The Economic Development Division of the city of Shawinigan manages and provides funds, financial assistance programs and follow-up action to support industrial and commercial enterprises that are starting up or expanding.
Local Investment Fund
The LIF is an investment fund which targets startup or expanding companies on the territory of the City of Shawinigan. Existing businesses with expansion projects will be valued.
The financial intervention of the Economic Development Division could total 50% of the project’s admissible expenses without exceeding, in general, $50,000 per project. Funding granted to the company must be reimbursed by that company within a maximum period of five years.
Projects must be economically viable and must not include highly competitive sectors.
The LIF targets all companies working in the following sectors: manufacturing, tourism, propulsive service industries, new economy and social economy.
However, the following sectors are favored:
- Value-added sectors
- Companies contributing to industrial diversification
- Companies dealing in new economy
- Exporting companies
Self-Employment Support Measure
The SESM measure is a program addressed to those on employment insurance, social insurance or low income.
The measure allows an individual who wants to start up a business to receive unemployment benefits from Emploi-Québec for a period up to 52 weeks. The first 12 weeks will be allocated to the developer so that he can finalize his business plan within a training course.
The promoter must summarize his project using the form supplied by Emploi-Québec and present it before the selection committee. Viable projects, without aggressive competition and having the best economic potential, will be selected.
The promoter will be able to submit his business plan within the framework of other available envelopes.
An individual without employment, who has been receiving employment insurance during the past three years, is eligible.
The following sectors are among the most favored:
- Propulsive service industries
Rio Tinto Alcan Fund
The principal objective of the RTA Fund is to contribute to financing growth-generating business projects and to the economic diversification of the territory of the City of Shawinigan.
The fund will provide assistance (usually) in the form of a capital loan (with or without guarantee). Financing may also take the form of a debenture or of an equity loan. The maximum financial aid will be limited to 20% of admissible costs of an accepted project, without, however, exceeding $200,000 per project (maximum of two projects per company).
All projects must have been previously validated by the representatives of the Rio Tinto Alcan Regional Industrial Development Bureau.
The funding steering committee analyzes the company projects according to the following elements:
- Structuring nature (measurable economic impact)
- Economic diversification of Shawinigan
- Entrepreneurial qualities and skills of the promoter
- Realism of the financial structure
Other available funding
The Economic Development Division of the City of Shawinigan is an entrepreneurial centre providing basic support services to businesses. In addition to its own particular funds, the Economic Development Division is responsible for the management of certain other funds in order to promote them with entrepreneurs and development players.
A few examples:
- Canada Youth Business Foundation (CYBF) Charitable organization that provides pre-startup coaching, business resources, startup financing and mentoring, to help young people aged 18 to 34 years to start their own business.
- City of Shawinigan – Grant Programs
- Commercial revitalization program (SH-12)
- Commercial and industrial revitalization program (SH-218)
- Program for facade revitalization of commercial buildings (SH-126)