Telefilm fund nears 50% rate for defaulted loans; industry calls for new model
News | 11/01/2000 5:00 am EST
|Telefilm Canada is preparing to write-off 45 per cent – or $4.1 million – of paid out over the past two years from its $30-million multimedia fund, citing the high-risk nature of the industry for the high default rate. The figures, released last month as part of Telefilm’s 1999-2000 annual report, will give the new media industry additional ammunition in its battle to have the multimedia fund converted from a loan-based to an equity-based model. Industry leaders have long complained that government loans do little to help fledgling new media companies leverage additional capital, and have lobbied vociferously for a fundamental change in how money is doled out.
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