There are three mandatory requirements in applying for a loan from NBCC:
1) The business enterprise must be carrying on business in Nunavut that is:
- A company or corporation registered or incorporated under the Business Corporations Act;
- A co-operative association registered or incorporated under the Co-operative Associations Act;
- A partnership for which a declaration is registered under the Partnership Act; or
- A corporation incorporated under Part II of the Canada Corporations Act and commonly known as a community futures organization; or
- An individual.
2) The business enterprise is eligible to apply for a loan if:
- It is or would likely be unable to obtain a loan from a financial institution on reasonable terms and conditions; or
- There is not a financial institution or branch of a financial institution in a community in which the business enterprise carries on business.
3) The business enterprise must be prepared to provide security. Security can consist of:
- A mortgage on real property;
- A pledge on personal property;
- A personal or general guarantee from the principals of the business enterprise; or
- Any combination of the above.