Are you actively receiving cashflow support from government funding, wage subsidy, and tax credit programs? If not, there’s a good chance that your business is missing out on valuable support for business projects you’ve started, are working on currently, or plan to accomplish soon.
Perhaps you’ve even applied for grants and loans in the past, but the funding landscape is vast and often complicated, so you’ve left an application unsubmitted or quit applying because you’ve yet to be approved.
The truth is there are hundreds of funding programs available federally, provincially, and territorially, and maintaining an in-depth understanding of these incentives (including their purpose, timing, and what they look for in applications) can be incredibly difficult.
Here are five government funding programs that are currently available:
Yves Landry Foundation Funding for Training via the Government of Canada
The Yves Landry Foundation Funding for Training via the government of Canada helps manufacturing organizations adapt to new technologies, processes, and procedures.
The program supports innovation through projects such as retooling and providing new lines of production for productivity output. Training approved through this program must be clearly linked to domestic supply chain improvements or competitive enhancements, such as expanding into new or enhanced domestic markets.
The funding amount for successful applicants is 25 to 50 per cent of eligible costs up to a maximum of $100,000 per application. Ontario manufacturers are eligible if they have 10 to 1,000 employees. The program is currently open as a two-stage application process, and training can start as soon as the application is approved.
CanExport SMEs
The CanExport SMEs government funding program provides eligible Canadian businesses with government grants to support R&D into new export opportunities and markets, particularly high-growth priority markets and sectors, by covering a portion of eligible sales and marketing activities.
Eligible manufacturing applicants can receive up to 50 per cent of eligible costs for up to $10,000 to $50,000 in grant funding per project. To be eligible for the CanExport program, Canadian manufacturers must maintain less than 500 full-time employees, earn annual revenues from $100,000 to $100,000,000, be federally incorporated, generate eligible expenses of at least $20,000, and be financially stable to cover all other portions of the project.
Southwestern/Eastern Ontario Development Fund
The Southwestern Ontario Development Fund and the Eastern Ontario Development Fund are business expansion funding programs that incentivize companies to invest in new facilities and equipment. They attract large-scale projects that have a significant impact on business productivity and create new employment opportunities.
The programs support projects that lead to business growth and broad positive economic outcomes; encourage collaboration, innovation, and cluster development; create jobs and build talent; and attract and encourage private sector investment. Eligible costs include materials, equipment and machinery, R&D, labour, and training.
Eligible manufacturers will receive a grant for up to 15 per cent of project expenses to a maximum of $500,000 if they have less than 100 full-time employees. An additional repayable funding portion is available for up to 15 per cent of project expenses to a maximum of $5 million, up to 30 per cent (or $500,000) of which will be forgiven if project goals are met.
Scientific Research and Experimental Development (SR&ED)
Not all grant and loan programs are perfect for manufacturing and innovation. However, the SR&ED program helps Canadian businesses receive tax credits for R&D projects. More than 20,000 applicants claim over $3 billion in tax incentives annually.
Tax credits for up to 69 per cent of labour and overhead costs, 36 per cent of contractor costs, and 45 per cent of material costs are available. All expenses must include labour, contractors, materials, and overhead costs related to the activity required to resolve a technological uncertainty, obstacle, or challenge.
Canada Growth Fund
Set to open for intake in early 2023, this funding program helps Canadian manufacturing businesses secure the significant private capital they need to accelerate the deployment of technologies needed to reduce carbon emissions and grow the economy. Successful applicants will receive grants and/or loans to scale technology, reduce emissions, and work on low-carbon projects.
To be eligible for the Canada Growth Fund, applicants must have a Canadian presence, own the intellectual property, and align with the principles of the Canada Growth Fund.
Reposted from https://www.canadianmetalworking.com/canadianmetalworking/blog/management/accessing-the-top-grants-and-loans-for-canadian-manufacturers
