Innovative Financing for Women Entrepreneurs

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Innovative FinancingforWomen Entrepreneurs

• Presentation by
• Simone Desjardins, Special Advisor to the
  President
• Business Development Bank of Canada (BDC)
• May, 2004

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Outline of presentation

• Overview of BDC
• Mission and mandate
• Services
• Women Entrepreneur Market
• Facts
• BDC and Women Entrepreneurs
• Historical perspective
• BDC financing activity
• Access to Venture Capital
• Current activities
• Going forward future strategies

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BDC An Overview

• Mission
• BDCs mission is to help create and develop
  Canadian small and medium-sized business through
  timely and relevant financial and consulting
  services
• Nationwide network
• Over 80 branches and 1,200 employees
• One Virtual branch
• 8 billion in assets over 22,000 clients
• Record 2.1 billion in authorizations fiscal year
  2003

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BDC Services

• Financial Assistance to Support
• Start-upsDevelopmentGrowth / ExpansionMaturity
• Consulting Support
• Quality
• Growth
• Human Resources

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Facts on Women Entrepreneurs

• Women hold 50 or more ownership of more than
  one-third of all Canadian SMEs
• Women predominate in service industries and are
  increasing their presence in other sectors
• e.g., manufacturing, construction and primary
  sectors
• A larger proportion of women-owned businesses are
  younger and smaller
• Fewer women-led businesses export compared to men
  (8 versus 11)
• Industry Canada, SME Financing in Canada, 2002

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What women entrepreneurs want

• Recent research provides some insights of what
  women entrepreneurs want
• A long-term relationship with their banker
• Value-added opportunities to network for
  information, resources and potential clients
• Support in understanding and discovering growth
  opportunities
• To grow their business beyond Canadas border
• To be treated equally and not differently than men

Generations Research Inc., Exploratory Research
into Opportunities within the Womens Market, 2001
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BDC and women entrepreneurs - an historical
perspective

• BDC has been a pioneer in developing initiatives
  to support women entrepreneurs for over a decade
• Developed expertise through focus groups,
  surveys, in-depth research, training and
  mentoring programs
• In 1990, the Bank pioneered the first
  comprehensive profile of women-owned businesses
• In 1992, spearheaded training and mentoring
  programs specifically designed to encourage women
  to start and grow businesses the successful
  Step-Up, Step-In programs
• BDC has evolved with the market and is now
  focussing on growth export by promoting and
  supporting global summits and conferences

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BDC and women entrepreneurs
Defined as more than 50 female ownership
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Current Initiatives

• Internal Committees in Branches these
  committees champion business issues, are involved
  in local womens organizations and participate in
  women oriented events
• Discussion Workshops Workshops and networking
  events on financial, export and growth planning
  are organized across the country.
• Growth Export Forums BDC sponsored the launch
  of the first Canadian Chapter of the Women
  Presidents Organization (WPO) in May 2001. Since
  then, a second chapter was established in the
  fall of 2002. WPO members meet monthly to
  discuss a variety of business growth issues and
  participate in international conferences to
  develop export opportunities and business
  alliances abroad
• Designated Web Section Launch of a Web section
  providing value-added information on business
  management and promoting successful women
  entrepreneurs as role models

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Access to Venture Capital

• Opportunity for women entrepreneurs
• Stimulate a VC awareness
• Facilitate investment forums for women
  entrepreneurs
• Access to appropriate financing mechanisms

• 6 of BDCs investment companies are lead by
  women (Presidents CEOs)
• Women hold more than one-third (35) of the
  management team positions
• Particularly relevant in life sciences sector

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25 Million Fund

• In October 2003, BDC launched a new 25 million
  fund targeted to women entrepreneurs
• Target well-managed, established, fast growing
  businesses
• This fund will serve to leverage additional
  private equity

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Going forward . . .

• BDCs other future strategies for women
  entrepreneurs
• Continue to support start-ups with new service
  offering and as part of the Banks overall
  strategy
• Organize additional Learning and Networking
  Forums on growth, export and access to VC

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