Programs

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Small Business Loans:

The Small Business loans Association Program encourages diversification of the Saskatchewan economy and supports community economic development. 3.9% Financing Now Available

Purpose of the Program
The Small Business Loans Association Program encourages diversification of the Saskatchewan economy and supports community economic development by making the funding available, through community run organizations, to non-traditional entrepreneurs. Thousands of small businesses have been assisted, and hundreds of Small Business Loans Associations (SBLA) have been formed, since the program was introduced in 1989.

Who May Borrow from an SBLA?
Businesses eligible for SBLA loans include any companies that have experienced difficulty obtaining financing through traditional means. Businesses not eligible for assistance are those engaged in direct farming, exploration (eg., mining and oil extraction), residential real estate and multi-level marketing schemes. Charitable organizations also do not qualify for assistance.

In making loans, an SBLA generally judges businesses on their ability to create jobs and to add services to communities. The ability of businesses to access traditional bank or credit union financing is also considered, as the intent of the program is to provide help to entrepreneurs who otherwise might not get started.

What are the Terms of an SBLA Loan?
Businesses can use SBLA loans to purchase assets, such as equipment. They cannot use the money for operating expenses or for repayment of existing debt.

Loans are granted at competitive interest rates, which vary with each association up to a maximum of 10 per cent per year. Businesses have up to five years to repay their loans.

Businesses cannot obtain loans from two or more SBLAs if the total amount of those loans exceeds $15,000.

How Do We Apply?
To borrow from an SBLA, contact your local association for program information and application forms. You will be required to provide the association with a completed application, a business plan and a signed demand promissory note and general security agreement along with a $60.00 administration fee. The SBLA will then review and approve or decline your loan.

Battleford Small Business Loans Co-operative Ltd.
Battlefords Chamber of Commerce Small Business Loans Association

For more information, contact
Linda Machniak, Loans Manager
306-445-6226