Startup Investment Fund - NBIF - FINB
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Startup Investment Fund

Scaling your idea into a new business is going to need money.  This is where we can help.

Our Startup Investment Fund

Our Startup Investment Fund (SIF) provides New Brunswick entrepreneurs with the investment capital they need to develop their product into a commercially viable venture. 

Under this fund, companies are eligible for seed capital investment of up to $200,000.  This investment will take the form of equity through the purchase of common shares or issuance of convertible debentures.  Initial investment from NBIF is expected to be used to leverage additional funding from other investors or funding agencies to fully support the business for a 12 to 18-month period.  This funding is to be solely used towards developing a new business in New Brunswick, with specific emphasis on the refinement and commercialization of an innovative product or service. 

As an early stage seed fund, our Startup Investment Fund will have a higher risk tolerance than our Venture Capital Fund.  Investing in new ventures involves a high level of uncertainty as well as a high risk of failure.  If your company requires more than $200,000 and is generating sales with a solid management team, please consider our Venture Capital Fund.

Our Approach

When evaluating startup investment opportunities, NBIF looks at a company’s product, market, team, and financials.  The following are insights into our evaluation process:

Product

  • Innovative product with the potential to scale rapidly
  • Intellectual property is necessary for some ventures but not all

Market

  • Billion-dollar market with a realistic initial target market
  • Export focus outside of Atlantic Canada
  • Focus on “bottom-up” market validation from customers

Team

  • We Invest in people first!
  • Prefer at least two co-founders, but will invest in a single co-founder
  • A well-rounded team, or a plan to create one
  • The team must be in New Brunswick

Financial

  • 12-18 months of runway
  • Three-year financial projections with monthly detail for the first year, and quarterly detail for the following two

While initial seed capital will help get you started, you will probably need to raise another round.  As an early-stage investor, we like to see a plan towards raising additional rounds of financing.  In particular, we would like to see milestones that will create a path that will allow you to raise larger rounds of financing at a higher valuation.

Much More Than Money

At NBIF, we aim to be more than just money.  We aim to be smart money.

As business partners, our investment team offers continued support to our portfolio companies.  This can include introductions to other venture capital investors, guidance with financial projections, investor presentations, along with governance and advice through a seat on the startup's Board of Directors.  As well, NBIF has recently established strategic partnerships with Amazon, Deloitte, and Hubspot to offer free AWS credits and heavily discounted accounting software and CRM services to our portfolio companies.

Apply

Apply

Eligible parties include newly launched business ventureslocated and operating in New Brunswick, or entrepreneurs who are ready and committed to operating a new business venture in New Brunswick. The company must also be either provincially incorporated in New Brunswick or federally incorporated and registered to conduct business in New Brunswick. If applicable, NBIF can assist with the incorporation process.

To be considered for funding, a business plan and budget must be submitted to NBIF electronically at proposals@nbif.ca

Investments are subject to due diligence, negotiation, and appropriate approvals. Our aim is to deliver decisions within 30 days of receiving a fully completed business plan.

For the complete guidelines of the fund, click the download button below.

 

Download

Tools

NBIF has linked and organized a number of resources for entrepreneurs and companies to assist them in developing their business plans and preparing them for investment: