Business Financing: Questions and Answers

1. Does Women's Enterprise Centre provide grants?

Unfortunately, Women's Enterprise Centre is not able to provide grants. We are able to provide business loans, which are repayable with interest.

2. To whom does Women's Enterprise Centre lend money?

Women's Enterprise Centre provides loans to BC women who are Canadian Citizens or Permanent Residents of Canada and who are starting, purchasing or expanding a business in BC. We determine whether:

• The business idea is strong, realistic and workable
• The strategy to carry out the plan is viable
• The business is at least 51% owned and operated by women
• The owners have the necessary skills, talents and experience to implement the plan

At its discretion, Women's Enterprise Centre may fund competing business ventures.

---

3. How do I get an application form to apply for financing from Women's Enterprise Centre?

We want you to have a good understanding of our program and what you'll need before you apply. Participation in our Business Loans Info Session, by telephone, is strongly encouraged as it will provide you with necessary information including instructions on how to apply for a loan.

---

4. What help is available for me as I develop my plan?

We can guide you through the process to get your plan in shape, including helping you put together financial projections. A great place to start is to read our Business Plan Guidelines. Existing businesses that have at least two full years of solid business performance, can start with our Existing Business Requirements . You can also visit our Business Planning resource section for additional resources.

Because you also need the business skills and knowledge to carry out the plan, we offer courses and workshops to assist you. To view upcoming workshops and events, click here.

---

5. I don't like the idea of going into debt.

We do everything we can to work with you to ensure the loan is right for your situation, and to avoid saddling you with debt for a business that cannot support you. We want you to succeed!

Women's Enterprise Centre provides you with business counselling. We will assist you as you learn the ropes, help you find solutions to unforeseen problems, and we are flexible if you need to talk to us about cash flow dilemmas that may arise from time to time.

---

6. I have never operated my own business or have been involved in management. How much does experience count?

Women's Enterprise Centre believes that learning business skills is critical to succeed.  We offer a number of workshops you can take no matter where you live in BC, including our learning guides which will help you learn more about financing, marketing, management and other areas of running a business.

In addition, if your business plan is strong and workable and you have developed the skills and traits needed to operate a business through other means, then your application will be given full consideration.

---

7. How long does this whole process take?

Once we have received all of the information we require, it will take approximately 4 weeks to complete our assessment and receive a final lending decision. The length of the process depends on the completemess and complexity of your plan and your level of experience.

---

8. Does Women's Enterprise Centre finance only business start-ups or will you also help me expand my business?

Women's Enterprise Centre is pleased to offer business loans to expand as well as start or purchase a business.

As with start-up loan applications, an application for a business expansion loan is based on your submitted business plan. Existing businesses that have at least two full years of solid business performance can take a look at our Existing Business Requirements. Others should take a look at our Business Plan Guidelines.

---

9. What interest rate can I expect to pay, and how long will it take to pay the loan off?

Women's Enterprise Centre's interest rates are based on the current prime rate (as posted by the Royal Bank of Canada) plus a premium of 2 to 4 percent. The premium is dependent on the risk presented by the loan.

The maximum repayment term for Women's Enterprise Centre loans is five years. Exact interest rate and repayment terms will depend upon individual circumstances.

---

10. I am physically handicapped/do not speak English well/ I am a single mother etc. Will my personal situation make it more difficult to get a Women's Enterprise Centre loan?

Not unless thse things also make it very difficult for you to run the business you are planning. Women's Enterprise Centre finances BC business women from all walks of life. The main criteria includes a sound business idea, a comprehensive plan, adequate security and equity and your personal commitment.

---

11. If my loan is approved, what role will Women's Enterprise Centre play in my business?

Women's Enterprise Centre will help you set up a reasonable schedule of loan repayment. After the loan is granted, we will continue to act as a support partner, offering you our expertise to help you review the progress of your business and to help you solve problems that may arise.

After your loan is fully repaid, you are welcome to continue to use our training, counselling and information resources to support your growth.

---

12. My credit record looks bad due to circumstances beyond my control, but I now have my finances in order. How does Women's Enterprise Centre view this situation?

Women's Enterprise Centre considers each situation individually. If you can present a good explanation for the circumstances surrounding your credit history and show that you have overcome the situation and will continue to deal with your finances responsibly, then your credit history may not prevent you from receiving financing. Unfortunately, we are not able to consider situations where there are outstanding bankruptcies or judgements.

---

13. I don't need a loan since I can get one from a bank, but I do need business counselling. Will Women's Enterprise Centre still help me?

Absolutely! We encourage women entrepreneurs to meet their financing needs through traditional lenders when it is in their best interest to do so.

We are happy to still provide complimentary business counselling services, so you can feel more confident about opening your doors for business or attracting the financing you need from a bank or other traditional sources.

Women's Enterprise Centre's loans program is designed to support you and increase your chances of succeeding!

---