The City of Quebec is committing $1.2 million in entrepreneurship, including $600,000 for a new venture capital fund to be leveraged by innovative Quebec startups.
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The Executive Committee will make three recommendations for these investments to the City Council.
First, the city will invest in the i4 Capital Fund, a new venture capital fund specializing in innovative startups with a $40 million capitalization.
The Quebec government will provide a maximum of US$16.7 million through Investissement Québec.
The City of Quebec is also adding its contribution of $600,000 over four years in the form of an operating grant, according to David Weiser, city councilor and executive board member responsible for economic development and entrepreneurship.
access to capital
“Access to this capital for entrepreneurs in the city of Quebec is of great importance. We have no private funds in Quebec. It’s always in Montreal, Toronto, New York. It’s a start to get dressed [les entreprises] and ensure that capital is available for entrepreneurial start-up and growth projects.”
The elected official emphasizes that this is the largest private investment fund since Innovexport.
Additionally, i4 was founded by Jean-François Grenon, a former Innovexport, a fund that is no longer active but has invested in several growing technology companies in Quebec.
Headquarters in Quebec
The city’s investment will have the benefit of ensuring the establishment of the fund’s headquarters in Quebec City, Mr. Weiser said, as well as ensuring investments in at least six early-stage companies in Quebec City.
“Entrepreneurs have easier access when their headquarters are in the same city,” comments David Weiser.
Seed funding is invaluable to businesses and helps them build momentum.
The fund is aimed at companies in the fields of innovation and artificial intelligence. “Everything that is innovative and has potential for success,” explains Mr. Weiser.
This fund has the potential to generate $400 million in investments in companies.
Other partners are also in attendance, namely the Solidarity Fund for Quebec Workers ($7.5 million), Teralys Quebec Seed Fund ($5 million), Fondaction ($3.3 million) and private investors ( $7.5 million).
The camp and the hive
On the other hand, the City of Quebec is also investing $320,000 in the Le Camp incubator.
“Thanks to the camp’s activities, $194 million has been invested in businesses in Quebec City,” emphasizes Mr. Weiser.
The funds will be used to ensure the continuity of the incubator’s support activities.
La Ruche is benefiting from investments as part of the second phase of the downtown redevelopment plan.
This is $49,840 for business development support, support, analysis, communication and administrative expenses and up to $250,000 for support of a business development crowdfunding campaign. Downtown.
The city wants to encourage crowdfunding, a tool increasingly used by entrepreneurs, argues David Weiser.