Canadian game incubator and accelerator Execution Labs has come up with a new way of funding its projects.

Hooking up with Canadian investment outfit BDC Venture Capital, it will offering the current intake of companies that exit its program the opportunity to get a $150,000 investment.

This will be structured as a convertible note.

It works like a loan when granted to a company, and converts into an equity investment when the company gains its first proper funding round.

Launch boost

BDC Venture Capital led Execution Labs' seed funding round of $1.4 million, and already offers the $150,000 convertible notes to various early-stage Canadians start-ups.

"We are excited to partner with Execution Labs and look forward to helping the best studios coming out of [the program] fulfill their potential to power our games economy," said BDC's VP, strategic investments and initiatives, Senia Rapisarda.

"The BDC Venture Capital convertible note program gives our graduating studios time to continue running their games as a service and ramp their revenues after they leave Execution Labs," said co-founders Jason Della Rocca.

"In addition to giving our teams more time to get traction, having a note in place from a reputable investor like BDC Venture Capital makes it easier for them to attract additional financing to expand their studios and release more games."