Nventure

Nventure is a co-investment fund (referred to as a “sidecar”) for technology startups and innovation-driven enterprises that have high-growth potential and substantial presence and impact in Northumberland County.

Through Nventure, we support investment by qualified, early-stage asset class professionals (“Investors”), including angel investors, venture funds and other similarly experienced and accredited investors. Nventure may be accessed to de-risk or to augment an investment.

Nventure will match eligible private-sector investments that Nventure approves on a 3:1 basis normally up to $250,000. Each such co-investment by Nventure will be on the same terms as the applicable private-sector investment.

For example:

a $75,000 investment by an Investor would generate a co-investment of $25,000 by Nventure on the same terms.

Nventure is premised upon a qualified lead Investor performing the necessary due diligence, business viability assessment and valuation of a company. If Nventure’s investment committee is satisfied with the qualifications of the lead Investor, Nventure will co-invest on the same terms as the lead Investor.

An Investor or a prospective Investee may apply for funding from Nventure. Applications are accepted on an open and ongoing basis and co-investment decisions will normally be made within sixty (60) business days from the date of submission of complete documentation, including the due diligence report prepared by the lead Investor and the terms of the proposed investment.

Investor Eligibility

Ordinarily, an Investor will be a member of AIO, NACO, or the CVCA (or a member of a group that is itself a member of AIO, NACO or the CVCA) but may be a member of any similar Provincial or international group representing qualified and accredited early-stage asset class professionals.

Furthermore, to be eligible to apply for funding from Nventure, an Investor must:

Be the lead investor in the proposed financing transaction.
Meet the definition of an “Accredited Investor” as set out in Ontario securities legislation.
Participated in and successfully exited from one or more prior early-stage investments.

An Investor need not be a resident of Northumberland County, the Province of Ontario or Canada to apply for funding from Nventure.

Investee Eligibility

To receive funding from Nventure, an Investee must be a private for-profit corporation existing under the laws of Canada or a Canadian Province that has:

75% of its assets and 75% of its employees domiciled [regularly report for work at Investee facilities located in] in Northumberland County;
Registered office in Ontario located in Northumberland County.

Nventure does not invest in the following areas:

Resource extraction industries;
Hotels, restaurants, bars, resorts and other tourism-related industries;
Non-scalable, traditional or “main street” small businesses for which debt financing for stabilization or expansion is preferable to venture capital.

Eligible Investments

Investments that are eligible for co-investment by Nventure must be made in cash and must generally consist of equity or rights to acquire equity, including investments in:

Preferred or common shares;
Convertible debt;
Options and warrants; and
SAFEs

Normally, straight debt financing is ineligible for Nventure funding. Investments that are eligible for co-investment by Nventure must:

Have taken place recently (no more than one hundred and eighty (180) calendar days prior to the application date), or
Be expected to close in the near future (no later than ninety (90) calendar days after the application date).

Required Documentation

All deals submitted must be approved by the Northumberland CFDC Board of Directors at its sole discretion.

The lead Investor profile and documentation to be provided includes:

Completed Investor Information Form.
Investor biography, including description of prior investment transaction experience.
Evidence of membership in group representing qualified and accredited early-stage asset class professionals.

Investee company profile and documentation to be provided includes:

Completed Investee Information Form.
Articles of Incorporation.
Certificate of Good Standing or equivalent.
Due Diligence Report completed by Investor.
Pre-closing capitalization table.
Most recent financial statements.

Investee Reporting Requirements

Investee’s receiving an investment from Nventure will be required to provide the following information on an annual basis via a short survey until Nventure is no longer invested in the Investee:

# of products commercialized.
Gross Sales.
Gross Profit.
# and type of jobs created.
Follow-on investment raised.
Other incremental funding secured.
# of patent applications submitted.
# of days until first sale/commercialization.

Nventure Manager - Kim Botrie

Kim Botrie, Northumberland CFDC loans Manager is available to answer any questions you may have and assist you through the application process. It’s easy to apply and there is no obligation to proceed.

Contact Kim Botrie

Kim Botrie is Northumberland CFDC Loans Manager. Formerly Senior Lending Services Officer with Ganaraska Credit Union, Kim worked in personal and mortgage lending for over fifteen years, earning her AMP designation. Additionally, Kim has experience garnered in commercial lending operations. Kim brings excellence in customer service to Northumberland CFDC clients in all business development programs. A proud lifetime resident of Northumberland County, Kim is also a dedicated Parent Council representative. She is currently completing her Bachelor of Arts in Political Science and Economics at Trent University.

Kim Botrie
Loans Manager
905.372.8315 x 221
kim.botrie@northumberlandcfdc.ca