The Newfoundland and Labrador Federation of Co-operatives (NLFC) has relaunched a development fund for any co-op in the region looking to grow, expand, or enhance its activities.
Launched for the Canadian Co-op Week (Oct 12-18), the Co-operative Development Fund offers two strands, the microloan and the development loan.
The microloan offers sums up to CA$5,000 and can be used for smaller expenses such as feasibility studies, business plans, equipment, or start-up needs.
The development loan offers sums up to $30,000 and can be used for large-scale equipment, rental of warehouse space, or marketing campaign.
Both loans have very favourable lending rates and generous payback periods, says the NFLC, allowing co-operatives to be able to get off the ground.
“The fund has the ability to not only kick-start a co-op, but also to be a game changer for an existing co-op looking to expand its operations,” added NLFC president, Lloyd Hayden.
Because it is a revolving fund, its use promotes the co-operative sector in the province, the NFLC says: as co-operatives repay their loan, the fund regenerates and becomes available for another co-op to borrow.
Managing director Dave Walsh added: “We are excited to launch the Co-operative Development Fund for co-ops to either fill a funding gap or provide the leverage to access larger funding opportunities offered by the government or financial institutions.”
NLFC has been promoting co-operatives in the province for over 75 years. It is the provincial association representing and supporting the growth of the co-operative and credit union sector of the province.
More information at nlfc.coop/fund/ or email [email protected]
