Getting loans gets easier for new immigrants

For new immigrants who wish to start small businesses, the province unveiled a loan program on Wednesday. The pilot program offers up to $150,000 to immigrants who have lived here for less than five years, to help them buy, expand or start businesses.

For new immigrants who wish to start small businesses, the province unveiled a loan program in Wednesday. The pilot program offers up to $150,000 to immigrants who have lived here for less than five years, to help them buy, expand or start businesses.

Economic Development Minister Angus MacIssac said on Wednesday in a news release that small businesses drive the economy of Nova Scotia.

Minister Angus MacIssac said that the program will help ensure that immigrant entrepreneurs have the opportunity to become small-business owners in this province and further generate jobs.

It should be remembered that getting loans in Canada can be a problem for new immigrants as many Canadian banks and lending institutions do not recognize credit histories outside Canada.

The new program operates through credit unions and the Nova Scotia Co-operative Council administers it.

The new program is a joint initiative of the cooperative council, the Credit Union of Nova Scotia, local credit unions, the Office of Immigration and the Economic Development Department.

Getting business loans in a timely manner is extremely significant in terms of determining the financial success of immigrants, said the executive director of the Metropolitan Immigrants Settlement Association Claudette Legault.

More than 150 immigrants who are interested in starting or buying businesses approached the association last year, the release claimed.

$2 million would be invested in the program as a loan guarantee by the Economic Development and it will be reviewed annually. $100,000 a year would be provided by the Office of Immigration for the operational costs of the program, the release said.

The program is an extension of an existing small business financing program, and it is estimated that around 350 companies have created and maintained more than 2,300 new jobs in Nova Scotia through that program.