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Introduction [Index]
Enterprise Cape Breton Corporation delivers various programs that
provide direct assistance to business and entities that provide support to
business. The overall objective of this assistance is to cause a positive long
term economic impact for Cape Breton Island and the Mulgrave area. Each project
is assessed against three basic criteria:
- viability/sustainability
- need/incrementality
- assessed net economic impact on the region
Projects can be commercial or non-commercial in nature and assistance is
designed for both capital and business improvement investments. The following
guidelines are provided to assist potential clients when considering an
investment that might require our assistance.
We have provided this information for some of the common sectors we assist (a
list of ineligible or unsupported industries is also attached). This is not a
complete list of sectors we assist and guidelines for assistance are provided
for capital projects (Part A); business improvements (Part B) or for
non-commercial projects (Part C) for any sector we assist.
We encourage you to contact our Account Managers and Development Officers to
discuss your project ideas. A list of key contact and contact information is
provided in Section E.
Principles for Commercial Projects [Index]
This section provides guidance on factors considered when evaluating
applications for assistance which have been deemed to be in an eligible
industry. Each question has to be addressed.
- Does the project fit in the priority sectors of ECBC or ACOA?
- Does the project fall within the policies of ECBC or ACOA ?
- Is there an equity injection by the applicant? (20% minimum)
- Will the project create long term sustainable employment on Cape Breton
Island?
- Will there be exports off island, to the rest of Canada, and internationally
or will there be import substitution?
- Will there be a significant impact on competition within Atlantic Canada?
- Is the activity incremental?
- What is the rate of return to Canada’s investment? i.e. the amount of taxes
generated by Canada’s investment in the project over its first next three years
(projects over $100,000)?
- What will be the economic impact on Cape Breton Island (projects over
$100,000)?
- How much assistance is needed to make the project viable?
- Is an environmental plan needed?
- Is the applicant current on all repayments?
- Is the assistance per job reasonable?
Principles for Non-Commercial Projects [Index]
This sector provides guidance on factors considered when evaluating
applications for assistance which have been deemed to be in eligible industries.
Each question has to be addressed.
- Does the project fit in the priority sectors of ECBC or ACOA?
- Does the project fall within the policies of ECBC or ACOA?
- Is there a direct link to increased activity of identifiable businesses?
- Will the project help to support long term sustainable employment on Cape
Breton Island?
- Does the project require ongoing government financial assistance?
- Will the activity be incremental?
- Will the economic impact on the local community be significantly positive?
- Will the project involve skills training?
- Is there a need for an environmental plan?
- Are there other financial partners?
- Is the applicant making a financial contribution?
- Does the applicant have a positive track record with ECBC?
- Will the project lead to private sector investment?
- Does the applicant have the skill mix in the organization to implement the
project?
- Does the community have a development plan and is the project consistent
with the plan?
Fixed Roof Accommodations [Index]
What is the Policy?
ECBC may provide repayable assistance up to 50% of the eligible capital costs
to the maximum of $500,000 for an establishment or expansion project for four
star or higher country inn/bed and breakfast (en-suite bath), four star or
higher resort and three star or higher cottages. Consideration may be given
toward the establishment or expansion of 3.5 star or higher motel and hotel
facilities. Applications will only be considered if it can be
clearly demonstrated that they have the ability to capitalize on the strong
growth in the incentive travel markets. Consideration will only be given to
properties in an area where demand warrants more rooms.
ECBC may provide repayable assistance of up to 50% of the eligible capital
costs, to the maximum of $500,000 for modernizing existing properties which
result in a fundamental transformation of the property. Cottages on or adjacent
to the water and motels must attain at least a three star rating, country inns,
hotels, resorts, and bed and breakfasts, must attain at least a 3.5 star
rating.
All other types of accommodation projects are not eligible for assistance
unless it can be clearly demonstrated, to the satisfaction of the Corporation,
that a unique product is being offered.
Why the Policy?
- Tourism is a growth industry for Cape Breton and the sector is forecast to
continue to grow
- Many areas of Cape Breton have sufficient fixed roof accommodations, but
there are a few gaps in the accommodation infrastructure which this policy
addresses
- ECBC wishes to encourage needed investment in fixed roof accommodations and
sustainable employment in the industry
How do I Qualify?
- Demonstrate that the project is incremental and that you need the assistance
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Tourism Attractions [Index]
What is the Policy?
ECBC may provide to businesses repayable assistance up to 50% of the eligible
capital costs to a maximum of $500,000 for the construction of new or the
expansion of existing attractions which are aimed at attracting tourists to Cape
Breton Island.
ECBC may provide to businesses repayable assistance to cover up to 50% of
eligible capital costs up to a maximum of $500,000 for the modernization of
existing attractions aimed at attracting tourists to Cape Breton Island.
A tourist attraction is a permanent facility, natural feature or recreational
service which has sufficiently broad appeal to result in the local area becoming
a target stop-over for tourists. No assistance will be provided to attractions
targeting Cape Breton Islanders.
Why the Policy?
- Cape Breton Island has excellent world class attractions such as scenery,
National Parks and Museums. ECBC wishes to encourage the investment needed to
develop attractions that complement these attractions with a priority to
attractions targeting interprovincial and international tourists
- ECBC wants to increase the length of stay and expenditure levels of tourists
visiting Cape Breton
How do I Qualify?
- Demonstrate that the project is incremental and that you need the assistance
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Oil & Gas [Index]
What is the Policy?
ECBC may provide to businesses repayable assistance of up to 50% of the
eligible capital costs, of new projects, expansion or modernization projects for
products or services that will be sold to the offshore oil and gas industry.
ECBC may provide at designated ports repayable assistance of up to 50% of the
eligible capital costs for non wharf infrastructure to meet the needs of an oil
and gas supply base operation for suppliers to the offshore oil and gas
industry.
Why the Policy?
- The oil and gas industry has the potential to create numerous opportunities
for Cape Breton Island and Mulgrave area companies
- ECBC wishes to ensure that Cape Breton businesses have the skills and
resources necessary to compete for the business opportunities
- ECBC wishes to ensure that a Cape Breton port has the infrastructure to be
competitive in bidding for supply base operations serving the offshore oil and
gas industry
How do I Qualify?
- Demonstrate that the project is incremental and that you need the assistance
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Boat Building Sector [Index]
What is the Policy?
ECBC may provide unsecured or secured interest free repayable contributions
of up to 50% of the eligible costs associated with the establishment of new boat
yards, expansion of existing plants and properties and the modernization of
existing facilities resulting in quality improvements in the manufacturing
process.
It must be demonstrated that the costs are being incurred for the purpose of
servicing export sales opportunities and/or incorporating quality
improvements/technology upgrades to the manufacturing process. Boat yards which
are servicing the domestic marketplace will be eligible for capital assistance
toward the modernization of existing facilities where demand is demonstrated and
there is clearly identifiable net economic benefit to the region as a result of
the project.
Why the Policy?
- The domestic commercial fishing boat market segment is currently well served
and remains competitive, therefore further incentives are excluded
- There is an unsatisfied demand for good quality, custom-built pleasure boats
in the United States. American Brokers are increasingly seeking local suppliers
to meet this market demand, and top quality, well appointed Nova Scotia yachts
are seen to be meeting these needs
- The focus for assistance will be targeted to an increased export capacity to
supply contemporary high quality pleasure boats
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance provided
- Applicants must clearly demonstrate how the project will:
- generate new export sales for the province and/or region of the province;
- improve quality standards to meet recreational boat export requirements;
- create new and/or maintain full-time jobs and;
- serve new markets and not have an adverse impact on competitors
- Demonstrate the ability to meet the Nova Scotia Boat Builders Association's
proposed quality standards initiative
How do I Apply?
New Technology & Knowledge-Based [Index]
What is the Policy?
ECBC may provide to businesses in new technology and knowledge based
industries repayable assistance of up to 50% of the eligible capital costs of
new establishments, expansions or modernizations.
Why the Policy?
- The knowledge based and new technology industries are projected to grow at a
faster rate than other industries
- ECBC believes that there are opportunities for Cape Breton Island and
Mulgrave area companies in this sector
- ECBC wishes to encourage private sector investment in this sector
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Aquaculture [Index]
What is the Policy?
ECBC may provide repayable assistance to businesses of up to 50% of eligible
capital costs, to a maximum of $500,000 for a new establishment, modernization
or expansion project on Cape Breton Island or the Mulgrave area.
Why the Policy?
- The consumer demand for seafood continues to grow which makes aquaculture a
growth opportunity
- Aquaculture as a industry is very suitable to the geographic rural economic
position of Cape Breton
- Aquaculture is a knowledge based industry and will enhance the competitive
skills of Cape Breton in this growing sector
- ECBC wishes to encourage entrepreneurs to increase the quality, efficiency
and output of farmed species
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Food Processing [Index]
What is the Policy?
ECBC may provide to businesses repayable assistance of up to 50% of the
eligible capital costs of a new establishment, modernization or expansion
project which produces value added food products.
Why the Policy?
- ECBC wishes to encourage value added processing of primary products
- Capital improvements can lead to improved quality and efficiency in the food
processing sector leading to increased competitiveness in a growing global
marketplace
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Other Manufacturing & Processing [Index]
What is the Policy?
ECBC may provide repayable assistance to businesses of up to 50% of eligible
capital costs, to a maximum of $500,000 for a new establishment, modernization
or expansion project on Cape Breton Island or the Mulgrave area.
Why the Policy?
- Cape Breton and the Mulgrave area have an extensive history in manufacturing
and processing with the potential for growth, particularly in supply of markets
in Canada and internationally
- ECBC and industry recognizes the need to leverage and encourage bank and
private sector financing in this sector
- Improved capacity and the adoption of new technology helps this sector
compete to create sustainable employment for Cape Breton
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Human Resources [Index]
What is the Policy?
ECBC may provide to businesses repayable assistance of up to 75% of the costs
to hire human resource and/or marketing experts to develop and implement a
human resource and/or marketing plan (see Marketing Activity Assistance).
Assistance is also available to hire personnel to achieve product certification
and ISO 9000 designation. The maximum level of assistance for a second
application is 65% and 50% for any further applications.
For industry groups or associations which are open to all industry members,
represent the majority of the industry and wish to undertake any of the above
activities, non-repayable assistance is available for up to 50% of the eligible
costs.
Why the Policy?
- ECBC recognizes that to be competitive, market its product/ service and
retain qualified staff the business should have relevant human resource
development and marketing plans to achieve full potential growth
- Increasingly over the past decade growth and competitiveness are most
impacted by a business's ability to provide higher quality products and services
to new higher volume markets
- ECBC also recognizes that planning, training and marketing is an investment
with long term reward that is difficult to finance. ECBC is prepared to help
provide much needed financing to assist the growth of firms in the new economy
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Innovation Assistance [Index]
What is the Policy?
ECBC may provide provisionally repayable assistance to businesses up to 75%
of the costs of undertaking approved innovation projects. Innovation projects
usually include the costs of labour, materials, subcontracts and direct overhead
to investigate or develop new technology or services that could lead to
commercial development for the benefit of the region.
For industry groups or associations which are open to al industry members,
represent the majority of the industry and wish to undertake innovation
projects, non-repayable assistance up to 75% is available to cover eligible
costs.
Why the Policy?
- ECBC recognizes that to be competitive in the global economy business must
innovate to improve or develop new products and services
- ECBC also recognizes that innovation is an investment with potential long
term benefits and accordingly is difficult to finance without assistance
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project objectives and methodology are clearly
understood
- Demonstrate that you will be able to repay the assistance through
commercialization of the product of innovation
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Marketing Activity Assistance [Index]
What is the Policy?
ECBC may provide repayable assistance to businesses up to 75% of the costs of
undertaking approved marketing activities, such as developing a human resource
or marketing plan, designing new labels, packaging, promotional materials,
product demonstrations and participation at trade shows.
Where assistance is provided for the first time, assistance for marketing
activities up to $70,000 can be repayable based on incremental sales
The maximum assistance for subsequent applications by the business will be up
to 50%.
For industry groups or associations which are open to all industry members,
represent the majority of the industry and wish to undertake a human resource or
marketing plan, non-repayable assistance up to 50% is available to cover
eligible costs.
Why the Policy?
- ECBC recognizes that to be competitive in the global economy, business must
have a human resource/marketing plan and must be able to fully market their
products or services
- ECBC also recognizes that implementation dollars are expended before sales
and cash flow begin
- ECBC also recognizes that planning, training and marketing is an investment
with long term reward that is difficult to finance. ECBC is prepared to help
provide much needed financing to assist the growth of firms in the new economy
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Studies Assistance [Index]
What is the Policy?
ECBC may provide repayable assistance up to 75% of the costs of undertaking a
business plan, a feasibility study, investigate licensing opportunities, conduct
a venture capital search, a technology transfer search, best practices study or
mentoring services to improve your business skills.
For industry groups, community groups or associations which are open to all
industry members, represent the majority of the industry and wish to undertake
any of the above activities, non-repayable assistance is available to cover up
to 50% of the eligible costs.
Why the Policy?
- ECBC recognizes that to be competitive in the global economy the business
must have relevant and timely information
- ECBC also recognizes that planning and investigation dollars are expended
before sales and cash flow begin and it is difficult to source other financing
for these activities where they are typically greater than $10,000
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is viable
- Demonstrate that you will be able to repay the assistance
- Demonstrate that the project will generate a positive net economic impact on
Cape Breton Island and the Mulgrave area
How do I Apply?
Investment Prospecting & Trade Misson/Show [Index]
What is the Policy?
ECBC intends to organize a minimum of six to ten investment/trade missions
outside Atlantic Canada each year and may provide financial assistance to
businesses to participate in these missions to help them to develop markets for
their products and services or find investment. Participation on the missions is
limited. The level of non-repayable assistance will be up to 75% for the first
time a business participates in a mission, up to 65% for the second time and up
to 50% thereafter.
Should you wish to participate in your own trade activities, see policy
related to Marketing Activity Assistance
The eligible costs for assistance are the economy airfare (or lower rate) and
the hotel room accommodation. The business is responsible for 100% of all other
costs such as meals, taxi's, entertainment.
Why the Policy?
- ECBC has identified tourism/environmental remediation, knowledge based, oil
and gas and resource processing as priority sectors for its investment
prospecting, trade mission policy
- ECBC wants to encourage businesses to invest in and develop within these
sectors
- ECBC will be organizing missions within these sectors to assist businesses
to capture new export markets
How do I Qualify?
- Demonstrate export readiness
- Demonstrate that the trade mission/trade show will generate a positive net
economic impact on Cape Breton Island and the Mulgrave area
How do I Apply?
Non-Commercial Projects [Index]
What is the Policy?
ECBC may provide non-repayable assistance of up to 50% of eligible costs, up
to maximum assistance of $500,000, to non-profit organizations to implement
projects related to the priority sectors of oil and gas, tourism/environmental
remediation, resource and knowledge based which will create the conditions
necessary for economic development on Cape Breton Island and the Mulgrave area.
ECBC may also provide assistance toward projects which focus on community
economic development. These projects will have a direct link to long term
sustainable employment creation and economic activity.
Preference will be given to revenue generating activities. The applicant must
demonstrate that the project can continue without ongoing government financial
assistance. Projects that are not sustainable without ongoing government
assistance will not be approved.
Why the Policy?
- ECBC has identified priority sectors which should be able to create long
term sustainable employment
- Within the priority sectors there may be projects of a non-commercial basis
that are necessary for the sector to achieve optimum growth. This policy allows
for ECBC to contribute to the funding of these projects
How do I Qualify?
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is feasible
- Demonstrate that the project is sustainable
- Demonstrate that the project will have a positive economic impact
- Demonstrate that the project leads to sustainable job creation
How do I Apply?
Infrastructure Assistance [Index]
What is the Policy?
ECBC may provide repayable contributions to businesses and business groups up
to 50%, up to maximum assistance of $500,000, of the eligible capital costs to
develop the business infrastructure necessary to create long-term sustainable
employment.
The project must be in support of incremental business activity which
demonstrates a direct link to long-term sustainable job creation, be export or
import substitution oriented and not require ongoing government financial
support.
Why the Policy?
- The business community needs to have the conditions necessary for economic
growth
- This policy offers assistance to businesses and business groups to create
the conditions necessary for economic growth
How do I Qualify?
- Demonstrate that there is an agreement to maintain the infrastructure in
good condition
- Demonstrate that you need the assistance to undertake the project
- Demonstrate that the project is feasible
- Demonstrate that there is a financial commitment by the applicant and/or
other funding partners
- Demonstrate the potential economic benefits including long term sustainable
employment
How do I Apply?
Ineligible or Unsupported Industries [Index]
This list of ineligible industries reflects the established policies
under ACOA and ECBC programming, as well, it reflects ECBC's continued emphasis
on providing assistance in a manner that is consistent with our mandate - long
term, sustainable job creation. As such, our focus is on providing assistance to
projects that enhance the competitiveness of firms, that increase trade and
investment opportunities, and on projects that create an environment supportive
of innovation, entrepreneurship, job creation and the generation of wealth. Due
to issues of competitive impact or focus of mandate of ECBC the following
sectors or activities are not usually assisted.
- Agriculture - the growing, raising and harvesting of farm products
- Fishing - the harvesting of fish in the wild
- Forestry - the growing, raising and harvesting of forest products
- Projects involving increases in the productive capacity in primary fish
processing
- Traditional services provided by lawyers, consultants, accountants,
surveyors etc
- Wholesale and retail
- Government services
- Services of a personal or social nature (e.g. seniors housing, home care)
- Projects involving increases to the slaughtering capacity in the red meat
industry
- Projects involving increases in the manufacturing capacity in the Canadian
window and door industry for Canadian markets
- Leaf tobacco industry and related services
- Refined petroleum industries except lubricating oil, greases and natural gas
- Office furniture and related machinery rental
- Establishment or expansion of a restaurant/bar not directly related to a
tourism facility
- Shipbuilding
- Coal mining
- Web page design
- Printing
- Desk top publishing
- Non-exporting craft production, including silk screening, embroidery
- Sign manufacturing
- Gravel pits
- Non-tourism related recreational facilities
- Municipal infrastructure (water, sewer, curb, gutter, traditional)
- Wharves, piers, breakwaters, docks
- Establishment of new private colleges
- Core funding except for RDA’s, CBDC’s and Tourism Cape Breton
- Projects involving increases in the productive capacity in softwood mills
(hardwood mills and value added softwood processing are eligible)
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