Loans
At the Women's Enterprise Centre of Manitoba, we recognize that every situation is different so every loan application is evaluated on its own merits. While we do consider your assets and credit history in making our lending decisions, these are not the only guidelines we use. Other important factors are the viability of the business idea and the personal qualities, passion and competencies of the entrepreneur.
Our goal is to help you launch or expand your business successfully; at the same time, we pledge to provide you with an honest assessment of your situation in order to help you decide whether there is sufficient potential in your business idea to continue pursuing that particular path.
When you submit a business plan to the Women's Enterprise Centre to access advising services or a business loan, please complete and attach this Business Plan Cover Sheet so that we can match your needs with appropriate services.
Financing Facts
- Loans in any amount up to $150,000 are available.
- No monthly fees.
- Competitive interest rates
- Start up loans = prime rate + 3%
- Expansion loans = prime rate + 1% (must qualify for this rate)
- No costs or penalties for early repayment.
- Terms for up to five years.
- Female/male partnerships are welcome, provided the woman owns at least 50% of the company and is actively involved.
- Applicants can be sole proprietors, partnerships or corporations.
- Security is required but not necessarily to the full value of the loan.
What Can a WEC Loan be Used For?
Women's Enterprise Centre of Manitoba loans can be used for a variety of costs, some of which may not be covered by traditional lending institutions. WEC loans can be used for:
- Purchase of an existing business
- Leasehold improvements
- Purchase of inventory
- Purchase of equipment
- Advertising and marketing costs
- One-time or part-time projects will be evaluated on a case-by-case basis
What Can't a WEC Loan be Used For?
There are some expenses that are not eligible for a loan:- The purchase of goodwill
- Owner's draw or salary
- The purchase of land or buildings
- Investments in real estate for speculative purposes
How Does WEC Evaluate the Loan Application?
Each application is evaluated on its own merits. However, there are some conditions that must be met in order for WEC to consider an application.The applicant must be:
- a legal entity; and
- a woman or an operation owned and controlled by a woman or women;
- and a Canadian citizen or landed immigrant, or a legal entity owned and controlled by a Canadian citizen(s) or landed immigrant(s); and
- operating or about to operate in Manitoba; in good standing with WEC on pre-existing financing.
In addition:
- The business plan must demonstrate potential for commercial viability and loan repayment capacity.
- The applicant must demonstrate a reasonable personal history of credit-worthiness and stability or must be able to provide an adequate explanation as to why an exception should be made.
- Cash or other equity contribution by the business owner is encouraged.
- Security requirements are evaluated on a case-by-case basis.
Loan Application Process
If you would like WEC to consider you for a business loan, please submit a copy of your business plan to the Centre. If you aren't already working with a Business Advisor, your plan will be assigned to one. Once she/he has had the opportunity to review it (usually within five business days), the Business Advisor will contact you to set up an in-person or phone meeting.If you don't have a business plan, our staff is available to help you develop one.
The Business Advisor may have questions or require clarification concerning the information you have supplied. You may be asked to supply additional information or conduct more market research. The Advisor will also ask you to complete the Loan Application Form and Personal Statement of Affairs which provides us with permission to carry out a credit check.
Once all the necessary information is supplied and you have met the program criteria, your application will be reviewed and a decision will be made.
The length of time required to process your loan depends on how complete the information is that you have provided to us and the time you require to provide additional information that might be necessary in order to process your application. We make every effort to make the process efficient and timely while still carrying out our pledge to provide you with a professional and competent assessment that will add value to your efforts to build a successful enterprise.
