Small Business Info-Guide - Financial Assistance Programs

What is an Info-Guide?

The Canada/Manitoba Business Service Centre created Info-Guides to help you navigate through the wide range of programs and services in a specific area as well as related regulations that may affect your business venture. Info-Guides featuring other topics of interest are also available by contacting the Canada/Manitoba Business Service Centre at 204-984-2272 (in Winnipeg) or 1-800-665-2019 (toll free in Canada) or by e-mail at manitoba@CanadaBusiness.ca.

TABLE OF CONTENTS

• General Business Financing Programs 
• Aboriginal Business Financing Programs 
• Entrepreneurs with Disabilities
• Rural Business Financing Programs 
• Venture Capital 
• Wage Subsidies
• Youth Financing Programs

General Business Financing Programs

Assiniboine Credit Union Micro Loan Fund
Western Economic Diversification Canada - WD, Assiniboine Credit Union - ACU
Phone: 204-958-8588 or Toll free 1-800-665-2019
Internet: Assiniboine Credit Union Micro Loan Fund

These loans were designed specifically for members of the Assiniboine Credit Union (for at least 6 months) living in Winnipeg who have good business ideas or wish to expand their existing business but are having difficulty obtaining financing from traditional lenders. To be elibible, interested applicants must clearly show a commitment to starting or expanding a small business. Loans of up to $35,000 will be made available for five year terms.

BDC Financing
Business Development Bank of Canada - BDC
Phone: 1-877-232-2269
E-mail: info@bdc.ca
Internet: BDC Financing

Provides term loans to small and medium sized businesses for a variety of commercially viable projects, including expansion projects, plant overhauls, the purchase of existing businesses, and the acquisition of fixed assets. In some cases, the loan may be used to reconstitute working capital depleted by capital expenditures or to finance sales growth. Repayment terms are flexible and structured in accordance with the client's ability to repay.

BDC Subordinate Financing
Business Development Bank of Canada - BDC
Phone: 1-877-232-2269
E-mail: info@bdc.ca
Internet: BDC Subordinate Financing

Subordinate financing provides the capital necessary for a business to fuel its growth or secure its continuity. Subordinate financing is basically a hybrid of debt and equity financing. Eligible activities: Management buy-outs/buy-ins; Mergers and Acquisitions and Working capital for growth. Loans can range from $250 000 to $10 million.

Business Start Program (BSP)
Manitoba Competitiveness, Training and Trade
Small Business Development Branch
c/o Canada/Manitoba Business Service Centre
P.O. Box 2609, 250 - 240 Graham Avenue, Winnipeg, MB, R3C 4B3
Phone: 204-945-7721; 204-945-0037 or Toll free 1-800-665-2019
Fax: 204-983-3852
Internet: Business Start Program

Business Start loans, up to a maximum of $20,000, are available to new owner-managed business across Manitoba. Loans are provided through participating banks and credit unions and guaranteed by the Manitoba Government. A Business Start loan can provide funding for business registration or incorporation costs, equipment and inventory purchases, promotional costs and working capital needs. Loan terms include an attractive prime-plus-one per cent interest rate and a one-year deferral of principal repayment. An equity contribution by business owners of 40 per cent of the requested loan amount is required. The program also provides entrepreneurial training through a free three-day Business Planning Workshop, which is mandatory for all Business Start loan applicants. A comprehensive business plan must be submitted with the loan application.

Buy Equipment
Business Development Bank of Canada - BDC
Phone: 1-877-232-2269
E-mail: info@bdc.ca
Internet: Buy Equipment

Designed for manufacturing and processing companies that want to increase production but need financial support to acquire the necessary equipment.  Loans can range up to $5,000,000 offer flexible repayment terms.  BDC can offer up to 100% of the cost of new and used equipment, with an additional 25% to cover the costs associated with installation and assembly of the equipment and training for the employees who use it.

Canada Council for the Arts - Grants
Canada Council for the Arts
Ottawa, ON
Phone: Toll-free 1-800-263-5588 ext. 4075 or 4138
E-mail: info@canadacouncil.ca
Internet: Grant Programs for Artists and Arts Organizations

The Canada Council for the Arts offers a broad range of grants and services to professional Canadian artists and arts organizations in dance, media arts, music, theatre, writing and publishing, interdisciplinary work and performance art, and the visual arts.

Canada Small Business Financing (CSBF) Program
Industry Canada - IC
Phone: Toll free 1-866-959-1699
E-mail: CSBFA-LFPEC@ic.gc.ca
Internet: Canada Small Business Financing Program

Assists new and existing businesses obtain term loans of up to $250,000 from chartered banks or other lenders to purchase or upgrade fixed assets. To be eligible, a company's gross revenues must not exceed $5 million annually.  Successful applicants are required to pay a one-time administration fee equal to 2% of the loan.  Please note that application is made at the financial institution of your choice and final approval rests solely with the bank or other lender.

Canadian Youth Business Foundation
c/o Canada/Manitoba Business Service Centre
P.O. Box 2609, 250 - 240 Graham Avenue, Winnipeg, MB, R3C 4B3
Phone: 204-984-2272 or Toll free 1-800-665-2019
Internet: Canadian Youth Business Foundation

The Canadian Youth Business Foundation (CYBF) is a national, non-profit organization, whose mission is to inspire, support and promote young Canadian Entrepreneurs who are between 18 and 34 years of age. CYBF garners financial support from both the private and public sectors and uses these funds to administer a loan and mentorship program.  Loan clients are required to work with a business mentor for the duration of their dealings with CYBF.  Unsecured loans of up to $15,000 are available to eligible applicants who have submitted a Business Plan that demonstrates viability.  Community volunteers are utilized to help in making the loan decision.

Cooperative Promotion Board
Margot Cathcart, Business Development Specialist - Cooperative Enterprise
Manitoba Agriculture, Food and Rural Initiatives
Cooperative Development Branch
Phone: 204-726-6207 or Toll-free 1-800-567-7334
Fax: 204-726-6260
E-mail: co-ops@gov.mb.ca
Internet: Co-operative Development Services

Provides small grants for start-up expenses leading to the formation of a cooperative, cooperative education, promotion, research and market development.

Feasibility Studies Program
Mr. Adam Munia, Financial Services
Manitoba Competitiveness, Training and Trade
Phone:  204-945-1453
Fax:  204-945-1193
E-mail: amunia@gov.mb.ca
Internet: Feasibility Studies Program

A cost-shared program for companies considering an investment in Manitoba which could result in the development or expansion of manufacturing, processing or related facilities in Manitoba.  The program covers up to 50% of the cost (to a maximum of $25,000) to hire an independent, arms-length consultant to research and compile a feasibility study or business plan.

Please note that the application for assistance must be approved prior to the consultant commencing work on the project.

Innovation Financing
Business Development Bank of Canada - BDC
Phone:  1-877-232-2269
E-mail: info@bdc.ca
Internet: Innovation Financing

Provides loans of up to $250,000 to innovative businesses positioning themselves to take advantage of global markets by developing or implementing an innovation strategy or industry adaptation, researching and developing new products and services or e-business, buying or developing new technologies for product or process improvement, introducing quality management standards, planning and implementing a marketing plan or growth strategy, training and developing management and staff, or developing foreign markets.

Jubilee Fund
Phone: 204-589-5001
Fax: 204-977-0123
E-mail: jubileefund@shaw.ca
Internet: Jubilee Fund

This non-government fund provides loans and equity investments for small business projects (including worker co-ops), housing and social service projects. Through their investments, the Fund aims to promote self-reliance, dignity, self-respect and a better quality of life for healthier communities.

Manitoba Industrial Opportunities Program (MIOP)
Mr. Jeff Hodge, Financial Services
Manitoba Competitiveness, Training and Trade
Telephone: 204-945-1015
Fax: 204-945-1193
or
Western Regional Office
Brandon, Manitoba
Telephone: 204-726-6250
Fax: 204-726-6403

The objective is to secure significant business investment which would not occur in Manitoba without provision of some level of government assistance. The Program provides secured loan or loan guarantee assistance (typically range from $300,000 to $5.0 Million) to recipient companies in return for fixed asset investment and long-term job creation.

NRC Industrial Research Assistance Program (NRC-IRAP)
National Research Council Canada - NRC
Phone:  204-983-0092 or Toll free - 1-877-994-4727
Fax: 204-983-8835
Internet: Industrial Research Assistance Program - IRAP

This service provides technical and business advisory services, coupled with funding opportunities. This program is accessible to Canadian small & medium enterprises (500 employees or less) that are incorporated.

The Co-operative Loans and Loans Guarantee Board
Manitoba Agriculture, Food and Rural Initiatives
Phone: 204-945-4451
Fax: 204-945-6134
E-mail: co-ops@gov.mb.ca
Internet: Co-operative Development Services

Offers loan guarantees to co-operatives establishing or expanding their activities.  To qualify, applicants must demonstrate that they are unable to obtain financing from other sources such as chartered banks, credit unions or other financial institutions on reasonable terms.   Funds must be used to productive purposes, including the purchase of building or equipment, renovation, expansion or operational expenses.

SEED Winnipeg Inc. - Supporting Employment & Economic Development
Phone: 204-927-9935
Fax: 204-927-9930
E-mail: info@seedwinnipeg.ca
Internet: SEED Winnipeg

Assists low-income individuals or groups to establish small businesses by providing business planning, assistance, training, and after-care services. Business Loans of up to $10,000 are available through a partnership with Assiniboine Credit Union. SEED's Business Development Program also provides access to the Enhanced Self Employment Program for individuals who are on income assistance. SEED clients are also able to access other loan funds through its program.

Self-employment Program - SE
Human Resources and Social Development Canada - HRSDC
Winnipeg Coordinators:
YMCA/YWCA Employment Services - 204-989-5860
Meyers Norris Penny - 204-775-4531
CDEM (francophone delivery) - 204-925-2834
Rural Manitoba - Contact your local Employment Office (a listing is available through the following website): Service Canada

Assists eligible individuals with a viable business idea to create their own employment by providing the training and support necessary to start a business.  To be eligible, applicants must currently be receiving Employment Insurance (EI) benefits, be eligible for Employment Insurance Benefits or have received EI/maternity/parental benefits within the last few years.  Participants are selected through a comprehensive review process.  Successful applicants may receive business-planning support for up to 52 weeks and income support for up to 39 weeks.  Participants may also be eligible for personal supports such as assistance for disabilities, transportation and dependent care.  If you have a disability, you may receive assistance for up to 78 weeks.

Sell a business
Business Development Bank of Canada - BDC
Phone: 1-877-232-2269
E-mail: info@bdc.ca
Internet: Sell a Business

This Program makes consulting and financing solutions available to Canadian entrepreneurs who, must plan the succession of their business. Under the program, financing is available for both tangible and intangible assets.

Starting a business
Business Development Bank of Canada - BDC
Phone: 1-877-232-2269
E-mail: info@bdc.ca
Internet: Starting a Business

Offers customized term financing up to $150,000 for new businesses demonstrating long-term viability.  Eligible businesses, in the manufacturing, distribution, services and tourism industries who are at the start-up stage or experiencing their first wave of growth.  The BDC considers each request case by case.  Financing can be used working capital, purchase equipment or commercial real estate, marketing and start-up fees, buying a franchise.

Technology Commercialization Program - (TCP)
Mr. Adam Munia
Manitoba Competitiveness, Training and Trade
Phone: 204-945-1453
Fax: 204-945-1193
E-mail: amunia@gov.mb.ca
Internet: Technology Commercialization Program

Pre-approval is required for all proposed projects.
Offers cost-shared financial assistance (50%) up to $50,000 towards the development of new products and processes or towards the transfer of technology to Manitoba from businesses and institutions. To qualify, proposals must be innovative and contain a high degree of technical content in the product, project or process to be commercialized.  The program contains two elements: New Business Assistance (NBA) and Technology Transfer (TT). Assistance is non-repayable and reimbursed upon proof of payment of approved costs.  Funds can be applied towards certain costs in the pre-production stage such as prototyping, testing, patents, and engineering, or used to help offset the costs of acquiring new technology from research laboratories or other organizations located outside of Canada.

Women's Enterprise Centre of Manitoba
And
Women’s Enterprise Initiative Loan Program
Western Economic Diversification Canada - WD
100 - 207 Donald Street, Winnipeg, MB R3C 1M5
Phone: 204-988-1860 or Toll free 1-800-203-2343
Fax: 204-988-1871
TTY: 204-988-1870
E-mail: wecinfo@wecm.ca
Internet: Women's Enterprise Centre

Offers a range of services intended to help new and existing women entrepreneurs.  These include practical loan options to start or expand businesses which are 50% women-owned and controlled.  There is no minimum loan amount and the maximum loan amount is $100,000.  The Women's Enterprise Centre also offers comprehensive, confidential advice from experienced professionals by appointment and continuous business knowledge development through seminars, mentoring programs, and youth programs.

Young Entrepreneurs Program
Mr. Shaun Hampton, Program Consultant
Manitoba Education, Citizenship and Youth & Manitoba Agriculture, Food and Rural Initiatives
Toll Free: 204-945-4284 or 1-800-282-8069 Ext 4284
E-mail: shampton@gov.mb.ca

This program encourages Manitoba's young people to start their own full-time, year-round business and pursue self-employment as a career choice. Applications are accepted on a year-round basis from youth aged 18 to 29 years. Under the Young Entrepreneurs program, approved applicants are eligible for a reimbursement grant of up to $4000 to help defray business start-up costs and capital expenditures.

All youth interested in applying to the program must submit the completed application prior to their business becoming fully operational and a comprehensive business plan to be considered for approval.

Aboriginal Business Financing Programs

For a complete listing of programs and services for aboriginal business people, please refer to the  Aboriginal Business Info-Guide.

Entrepreneurs with Disabilities

For a complete listing of programs and services for entrepreneurs with disabilities, please refer to the Entrepreneurs with Disabilities Info-Guide.

Rural Business Financing Programs

The following programs are specifically for Manitobans whose businesses are located outside of Winnipeg. For a complete listing of programs and services for entrepreneurs in Rural Manitoba, please refer to the Rural Info-Guide.

Community Futures Program - CFP
Western Economic Diversification Canada -WD
(Call the C/MBSC Toll free at 1-800-665-2019 to find the Community Futures Office for the service location nearest you.)
Internet: Community Futures Office Locator

An economic development initiative for rural communities and businesses.  The program includes strategic community economic planning, small business information and counselling, and repayable loans of up to $150,000 for the creation of a new business or to assist existing businesses expand.

MASC - Loan Guarantee Programs - Rural Entrepreneur Assistance (REA) Program
Manitoba Agricultural Services Corporation - MASC
Phone: 204-945-2180 or 1-800-567-7334
Internet: REA

Helps new and existing businesses obtain equity financing from financial institutions by guaranteeing individual capital loans between $10,000 and $200,000.  Every applicant must attend a two day Business Planning Seminar, before loan funds will be released.  Costs associated with processing the loan are the responsibility of the applicant.  Interest rate is Prime plus one percent.

Manitoba Rural Adaptation Council - MRAC
Phone: 204-982-4790 or Toll free 1-800-216-9767
E-mail: mracinfo@mrac.ca
Internet: Manitoba Rural Adaptation Council - MRAC

MRAC funds 1/3 of total project costs up to a maximum of $300,000.  Priority is given to projects in which industry partnerships have been formed and which are not eligible for funding through other government programs.  Eligible projects include projects which address new value-added products and processes, technical analysis and technical feasibility studies, market and venture assessments, economic feasibility studies, adaptive research, support for engineering prototypes, strategic market plans and strategic business plans.

Rural Economic Development Initiative (REDI) - Feasibility Studies Program
Manitoba Agricultural, Food and Rural Initiatives - MAFRI
Phone: 1-800-567-7334
Internet: (REDI) - Feasibility Studies Program
MAFRI Office Locator

Will cover up to 50% of the cost of hiring an independent consultant for the purpose of researching and compiling a feasibility or business plan.  Approval for funding must be received before commencing with the study. The study may include a financial analysis, market analysis, engineering analysis or a combination relative to the development of a new or expanding business.

Rural Economic Dev. (REDI) Hometown Manitoba
Manitoba Agriculture, Food and Rural Initiatives - MAFRI
Phone: 1-800-567-7334
Fax: 204-945-2362
Internet: (REDI) - Hometown Manitoba

This program provides financial support for rural and northern community projects initiated by local communities, organizations and businesses that enhance "main street" public places and building exteriors. There are two components: Hometown Meeting Places - funding up to a maximum of $5,000; and Hometown Main Streets Enhancements funding up to a maximum of $1,000.

Venture Capital

NOTE: Venture capital is a method of financing whereby a company obtains the funding they need while the venture capitalist receives a piece of the company (often a majority position) and takes an active role in management.  Venture capitalists usually invest in expanding firms and look for rapid growth in order to obtain large scale returns on their investment.

BDC Venture Capital
Business Development Bank of Canada - BDC
Phone:  1-877-232-2269
E-mail: info@bdc.ca
Internet: BDC Venture Capital

Stimulates the formation of and provides venture capital to Canadian businesses in leading-edge industries with a strategic market position and a dynamic management team.  Funds ranging from $500,000 to $3 million can be used to help finance a company's capital-intensive research and development cycle, broaden a company's export markets, or take the company public. The Business Development Bank will actively seek divestiture opportunities once a durable benefit to each party has been achieved.

ENSIS Growth Fund
Phone: 204-949-3700
Fax: 204-949-0591
E-mail: info@ensis.mb.ca
Internet: ENSIS Growth Fund

ENSIS Growth Fund focuses on small and mid-sized Manitoba businesses in the growth stage of development. Target companies typically have established products, customers and distribution channels, as well as experienced proven management teams. Eligible investee companies must have less than $50 million in total assets at the time of investment. ENSIS Growth Fund investee companies must be Manitoba based, generally defined as having a majority of employees in Manitoba.  Size of investments range from $1,000,000 to a maximum of 10 per cent of net assets. Preferred range is $1 to $3 million.

Wage Subsidies

Note: For a complete listing of Wage Subsidies programs, please refer to the Wage Subsidies Info-Guide.

Youth Financing Programs

NOTE: For a complete listing of programs specifically for Young Entrepreneurs between the ages of 18 and 35 years of age, please refer to the Young Entrepreneurs Info-Guide.

Canada/Manitoba Business Service Centre
250 - 240 Graham Ave
P.O. Box 2609
Winnipeg, Manitoba  R3C 4B3
Canada
Telephone: 204-984-2272
Fax: 204-983-3852
Toll-free (information): 1-800-665-2019
TTY Toll-free (hearing impaired): 1-800-457-8466
E-mail: manitoba@canadabusiness.ca
Web site: http://www.canadabusiness.ca/manitoba
Hours of operation: 8:00 a.m. to 5:00 p.m. Monday to Friday

DISCLAIMER
Information contained in this document is of a general nature only and is not intended to constitute advice for any specific fact situation. Users concerned about the reliability of the information should consult directly with the source, or seek legal counsel.

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Some of the hypertext links lead to non-federal government sites which are not subject to the Official Languages Act and the material is available in one language only.