We offer project and enterprise financing in the range of $50,000 to $2,000,000.
We are flexible, structuring the right financing for each enterprise or project, such as:
- Performance-based financing
- Project finance
- Purchase order finance
- Senior and subordinated term loans
We prefer to invest with senior financial partners. However, we often act as a first funder and our financing may help you attract additional support.
Through innovative, barrier-busting financing structures, we invest at the project and enterprise levels to help commercialize urban climate solutions.
Do you have an innovative low-carbon technology or service? Are you looking to bring a proven technology or service to Canada? Are you interested in TAF financing? Here’s the path in a snapshot:
- Review TAF’s eligibility and evaluation criteria and submit an application
- TAF’s expert staff reviews your application and performs due diligence. We provide all applicants with feedback whether or not their project will proceed for further evaluation
- Our Investment Committee and Board of Directors approve the application
- A legal agreement is drafted and signed
- You receive TAF financing for your enterprise
TAF provides applicants with feedback on whether or not their project will proceed for further evaluation. How much time should you budget? The application process generally takes about six months from the initial application submission to funding being received.
- Proof of performance of product, service, or technology (third-party verification necessary)
- Proven sales or confirmation of customer interest
- Significant emissions reduction potential in an urban setting (independent third-party verification necessary – TAF can assist with quantification expertise)
- For-profit or non-profit organization
- Financial and business proposition must be clearly demonstrated and include revenue potential as well as potential to attract other financing or investment
Additional evaluation criteria:
- Scale-up potential and plans (in the GTHA and Canada)
- Advantage over existing technologies
- Intellectual property (IP) protection
- Management and technical capabilities
- Value proposition to end-users
- Applicant partners and potential for collaboration
- Funding secured to date
We prefer to invest with financial partners who often provide infrastructure and technical know-how. However, we often act as a first funder and our financing may help you attract additional support.
Your business does not need to be based in the GTHA, but either the emissions reductions that result from your initiative must be shown to benefit the GTHA or you must have concrete plans to expand into the GTHA market.
TAF is interested in any enterprise or project that has significant potential to advance our climate and air pollution reduction mandate. Based on our understanding of the key sources of emissions in the region, we are interested in financing:
- Renewable energy: Development and implementation of innovative alternative low-carbon energy supply options
- Building energy efficiency: Energy efficiency retrofit and new construction projects in large and mid-sized buildings (commercial, industrial, residential – not single-family), including fuel-switching
- Transportation: Efficiency, electrification, modal shift, transportation demand management and other opportunities to reduce emissions associated with personal and freight transportation
- Waste reduction and de-carbonization: Products, services and projects that are transferable to an urban context and that significantly address emissions
- Conservation and carbon-reduction behavior: Products, services or projects that promote low-carbon behavioural changes, e.g. by reducing building energy usage or singe-occupant car trips
TAF offers financing in the range of $50,000 to $2,000,000. We can use a range of financing arrangements, including, but not limited to, operating lines, purchase order financing, senior debt, and convertible subordinated debt. We are flexible and can structure our financing to fit the need of your project or enterprise. By project finance we mean the raising of debt based on cash flow generated by a project with a defined length. These projects usually involve monetizing contractual arrangements (off-take agreements). Enterprise financing uses the balance sheet of a company to raise debt. TAF may also consider providing operating capital by financing purchase orders.
Our ideal investment horizon is 3-10 years. However, there is flexibility with length of financing terms depending on the demonstrated scale up and emissions reduction potential of your initiative.
We do not invest in research stage or pre-revenue projects. TAF can connect you to organizations that offer research grants and venture funding. We are unlikely to invest as equity or in enterprises or projects that are unable to return a reasonable amount of current yield, project payments or interest.
Successful applicants will develop a monitoring plan and report on the emission reduction achievements associated with the activities they undertake with TAF’s support, in addition to regular financial reporting.