The province is supporting the Aerospace and Defence sector by providing repayable loans for non-recurring costs associated with attracting new contracts. This will help Nova Scotia companies compete in the global marketplace.

Read the release here: http://gov.ns.ca/news/details.asp?id=20111012003

Objectives:

The objectives of the Aerospace and Defence Loan Program are to:

• increase job opportunities;
• make Nova Scotia companies more globally competitive;
• develop new technologies and innovations;
• help Nova Scotia companies gain access to new markets;
• develop the aerospace and defence sector within Nova Scotia;
• foster and develop small suppliers;
• sustain current businesses located in Nova Scotia;
• maintain Nova Scotia's highly qualified workforce;
• support advanced training and workforce development;
• enhance the economic sustainability of the aerospace and defence sector; and
• expand aerospace and defence related supplier and service capacity into export markets.

Eligibility:

This loan program is limited to aerospace and defence companies and their suppliers. The business must be a registered company in good standing under the Nova Scotia Corporations Act or the Canadian Business Corporations Act. The business must also be legally entitled to conduct business in Canada, and have operations situated in the Province of Nova Scotia.

The applicant must:

• demonstrate the management and financial capacity required to complete the project;
• demonstrate the ability and management capacity to execute its business/project plan; and
• contribute to the growth of the aerospace and defence sector through direct and indirect benefits.

The project must:

• represent additional or incremental work for the company; and
• generate incremental local employment and revenue.

Funding:

Proposals are evaluated on a case-by-case basis. Generally, projects should represent at least $100,000 of the total investment. The fund provides support in the form of repayable, interest-bearing loans. The loan will be repaid based on the success of the program/project as the products are delivered to market. A provision of security will be obtained for each loan.

Eligible cost categories include:

Engineering and design - engineering time costs, consulting, sub-contracts and third party consulting, program specific software, hardware;

Program management - labour specialized services, travel and location costs;

Qualifications and certifications - labour, training, third party program support, testing, validation, analysis and computational modeling;

Research and development - intellectual property, costs associated with developing and proving products, prototypes, digital program costs; and

Tooling, equipment and machinery - program specific capital expenditures deemed critical to the success of the project and not recurring.

Disbursement of Funds:

Successful applicants will be required to enter into a loan agreement with NS Economic and Rural Development and Tourism prior to the disbursement of funds. The contribution agreement will outline the statement of work, and the terms and conditions which the applicant must meet in order to be deemed eligible for the funding.

Contact:

For more information, or to apply for a loan, please contact:

Economic and Rural Development and Tourism
Centennial Building
1660 Hollis St., Suite 600
Halifax, Nova Scotia
B3J 1V7

P.O. Box 2311
Halifax, Nova Scotia
B3J 3C8

Phone: 902 424-6721
Fax: 902 424-1263