnered to offer you the CYBF-BDC Start-Up Financing Program.
Eligibility Criteria for BDC Financing:
- Be approved first for CYBF Start-Up financing
- Meet BDC’s eligibility as per Application for Financing FormLegal problems, bankruptcy/insolvency, taxes, criminal record, permits/licenses, ineligible activities etc. and environment policies where applicable, subject to a final review by BDC before authorization
- Applicant to have a minimum investment of 10%Proof can be shown by way of invoices for items purchased for the company; items transferred to the company by the owner or through bank statements with adequate deposit balances. of the total value of the project (including the transfer of personal assets).
- Existing CYBF clients have up to 30 days from CYBF approval date to apply for BDC Financing
BDC’s Main Loan Features:
- Up to $15,000 matching the CYBF approved amount
- Amortized over 3 to 5 years matching the CYBF amortization period
- Repayment of outstanding BDC principal at the loan maturity date with one balloon payment
- Interest rate: BDC Floating Base Rate + 5.65%, interest payable monthly after disbursement
- $50 processing fee withheld upon loan disbursement
- Other standard terms and conditions will apply as per BDC letter of offer (once approved by BDC)
Excluded:
- Existing BDC clients
- Applicants who currently have another financing application pending with BDC
Prepayment:
- The client may prepay all or any part of the outstanding principal provided s/he pay BDC the interest owing to the time of payment together with an indemnity equal to three months further interest on the principal prepaid
- Once a year (non-cumulative) on the anniversary date of the Loan Authorization Date, the client may prepay 15% of the principal outstanding without indemnity