An active micro & small business loan program is administered through the Bruce CFDC. Loans up to $150,000 can be made to new and existing businesses within the service area, which directly aid in the creation of new jobs and/or the preservation of existing jobs for residents of the area.
Bruce CFDC specializes in assessing business term loan opportunities to small businesses that have been unable to find financing through more traditional sources.
Financing may be considered for a variety of applications including:
Loan requests are considered by the Board of Directors on the basis of:
- Start up financing of a new business
- Assistance to facilitate expansion plans of an existing business
- Inventory Working capital
- Equipment/Capital purchase or upgrades (including technology/telecommunications)
The Board of Directors, following an assessment process by staff, decides upon all eligible loans. Every effort is made to minimize the loan review process time. However, this can be directly influenced by the quality of the business plan information provided as well as the timing of the monthly Board meetings. Interested loan applicants are encouraged to contact the Bruce CFDC as early as possible before financing demands become immediate.
- Technical & Management skills of the client
- Client character including credit history
- Jobs to be created or maintained
- Owner equity of normally not less than 25% (cash or in-kind) of the requested loan value
- Adequate security
- The participation level of the client in the development & presentation of a complete business plan & supporting documents
- Legal and/or regulatory considerations as they may impact the business
- Business Risk Assessment
- Environmental factors
Bruce CFDC has the capacity of considering equity investments. As equity deals are more complicated and costly, significant time should be made available to explore this investment strategy with the Bruce CFDC.
The Bruce CFDC financing program offers practical options for businesses needing alternatives. Clients are encouraged to explore traditional financing services toward assessing all financing options that may be available. Should bank or credit union financing not be available, or cannot fully meet client needs, the Bruce CFDC may offer a viable business financing option.
As a local financing option, the Bruce CFDC works cooperatively with area banks and credit unions in efforts to address client needs. Frequently, Bruce CFDC will work in conjunction with banks and credit unions toward financing a plan that allows for business startup, expansion and/or debt consolidation.