Canada is emphasizing leading economic growth and innovation. The Government of Canada is implementing several initiatives to improve the business environment, focusing on SMEs. Small businesses are an important contributor to economic growth and innovation in Canada. But funding is one of the greatest hurdles that SMEs face that restrains their growth.
To overcome this barrier, the government has initiated a number of funding programs
CanExport SMEs
CanExport SMEs is a financial initiative that offers grants and contributions to small and medium-sized businesses to promote and enhance the diversity of Canadian trade. This initiative helps small businesses prepare for and build a presence in international markets where they currently have minimal or no sales.
Under this program, small and medium-sized companies can access up to $50,000 in funding to assist with international market development activities. Candidates must be successful Canadian small and medium-sized businesses, be incorporated as a legal entity, a limited liability partnership (LLP), or a cooperative, have a Canada Revenue Agency business number, and employ no more than 500 full-time employees.
Small businesses planning for business expansion into export trade can avail of the benefits of CanExportSME by visiting https://www.tradecommissioner.gc.ca/funding-financement/canexport/sme-pme/index.aspx?lang=eng for more information.
Fund for Innovation and Transformation
The Fund for Innovation and Transformation (FIT) is a program designed to support Canadian small and medium-sized organizations (SMOs) testing innovative solutions that advance gender equality in the Global South. The Inter-Council Network of Provincial and Regional Councils (ICN) program is managed by the Manitoba Council for International Cooperation and funded by Global Affairs Canada.
The objective of FIT is to foster an environment at work where SMOs are empowered to experiment, fail, adapt and try again. Organizations from civic society, social businesses, post-secondary institutions, and the private sector can participate in the programme. FIT provides successful applicants with $150K-$175K over a 6-12 month period to test their solutions in partnership with local organizations.
Innovative solutions require funding for their consistent development and successful implementation. To learn about their funding procedure, visit https://www.fit-fit.ca/.
Spur Change program
The Spur Change program is a 5-year initiative funded by Global Affairs Canada, supporting the engagement of small and medium organizations in international development and Canadian youth as global citizens. They aim to increase the effectiveness of Canadian small and medium organizations (SMOs) to deliver sustainable results in support of the Feminist International Assistance Policy and the Sustainable Development Goals.
The Alberta Council for Global Cooperation manages the national program on behalf of the Inter-Council Network of Provincial and Regional Councils for International Cooperation and will run till 31 March 2024. The Inter-Council Network (ICN) is a coalition of the eight Provincial and Regional Councils for International Cooperation. They are committed to global social justice and change and represent more than 350 diverse civil society organizations (CSOs) across Canada.
Small businesses should explore Spur Change to increase their participation and effectiveness at the global level. Find more information through https://icn-rcc.ca/en/spurchange/.
Canada Digital Adoption Program (CDAP)
The Canada Digital Adoption Program (CDAP) is a Government of Canada initiative that helps small and medium-sized enterprises (SMEs) adopt digital technologies to increase their competitiveness. Eligible businesses will receive a loan that covers items directly related to the digital plan.
This digital assistance includes acquiring IT equipment, installing new technologies, updating and expanding IT equipment, and training staff on onboarded technologies. They provide materials and support services directly related to onboarding the technology and further advisory services on particular aspects of the digital adoption plan. The program increase competitiveness as digitally mature businesses is more likely to export, enjoy high sales growth and make more profit.
Small businesses should upgrade their technology in order to compete in the global market. To discover more about the Canada Digital Adoption, visit https://ised-isde.canada.ca/site/canada-digital-adoption-program/en for more information.
Canada Small Business Financing Program
The Canada Small Business Financing Program makes it easier for small businesses to get loans from financial institutions by sharing the risk with lenders. The program helps term loans to finance the purchase or improvement of land or buildings used for commercial purposes, purchase or improvement of new or used equipment and purchase of new or existing leasehold improvements, that is, renovations to leased property by a tenant.
In addition, the lines of credit can be used to pay for working capital costs, that is, day-to-day operating expenses of the business, and aid intangible assets and working capital costs.
Financial programs are necessary for small businesses to thrive in today’s economy. For more information, visit https://ised-isde.canada.ca/site/canada-small-business-financing-program/en.
The Canadian government offers financial support in an attempt to address the diverse economic demands of small businesses. From promoting export trade to digitalization, their development is promoted to help them achieve their full potential and contribute to the Canadian economy. Small and medium-sized businesses should make use of all the provisions that are effectively designed for them to accomplish their goals and objectives without being concerned about finances.
Financial assistance is important for the growth and development of small businesses. To know more about these monetary aids, subscribe to CanadianSME Small Business Magazine https://lnkd.in/dbqmSKN. For the latest updates, visit our Twitter page at @canadian_sme.
