Not-For-Profit Organization Term Loans
As part of the Community Futures program, the Business Help Centre (CFDC) of Middlesex County provides term loans to revenue-generating, not-for-profit organizations that have had difficulty finding financing elsewhere on reasonable terms.
Loans up to a maximum of $250,000 can be made to organizations in Middlesex County (excluding those operating exclusively within the City of London) that will be creating new jobs or maintaining existing jobs in the local area.
Usage of Funds
Financing can be used for the purchase of fixed assets, leasehold improvements, inventory or working capital.
Applicant submits a completed Business Plan, Cash Flow and Loan Application. Please attach profiles of all principles and board members, a copy of the charter or articles of incorporation, last audited financial statements, and information regarding the organization’s mission/mandate.
Business Plan Outlines and loan applications are available on-line or by contacting our office.
A successful application must demonstrate:
- Employment creation or maintenance for predominately local residents
- A firm commitment to the operation of the organization, including an investment of funds and resources
- Ability to repay the loan by way of revenues generated by the provision of local programs/services and fundraising (when applicable)
- Sufficient human resources to operate the organization.
- Adequate security which may include a combination of corporate assets
All loans are subject to a non-refundable application fee, payable at the time of application. The fee is 1% of the total loan amount requested.
All approved loans are subject to legal and registration fees. Applicants are responsible for all legal costs to complete the loan securitization package. These funds can be paid for from the proceeds of the loan.
All approved loans must be life insured. This insurance is arranged by the CFDC of Middlesex County, based on the outstanding principle balance of the loan.
Term renewals are subject to 0.5% administrative fee at time of renewal.
Interest rates are currently fixed for the term of the loan at a minimum of Prime and determined on a loan by loan basis.
Terms of Payment
Loans are subject to a maximum five (5) year term, with a maximum amortization period of fifteen (15) years. All loans are subject to regular monthly payments however, remain open for repayment, in full or in part, at any time, without penalty.
Click the links below to view or print the required form.
|Business Plan Outline|
|Cash Flow Projections (PDF format)|
|Cash Flow Projections (Excel format)|
|Loan Application – Non-Profit Organization|
|Personal Financial Statement|