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 and BDC join forces to provide young entrepreneurs with MORE support
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 $30,000 doubling the CYBF approved amount
- Amortized three to five 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