Got Ideas? CYBF Can Help!
The Canadian Youth Business Foundation (CYBF) is a national charity providing start-up mentoring, financing and business resources to help you start your own successful business. If you are age 18-34 and have a business idea...we can help!
How It Works
Start-up Financing
Entrepreneurs need money - that's no secret. We provide business start-up loans up to $15,000. Loan repayments of three or five years are available. Eligibility Requirements:
- Between 18-34 years old
- Eligible to work in Canada (work permit holders not eligible)
- Produces a complete and viable business plan
- Has been in business, fully operating, for less than 12 months
- Lives or opens the business in the community which is offering the CYBF program
- Has some training / experience related to their business idea
- Work with mentor for a period of two years
- Has a business that creates full-time sustainable employment for the applicant
- Must hold at least 51% voting share in the business (if a partnership)
- Not a full-time student
- Loan proceeds may NOT be used for the refinancing of existing debt
- See criteria for CYBF-BDC Start-Up Financing Program
Partnerships:
If the business is a partnership, and only one partner meets the CYBF age criteria he/she must hold at minimum 51% of the partnership and meet all other CYBF criteria and be subject to the CYBF application process. If all partners meet the CYBF age criteria, then all are subject to the CYBF application process. If any partner is a minority shareholder and is over the CYBF age limit, they are not subject to the application process.
Incorporated Businesses:
If the business is incorporated, the applicant must be the majority shareholder, having at least 51% of the voting shares and be involved in the day-to-day management of the business. The applicant must also meet CYBF's age and other criteria. If the business is incorporated and there are two or more shareholders and not one person holds the majority of the shares, then the shareholders who meet the CYBF age and all other criteria must hold the majority of the voting shares and are subject to the same application process. Any shareholder who meets the CYBF age criteria must be subject to the CYBF application process.
Loan Details:
Loan Terms
- Amortized over 3 years if loan is $7,500 or less
- Amortized over 5 years for loans over $7,500
- Interest-only payments in the first year
- Principal repayments are made in equal monthly installments together with interest, over the remaining two to four years, depending on the amount borrowed
Interest Rates
- First year, CIBC prime rate plus 2%
- Second year, conditional on timely payments, CIBC prime rate plus 1%
- Third and subsequent years, conditional on timely payments, CIBC prime rate
- Current interest rates may be obtained from CIBC at http://www.cibc.com/ca/rates/index.html
Fees
- $50.00 CYBF loan administration fee
- $10.00 CYBF monthly administration fee
For more information on our start-up financing program, please see our Start-up Financing Fact Sheet and the CYBF Application Process to follow.
Go to Locations Available and click on your community to download the application documents.
Mentoring
CYBF matches qualified business mentors with young entrepreneurs to allow knowledge sharing and ensure a higher business success rate. CYBF loan clients must participate in the Ment2B™ mentoring program. Training is provided to both the entrepreneur and mentor to establish the relationship.
The experience of the Prince's Youth Business Trust in the UK proves that mentoring helps young entrepreneurs succeed in business. Before implementing a mentor program, the success rate of young entrepreneurs' businesses supported by the organization was only 40%. Three years after introducing a mentor program the success rate of businesses climbed to 75%! That's powerful proof of the value of a mentor.
The Mentoring Profiler
See our Mentoring Profiler - a new self assessment tool that will help you and your mentor better understands each others' mentoring styles.
Business Resources
See CYBF's comprehensive and interactive online business resources, from developing a business plan to accessing financing, to help you start your own business.
Get Money
Find out how to get financing for your company.
Get A Mentor
Learn how a mentor can help you grow your business
Inspiring Stories
Read inspiring stories of entrepreneurs, mentors, and partners.
Get Started
Read more about the steps to get started with CYBF.