The Government of Ontario has awarded over $1.8 million in government grants to support two large-scale business expansion projects in Welland, Ontario. The investment will allow Hydac Corporation and Northern Gold Foods to grow their operations and provide a greater contribution to the local economy.
The manufacturers will receive funding through the Southwestern Ontario Development Fund (SWODF), which supports large-scale business expansion projects. The program provides up to 10-15% of project expenses to a maximum of $1.5 million in Ontario government grants. Businesses investing more than $10 million in their project may also be eligible for up to $3.5 million in additional repayable funding.
The investment will help both businesses growth their operations within the Niagara region and a total of 65 new jobs, while retaining 33 existing positions.
Southwestern Ontario Development Fund Supports Hydac Corporation and Northern Gold Foods
The Southwestern Ontario Development Fund is partnering with Hydac Corporation and Northern Gold Foods to boost the local economy in Welland, Ontario. The program will invest up to $1.8 million to help both companies establish production facilities and create new jobs.
Hydac Corporation was established in 1996 and specializes in hydraulics and fluid management systems for a range of industries, including manufacturing, energy, mining, and agriculture. SWODF has awarded the company $370,600 to invest in a 26,000 sq. ft. addition to its facility, purchase new equipment, and create a total of 10 new jobs.
Northern Gold Foods was established in 1978 and is known best for its breakfast and snack food products. SWODF has awarded the company $1.4 million to invest in a new facility, state-of-the-art production technology, and create a total of 55 new jobs.
Since 2013, the Southwestern Ontario Development Fund has helped to create and retain approximately 40,600 jobs.
Southwestern Ontario Development Fund: Small Business Expansion Grants
The Southwestern Ontario Development Fund (SWODF) supports business expansion projects by providing government grants and loans for significant facility development and equipment acquisition projects. The program provides small business funding to reduce the costs of purchasing capital equipment, investing in workforce development, and developing new infrastructure. Ideal projects allow manufacturers to better meet consumer demands, improve productivity, and boost market competitiveness.
Ontario-based manufacturers may be eligible to receive the following funding contributions:
- Budgets Under $10 Million: Up to 10-15% in Ontario small business grants to a maximum of $1.5 million in funding.
- Budgets Exceeding $10 Million: Up to 10-15% in Ontario small business grants to a maximum $1.5 million in funding with the option to access another $3.5 million in repayable funding.
Related Post: Southwestern Ontario Development Fund Overview
Get Started with the Southwestern Ontario Development Fund
Interested businesses are required to complete a three-stage process when applying to the Southwestern Ontario Development Fund. To get started, applicants must:
- Complete and submit an eligibility checklist to the program;
- Discuss proposed project with a program contact; and
- Complete and submit an application package (including 3 years of financial statements, a letter of support, and proof of incorporation).
On average, the program will take up to 60 business days to review and approve applications. Therefore, it is critical that businesses identify their strategic priorities and apply for funding well in advance of any project start dates.