Financing Options

Self
Most new business start-ups are financed personally. It is also important to have personal investment in your business if you are going somewhere for financing, as they will want to see you investing in yourself before they invest in you.

Family and Friends
In many situations family and friends are willing to invest in your new venture. Even though this can be called "love money" it is important to draw up a loan agreement between the parties to ensure no problems arise.

Partners
When starting a business that needs significant start-up capital, a partner can provide that extra amount. Partners can be full partners involved in all aspects of the business or just financial partners who contribute capital to the business venture and have little to no involvement in the business operations. A full partnership agreement should be drawn up between all partners before commencing business.

Private Investors
Private Investors or "angels" are individuals who invest in business ventures that show great potential. These investors can be found by networking, in the newspaper or even through local professionals such as accountants, bankers or lawyers.

Banks, Trust Companies, Credit Unions
When looking for a business loan or line of credit a business plan needs to be drawn up to show the institution that the business is viable. Below are a few links to local banks that have business loan programs:

National Bank

Royal Bank of Canada

Scotia Bank

TD Canada Trust

Government Agencies and Programs
There are many different business assistant programs available through the Provincial and Federal Governments. A business plan must be submitted to qualify for most of these programs.

Aboriginal Business Canada (ABC)

Business Development Bank of Canada (BDC)

Canadian Small Business Financing Program (CSBFP)

Export Development Corporation (EDC)

Farm Credit Canada

Muskoka Community Futures

Ministry of Food, Agriculture and Rural Affairs (OMAFRA)

A Quick Reference to Funding Sources (PDF Version)

Women in Rural Economic Development (WRED)

Young Entrepreneur Financing

Both the Federal and Provincial Governments have financing programs for young entrepreneurs. Once again a business plan must be completed to be eligible for thee programs.

PROVINCIAL

FEDERAL

Young Entrepreneur Financing Program