Strategic Support for Investment Program (PASI)

Investissement Québec

Businesses set up or wishing to set up in Québec and carrying on operations in one of the following sectors: manufacturing; recycling; waste recovery; environmental restoration; client contact centres; software publishing; editing, printing and combined editing-printing; tourism-based accommodation or services development.

Eligible projects:

• Investment that targets the consolidation of a sector in which Québec has competitive advantages and that will not harm existing businesses;
• Development of products that stand apart for their innovative nature and commercial potential.

Repayable contribution (loan, interest-free loan, equity-type loan, interest-bearing loan repayable through royalties or contribution repayable through royalties).  

Repayment guarantee can cover up to 70% of the net loss on a loan, line of credit, letter of credit or any other financial commitment granted by a lending institution.

Non repayable contribution.

Minimum project cost: $5 million.

Interim Financing of Tax Credits

Investissement Québec

Businesses that qualify for one of the following tax credits:

• Knowledge-based economy: Development of E-Business (CDAE); Biotechnology Development Centres (CDB); Major Employment-generating Projects in the IT Sector (GPCE); Production of Multimedia Titles (PTM); Technological Adaptation Services (SAT); Information Technology Development Centres (CDTI); Cité Multimédia de Montréal (CMM); New Economy Centres (CNE); Centre national des nouvelles technologies de Québec (CNNTQ); E-Commerce Place (CCE).
• Payroll increase: Aluminum Valley (VA); Gaspésie and Certain Maritime Regions of Québec (GM); Processing Operations in Resource Regions (AT); E-Business Activities (AAE);
• Scientific research and experimental development (SRED): Federal and provincial sections;

Loan guarantee or loan.

Minimum amount of loan guarantee: $50,000 for the SRED tax credits and $20,000 for the other tax credits.

Minimum amount of loan guaranteed by Investissement Québec: $62,500 for the SRED tax credits and $25,000 for the other tax credits.

The loan guarantee can cover up to 80% of the net loss.

The maximum duration for financial assistance is 18 months.

For loans, the amount granted by Investissement Québec may cover up to 75% of refundable tax credits for a given fiscal year.

Eco-Financing

Investissement Québec

Business in one of the following sectors: Manufacturing; New economy (biotechnology, pharmaceuticals, information and computer technologies, aeronautics, aerospace, materials engineering and instrumentation); Research laboratories;  Tourism;  Recycling; Environmental restoration; Waste recovery and processing; Call centres; Aquaculture, sea farming, marine biotechnology and horticultural specialties.

Eligible Projects

• Acquisition of capital assets for greenhouse gas (GHG) reduction
• Working capital expenditures, including R&D for GHG reduction
• Expenditures for the qualification, quantification and certification of offset credits (carbon credits)
• Acquisition of offset credits to comply with your business sector standards

Loan or loan guarantee.

The minimum amount of the loan or loan guarantee provided by Investissement Québec is $50,000.

The maximum duration of the financial assistance is 10 years.

A loan guarantee can cover up to 70% of the net loss, or 75% in outlying regions.*

The maximum amount provided by the financial institution can be up to 100% of project-related expenses, depending on the nature of the project.

For loans granted directly by Investissement Québec, the amount provided can be up to 75% of the total project cost.

* Outlying regions include Abitibi-Témiscamingue, Bas-Saint-Laurent, Côte-Nord, Gaspésie-Îles-de-la-Madeleine, Mauricie, Nord-du-Québec, Outaouais (excluding the municipality of Gatineau) and Saguenay-Lac-Saint-Jean.

Business Assistance –Immigrant Investor Program

Investissement Québec

Businesses that have obtained a favourable recommendation from an accredited financial intermediary and carry on operations in one of the following sectors: manufacturing; new economy (biotechnology, pharmaceuticals, aeronautics and aerospace, high value-added information technology); materials engineering and instrumentation; tourism; environmental restoration; recycling, waste recovery; client contact centres; aquaculture, sea farming and marine biotechnology; horticultural specialties.

Eligible projects:

• Investment: business start-up; growth, modernization or production improvement; standards-related certification; technological or design innovation;
• Market development: commercialization of products outside Québec.
  

Non repayable contribution.

Minimum: $40,000. Maximum: 10% of project costs (15% for business start-ups).

Financial assistance may not exceed $250,000 per business per three-year period.

Businesses set up or wishing to set up in Québec and carrying on operations in one of the following sectors:

• Manufacturing; recycling; business services; industrial R&D; scientific services.

Non repayable contribution that can cover 40% of expert assessment costs and other feasibility study costs, without exceeding $100,000.

Total government funding may not exceed 50% of project costs.

Businesses set up or wishing to set up in Québec and carrying on operations in any sector except retail, wholesale, services and the restaurant industry. However, service businesses in the following areas are eligible: environmental services; client contact centres; software publishing; and private research centres.

Investment component:

• Investment projects with eligible expenditures between $250,000 and $5,000,000, aimed at creating a new business or expanding (including modernizing) an existing business are eligible.

Product development component:

• Product development projects with eligible expenditures between $250,000 and $2,000,000 are eligible. Such projects must be innovative and show commercial potential.

Repayable or non repayable contribution supplementing private sources of funding and other government programs, but not substituting for them.

Manufacturing businesses in Québec that have sales of at least $1.5 million and meet the following criteria:

• Are a strategic business for the region and carry on operations in a sector related to one of the niches of excellence in the region under the Accord Program;
• Are an exporting business with export sales of at least $1 million, or are a supplier of such a business;
• Have a management team with a director per business function.

The Productivity Support Measure is designed to provide manufacturing businesses with financial aid and customized support from high-level experts certified by the MDEIE.

These experts support the implementation of an action plan to improve the productivity of eligible businesses and their ability to compete internationally.

The budget allocation for this measure, which stems from the Action plan to support the Québec manufacturing sector, is $51 million over five years.

Refund of 40% of eligible expenditures, up to $40,000 per business. For businesses in resource regions, the maximum is $50,000.

Each project must generate electricity savings of at least 25,000 kWh a year.

Buildings with electricity consumption subject to large-power rates are not eligible.

Financial support covering the lesser of the following amounts:

• 15¢ per kWh saved;
• 40% of total eligible costs.

Commercial and institutional clientele.

The Program is open to any corporation, partnership or organization that has at least one service contract at large-power rates and that has one or more commercial or institutional buildings in operation or under construction.

Since the financial assistance budget is limited, available funds are allocated to eligible projects on a first-come, first-served basis.

Energy Analysis Component

Hydro-Québec grants financial assistance equal to the lesser of the following amounts:

• 50% of energy analysis costs;
• $25,000.

Building Optimization Component

The aim of the financial assistance is to reduce the project payback period to three years. Assistance is limited to the lowest of the following amounts:

• amount needed to reduce the payback period to three years (based on electricity savings);
• 75% of eligible project costs;
• 15¢ per kWh saved, based on the first full year of operation;
• $350,000 per project.

Commercial and institutional clientele.

The Program is open to any corporation, partnership or organization that has at least one service contract at large-power rates and that has one or more commercial or institutional buildings in operation or under construction.

Since the financial assistance budget is limited, available funds are allocated to eligible projects on a first-come, first-served basis.

Energy Analysis Component

Hydro-Québec grants financial assistance equal to the lesser of the following amounts:

• 50% of energy analysis costs;
• $25,000.

Demonstration of a New Technology Component

Hydro-Québec grants financial assistance on a case-by-case basis using the following guidelines:

• up to 50% of the eligible demonstration project costs;
• up to $300,000 per project.