September 1st, 2015
If you are you a large or small business looking for funding in Ontario, consider the Jobs and Prosperity Fund. This government funding provides businesses, business associations, and entrepreneurs with a fantastic opportunity to increase their productivity while contending in the global marketplace.
There has been a shift in recent years toward organizational innovation in Ontario businesses, according to Statistics Canada. This shift reflects the transition of businesses looking to limit their overall costs by optimizing their existing operations instead of bringing in new logistics or distribution systems, or introducing new production methods.
Between 2007 and 2012, there was a rather dramatic drop in organizations bringing in new or radically improved production processes. On the other hand, organizational innovation saw an increase from 34.6% between 2007 and 2009, and 37.9% between 2010 and 2012.
During this latter period, Ontario experienced the highest proportional increase of innovations in business enterprises in Canada at a rate of 71.2%. These numbers speak to the fact that Ontario is one of the most successful areas in all of North America for conducting business. In 2014, the province brought in more foreign capital investment than any other state or province on the continent, and had a larger GDP than Switzerland. The success of the province is undeniable, and you can grow your Ontario business as well.
New Economy Stream
There are three separate streams to the Jobs and Prosperity Fund. The first of these, which is the New Economy Stream, assists private sector organizations in a variety of ways. One of the most important elements is the creation of innovation capacity coupled with enhanced productivity, performance, and global competitiveness.
Becoming a force in the global marketplace requires new export and trade opportunities. An increased global presence creates the framework for generating additional jobs.
Companies operating for at least three years with substantial operations can apply for this stream. These project costs are major in scope, consisting of at least CAD $10 million. Funding through either a grant or a loan covers up to 20% of eligible project costs.
Projects with a focus on priority sectors such as life sciences, advanced manufacturing, information and communications technology, and strategic or anchor investments receive priority consideration. To view INAC’s bulletin on this program, click here.
Food and Beverage Growth Fund
Ontario’s well-known food and beverage processing sectors provide the basis for the secondary funding stream. The Food and Beverage Growth Fund provides government funding for food processors and members of the bio product sector to conduct strategic investments.
This fund helps create jobs while strengthening ties along the supply chain by encouraging and increasing market access. It also fosters innovation and helps companies develop productivity initiatives in their processing plants.
This stream is accessible for any food and beverage processor in the province that invests at least $5 million in eligible costs into their new initiatives. The fund covers up to 20% of eligible project costs. View INAC’s bulletin on this program here.
Strategic Partnership Streams
The final stream focuses on increasing productivity in the priority sections outlined above in the New Economy Stream. As perhaps the most far-reaching branch of the Jobs and Prosperity Fund, the Strategic Partnership Stream fosters innovation technology partnerships between various companies.
This funding allows companies, suppliers, investors, customers, and anyone else involved in this relationship to work as a cohesive unit for the creation of industry specific strategies designed to further the knowledge and understanding of each respective sector.
A focus of this stream is on enabling technologies, which are modern or state of the art developments that helps Ontario businesses develop a competitive edge in the global marketplace. This includes elements as wide-ranging as the Internet of Things, advanced materials, robotics, genomics, and even the recent fad of 3D printing.
The goal of this stream is for companies to bring in technologies that can help them lower costs, improve quality, and boost their productivity. This also includes increasing market access at home and abroad.
As the most advanced stream, the minimum available grants tally in at $5 million, up to a maximum of $25 million. Eligible applicants must match this amount, whether in cash or in kind. This funding (from municipal, provincial, and federal governments) cannot be higher than 66% of eligible product costs. The fund releases payments on a five-year term, with the possibility to renew into a second five-year term.
Each stream has different selection criteria that are characteristic of the most successful applicants. Projects need to be financially feasible while aligning with the Jobs and Prosperity Funds underlying goals to enhance productivity, increase innovation, and raise the market access of Ontario businesses on a global scale. While this government funding business opportunity applies more to larger than smaller enterprises, if you meet the criteria, you will certainly have a good chance in the selection process. Let our expert and experienced team at INAC increase your odds in the selection process. We can get you started on your application today.