Information Technology Financing Assistance
Finance PEI provides term financing for purchasing capital assets and operating capital for the business’s accounts receivable and inventory. Capital loans are repaid over the life expectancy of the asset and the company's operational cash flow. Maximum financing generally does not go beyond 80 per cent of the purchase price or fair market value of the assets, whichever is less. Up to 100 per cent financing may be provided for inventory purchases and account receivables based on purchase orders and signed contracts/agreements.
Information Technology includes any person that:
- carries on business, or intends to carry on business, in the province, and
- operates a business that earns at least 60 per cent of revenue from
- software publishing
- computer systems design and related services
- the provision of on-line information services, or
- the manufacture of computer and peripheral equipment or related electronic components.
The objective of Finance PEI is to provide term financing and operating lines of credit to help you buy capital assets and for production and marketing costs.
Capital loans are available for purchasing capital assets. There are flexible repayment terms, based on the life span of the asset and the company’s operational cash flow. The maximum term for repayment cannot go beyond 10 years, with maximum financing generally not going beyond 80 per cent of the purchase price or fair market value of the assets, whichever is less.
Operating lines of credit
Up to 100 per cent financing may be provided for purchasing inventory (based mainly on purchase orders and/or signed contracts/agreements) and for day-to-day operating costs such as marketing, travel, and human resource costs. Operating lines shall be repaid from sales and/or contract draws.
There is an application fee of $250.00 or one-half (½) of one per cent of the amount of the loan proposed, whichever is greater.