Recently, the Canadian Government announced several changes to the Canadian Small Business Financing Program to make it easier for small business to access funding through the program. The biggest change is that eligible companies can have up to $10M in annual revenues, up from the previous $5M. This program helps small businesses access money to support the financing of major business expansion projects.
What does the program support?
Through this government funding program, small businesses can borrow up to $500,000 in a repayable contribution. The funding can be used for business expansion projects including:
- The costs to purchase or improve land and buildings used for commercial purposes
- The costs to purchase new or existing renovations to premises occupied by the business as a tenant
- The costs of purchasing or improving new or used equipment (including commercial vehicles)
Financing for land and leasehold improvements require a total funding request that exceeds $350,000. Loans cannot be used for financing working capital, inventories, or franchise fees.
Who can apply for the program?
This small business funding program supports a wide range of businesses. Most start-ups, early stage businesses, and existing for-profit businesses in Canada with gross revenues up to $10M are eligible. Eligible applicants can be corporations, sole proprietors, partnerships, or cooperatives.
The program does not support farming businesses, but agricultural and agri-food businesses have several options available for funding.
Leveraging Government Funding to Support Growth
Canadian small businesses can access a range of government funding programs to help offset the costs of investment in their business. Mentor Works, the government funding experts, help small businesses by identifying priorities, and developing custom solutions to tackle funding needs. You can learn more about government funding opportunities by attending one of our free workshops or webinars, or by signing up for our e-newsletter for regular funding updates.