This archived statute consolidation is current to October 1, 1998 and includes changes enacted and in force by that date. For the most current information, click here.

SMALL BUSINESS DEVELOPMENT ACT

[RSBC 1996] CHAPTER 428

Contents

Section

Part 1 — Interest Free Loans

 

1

Minister may make loans

 

2

Extinguishment of loans

Part 2 — Low Interest Loans

 

3

Source of funds

 

4

British Columbia Enterprise Corporation to make loans

Part 3 — Fixed Interest Loans

 

5

Source of funds

 

6

British Columbia Enterprise Corporation to make loans

 

7

Preference

Part 4 — General

 

8

Eligibility

Part 1 — Interest Free Loans

Minister may make loans

1 The Lieutenant Governor in Council may, on terms and conditions the Lieutenant Governor in Council considers appropriate, establish a small business assistance program, and for that purpose may authorize the minister to make interest free loans under this Part on terms and conditions the Lieutenant Governor in Council prescribes.

Extinguishment of loans

2 The liability of a borrower to repay a loan made under this Part may be wholly or partly extinguished subject to terms and conditions the Lieutenant Governor in Council prescribes.

Part 2 — Low Interest Loans

Source of funds

3 The British Columbia Housing and Employment Development Financing Authority may pay to the British Columbia Enterprise Corporation, on terms agreed between the authority and the corporation, the amount of $20 million to be used for the purpose referred to in section 4.

British Columbia Enterprise Corporation to make loans

4 The British Columbia Enterprise Corporation may, from money paid to it under section 3, and subject to any agreement between it and the government, make loans at low interest rates to

(a) encourage and assist the establishment, expansion or modernization of facilities and plant used in manufacturing, processing or high technology industries, or

(b) assist the provision of services to those industries or any of them.

Part 3 — Fixed Interest Loans

Source of funds

5 The British Columbia Housing and Employment Development Financing Authority may pay to the British Columbia Enterprise Corporation, on terms agreed between the authority and the corporation, the amount of $170 million to be used for the purpose referred to in section 6.

British Columbia Enterprise Corporation to make loans

6 The British Columbia Enterprise Corporation may, from money paid to it under section 5, and subject to any agreement between it and the government, make loans at fixed rates of interest to

(a) assist the establishment, expansion or modernization of manufacturing, processing or high technology industry, or transportation related to natural resources, or

(b) improve the working capital positions of persons engaged in business referred to in paragraph (a).

Preference

7 In making a loan under section 6, the British Columbia Enterprise Corporation must, despite section 25 (2) of the Development Corporation Act, R.S.B.C. 1979, c. 93, give preference to borrowers who have at least 75% of their assets and employees in British Columbia.

Part 4 — General

Eligibility

8 The Lieutenant Governor in Council may prescribe conditions for eligibility for loans under this Act.