LOANS

 

LOANS

The principal objective of the Native Fishing Association (NFA) is to stabilize, support, and increase Native participation in the B.C. commercial fishing industry.  Since the  implementation of the Pacific Salmon Revitalization Strategy in May 1996, or more commonly known as the Mifflin Plan, these objectives have become increasingly more difficult. The NFA administers a revolving loan fund that has served Aboriginal commercial fishermen in British Columbia since 1985.

However, NFA continues to provide financial assistance to native commercial fishermen by way of carefully designed individual loan programs, despite the most recent industry changes.

NFA may provide loans to assist in the financing of:

  • maintenance and improvement of vessels,
  • licensed vessel acquisitions,
  • commercial fishing licence acquisitions, or
  • fishing vessel debt re-organization.

NFA loans continue to be designed, as much as possible to suit the needs and circumstances of each borrower.  NFA usually structures loans to be repaid over a period of 3 to 10 years.  To qualify for an NFA loan an applicant must:

  • be Aboriginal,
  • demonstrate a need for assistance,
  • have suitable fishing knowledge and experience,
  • provide a proposal that makes good business sense,
  • demonstrate that the loan can be repaid,
  • demonstrate the ability to provide suitable mortgage security on a licensed fishing vessel and/or other assets as deemed necessary,

and

  • provide up to 20% down payment of the total value of the asset to be purchased.

In order to determine whether a loan proposal qualifies for assistance, it is necessary for NFA to gather considerable detailed information from the applicant.  Information required will include:

  • asset and debt details,
  • financial details regarding the applicants annual income, and spousal income where applicable, recent fishing activity,

and

  • particulars regarding the vessel to be acquired and/or currently owned vessel if applicable.

NFA financing is provided by way of “demand loans”, this  means that non-compliance of any loan condition could constitute default and, loan payment in full could be “demanded” at any time.

NFA encourages borrowers to repay their loans as quickly as possible so as to benefit themselves by minimizing interest costs, and also to benefit the Native fishing community by allowing NFA to recycle its funds frequently.

Loan applications can be obtained by contacting an NFA office at West Vancouver or Prince Rupert.

 

CHECKLIST:

In order for the Native Fishing Association to evaluate your loan application we require the following information:

  • Photocopies of your last three years of fishing statements (your completed income tax forms or statements received from fish processing company)
  • Survey of vessel
  • If you are purchasing a licence and/or vessel, you need to negotiate a price and sign a purchase agreement
  • If you are applying for repairs or maintenance work on your existing vessel, you will need to provide estimate  from at least two marine repair shops
  • If you are applying to purchase vessel equipment, you need to provide quotes from at least two marine dealers
  • If you are applying for debt consolidation (paying out existing creditors) you need updated statementsfrom creditor listing outstanding amounts owing.

Once your application is compete, please forward/mail all documents including photocopies of any income statements, fishing statements, surveys, etc. to our office.

 

LOAN APPLICATION FORM – Opens in PDF Format.  Click here to install Adobe Reader