New Businesses:
Manufacturing

New Businesses:
Manufacturing

FAQs

How long does the application process take? How much funding can I receive? What if I don't have 100 percent ownership in my business? I want to take training to develop specific management skills. Can ABC assist me?

Companies primarily engaged in the physical or chemical transformation of materials into new products are considered to be manufacturing businesses.

• Manufacturing businesses may own the materials they transform or they may transform materials owned by others.
• Manufacturing products may be finished (ready-to-be used or consumed) or semi-finished (a material for another business to use in further manufacturing).
• Manufacturing may take place in factories or in workers' homes, using either machinery or hand tools.

Eligibility Criteria

To be eligible for ABC support to start or establish a manufacturing business you must:

• be of Aboriginal heritage (Status or Non-status Indian – located on or off-reserve – Métis or Inuit); and
• have a minimum of 15 percent cash equity to invest in the total eligible project costs. (This may increase depending on your financial capacity to bear more of the costs. At least one half of your equity must come from personal resources.).

Additional Considerations

• You may be required to take additional training in management, financing or other areas that address the needs of the business.
• You must demonstrate operational and management expertise appropriate to your ownership and control position in the proposed business.
• You must demonstrate that your business has the capacity to be profitable.
• You must be involved in a full-time management capacity whether the proposed business operates seasonally or year round.

Overview of Supported Activities

Aboriginal Business Canada uses the North American Industry Classification System (sections 31 to 33) to determine if the proposed business activity is eligible for support.

The following special considerations may apply to your project:

• Electric Power Generation – Although not listed in sections 31 to 33 of the North American Industry Classification System, the following activities are eligible for support:

  Hydro-Electric Power Generation – This industry comprises establishments primarily engaged in the generation of electricity using hydro-electric generation processes. Establishments that use pumped hydro storage generation processes are included.

  Other Electric Power Generation – This industry comprises establishments not classified to any other industry, primarily engaged in the generation of electricity, such as wind, solar or tidal power generation.

Note: Support for electric power generation projects is limited to covering pre-feasibility and pre-development costs, such as proposal development, negotiations, legal fees and other "soft costs" required to obtain project financing.

If you are seeking support from ABC to acquire a business, please refer to our acquisitions policy for important information.

Eligible Project Costs

For projects involving start-up or acquisition of a business, ABC can support:

• capital costs,
• costs associated with the purchase of shares and assets,
• operating costs,
• marketing costs,
• costs associated with obtaining financial services and business services, and
• costs associated with obtaining appropriate training and/or mentoring services.

Applying to ABC for Support

Now that you have reviewed our eligibility criteria and other important information, you are ready to proceed to the next section. This section will explain the application process for ABC support.

Questions? Please review our Frequently Asked Questions or contact a development officer at an office location near you.

Before You Apply | Applying to ABC | Once a Project is Approved | Once a Project is Completed