Resource Details
| Program or Service | Business Start Program (BSP) The Business Start Program is a loan guarantee program with an educational component. Loans to new owner-managed businesses are provided through participating financial institutions and guaranteed by the Manitoba Government. The five-year term loan is a $20,000 maximum amount with an interest rate of prime plus one percent and a one-year deferral of principal repayment. Loan proceeds can provide funds for business registration or incorporation costs, equipment and inventory purhcases, promotional costs and working capital needs. |
| Organization | Competitiveness, Training and Trade The Manitoba government department provides a variety of user-friendly programs and services to help start or grow a business. |
| Eligibility Details | A. Applicants must: *Be Manitoba residents, aged 18 or over, and eligible to work in Canada. *Develop a sound business plan. *Complete a three-day Business Planning Workshop before loan funds will be released. *Contribute equity equal to 40% of the loan amount requested. The equity contribution can be cash or assets for use in the business that have been purchased in the last six months. *Not have owned a similar business in the past 12 months. *Be approved by a participating financial institution after applicant credit rating and debt capacity are reviewed. B. New Business must: *Be operated in Manitoba. *Be created to make a profit. *Not be operations in any of these categories: financial services, insurance, real estate services, professional and primary production (oil and gas, pulp production, mining or farming). *Be starting up and have been operating less than six months before the date of application. A part-time business expanding to full-time is also eligible provided net income from part-time operations was less than $15,000 in the last 12 months. *Employ the applicant for a minimum of 20 hours per week on average. *Meet the program's small business definition of less than 20 employees and less than $2 million per year in gross sales (both criteria have to be met in year one). *Be a business that is substantially different from other businesses operated in Manitoba in the same market area by an associate (spouse, common-law partner, parent or child) of the applicant. *Be reputable and appropriate in nature. Note: If you buy an existing business it is NOT considered a new business. You must be starting your business from scratch. |
| How To Apply | *Business Start Loans are administered by participating financial institutions. Participating financial institutions are banks and credit unions in Manitoba. *Lenders at participating institutions will receive and evaluate your application for a Business Start Loan. An administrative fee of $150 will be charged to successful applicants only. *A formal business plan must be submitted with your Business Start Loan application. *A workshop certificate is issued to all participants completing the three-day Business Planning Workshop. This certificate must be submitted with your Business Start Loan application. *The application is pages 3-6 of the Manitoba Business Start Program | Loan Application | General Information and Instructions (PDF file - see below attachments) . This application can be printed and filled in by hand. *A Manitoba Business Start Program - Online Application Form (PDF file - see below attachments) can be completed by entering data on-line. This application must be printed, signed and submitted to a financial institution. There is no on-line submission. |
| Address | Room 250 - 240 Graham Ave (CMBSC) |
| Contact Name | Margaret Kelly |
| Toll Free | 1-800-665-2019 |
| Phone | 204-945-7721 |
| Fax | 204-983-3852 |
| kelly.margaret@cbsc.ic.gc.ca | |
| Website | http://www.canadabusiness.ca/servlet/ContentServer?pagename=CBSC_MB/display&c=Finance&cid=1081945299398&lang=en |
| Additional Information | Manitoba Business Start Program_Loan Application_General Information.pdf |
