British Columbia, Canada is home to a dynamic pool of venture capital and incentive programs, primarily focussed on supporting the development of innovative projects in the software, life sciences and clean-tech sectors.
Overview of Venture Capital Programs in British Columbia
British Columbia offers specific incentive programs to support venture capital activities.
These investment capital programs provide tax credit incentives to encourage early-stage investment in small businesses throughout the province. Corporations that invest in a registered venture capital corporation (VCC) or a registered eligible business corporation (EBC) may receive a non-refundable tax credit against British Columbia tax equal to 30 per cent of the investment. Individuals who take advantage of the program receive refundable tax credits.
Venture Capital Corporations provide equity capital to start-up, emerging and expanding eligible small businesses. To qualify to receive funds from a VCC or to qualify as an EBC, a small business must meet specific criteria.
Overview of Angel Investment Programs in British Columbia
Resident angel investors are supported through the British Columbia Investment Tax Credit program. The program provides a refundable tax credit of 30 per cent and a maximum annual credit of $60,000 to investors in eligible small businesses. The investment may be made directly in the small business, and the principal must remain in the company for at least five years.
Read more about incentive programs in British Columbia.