Business Scale-up and Productivity in Northern Ontario
The Business Scale-up and Productivity (BSP) Stream aims to accelerate the growth of firms and assist with the adoption and adaptation of new, innovative technologies that support scale-up, productivity, development of and entry into new markets to help companies become competitive in both domestic and global markets.
FedNor is targeting investments in innovative and trade-oriented businesses seeking to accelerate their growth.
Offered by Federal Economic Development Agency for Northern Ontario (FedNor Ontario)
Amount
Up to $500,000
Up to 50 percent of eligible and supported project costs, generally repayable and normally up to a maximum of $500,000 per project
Quick eligibility check
Who can apply
Eligible applicants include:
- Incorporated small and medium-sized enterprises (SMEs);
- Indigenous (First Nation/Métis/Inuit) businesses and organizations.
To be considered eligible, project benefits must accrue to Northern Ontario.
All eligible applicants must be legal entities capable of entering into legally binding agreements.
To be considered eligible for funding, applicants must demonstrate:
- A sustainable business model normally supported by two (2) years of operations.
- Financial capacity to complete the project and repay the contribution in full.
- Managerial, technical, and operational capacity to achieve the project's stated objectives in a timely manner.
- Market/industry demand (e.g., how the project addresses a significant gap in the market; global opportunity to be seized within Canada; and evidence that Northern Ontario is uniquely positioned to capture market share).
- Potential for market growth, diversification of export markets and/or participation in global value chains.
- A viable project plan with achievable outcomes, supported by verifiable cost estimates.
About the funding
Assistance available for SMEs is generally repayable and normally up to a maximum of $500,000 per project.
The amount of the awarded contribution will be based on the minimum amount required for the project to proceed.
Applicants are eligible to receive up to 50 percent of eligible and supported project costs.
Total government funding (including federal, provincial and municipal) for a project cannot exceed 75 percent of supported eligible non-capital costs and 50 percent of supported eligible capital costs.
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The applicant must have secured funding of at least 50 percent towards the balance of the project's eligible costs.
Financial assistance from government programs may have tax implications for a business. It is recommended that applicants obtain advice from a qualified tax professional.
Terms of repayment will be determined during the development of the contribution agreement and normally begin no later than one year following the completion of the project.
Eligible costs include:
- Project-specific cost of labour (e.g., wages and benefits) and of material used;
- Capital costs: purchase of machinery, equipment and infrastructure;
- Operating costs that are incremental, measurable and directly related to the project;
- Professional, advisory and technical services fees;
- Costs related to intellectual property;
- Preproduction costs (e.g., technological development and commercial demonstrations);
- Commercialization costs;
- Costs related to expanding or maintaining markets; and
- Subcontracting costs
Similar programs
| Program | Type | Amount | Status |
|---|---|---|---|
| BDC Small business loan | Loan | Up to $350,000 per BDC Small Business Loan: up to $100K (up to 6 months interest-only payments, 5-year amortization) or over $100K and up to $350K (up to 12 months interest-only payments, up to 8-year amortization) | Open |
| Forest Sector Investment and Innovation Program (FSIIP) – Business Projects | Loan, Grant | Performance-based loan of up to a maximum of 30% of eligible project costs (forgivable portion to a maximum of 50% of the loan amount) | Open |
| Ontario Together Trade Fund | Grant, Loan | Up to $5 million | Open |
| Regional Development Program: Advanced Manufacturing and Innovation Competitiveness Stream | Grant, Loan | Up to 15% of eligible project costs | Open |
