Finance PEI recently implemented a new micro-loan program, a loan initiative for entrepreneurs which will help provide them with both financing and working capital.
Finance PEI will provide loans up to $15,000 per applicant for new and expanding businesses to further respond to the capital needs of entrepreneurs.
New categories for the micro-loans include: trades; qualification recognition; small-scale food production; business start-up; and winter production financing.
Who could apply for the new micro-loans?
- Recent graduates from trade school or those who have a job offer in a new field but do not have the resources to get set up with new tools or necessary equipment.
- Newcomers to Canada who require some assistance getting back into their previous line of work, this loan can help to cover the costs of a challenge exam or professional fees.
- Small-scale Food Producers —funds may be available for growers, harvesters, and processors to invest in equipment and materials to increase the supply of food in their communities.
- Business Start-ups—for those with a great start-up business idea, an entrepreneurial spirit and a business plan.
- Winter Production Financing—existing program which provides new and expanding craft and giftware manufacturers with the financing required to increase production of their products during the winter months for sale in the peak selling periods.
The Department of Economic Development and Tourism aims to foster a culture of entrepreneurship through its support services, which will contribute to PEI’s sales effort, recruitment, and retention needs to build a strong economy.
A $1 million cap is being put on the program and the province plans to review it each year to see the cap should change.