Overview

The Province of Ontario may provide funding up to 15% of eligible costs for projects that support business investment and economic development in the region.

Performance-based loan

  • Loan of up to 15% of eligible project costs (see Appendix A) to a maximum principal amount of $5 million.
  • Loans are interest free during the project period (up to four years).
  • Up to 30% of the loan will be forgiven to a maximum of $500,000 if the company meets its Project Investment Commitment, Cumulative Job Target, and Payroll Target.
  • Financial materials (three years of substantive financial statements and forecasted financials) must demonstrate that the applicant will have ability to meet the repayment requirements for the loan, at the end of the project.
  • Applicants will be required to enter into a loan agreement and provide security satisfactory to the Province.
  • More information can be found in Appendix D.

Performance-based grant

A grant is only offered in two instances:

  • small and rural companies
  • strategic new investments

Small and rural companies

Performance based grant funding up to 15% up to maximum of $500,000.

Small and Rural is defined as:

  • a company and any of its related companies totaling less than 100 FTEs; and
  • located in a municipality with a population of less than 100,000 people, or a population density of 100 people per square kilometre or less, as identified in the most recent Statistics Canada Census of Canadian Population

Strategic new investments

Performance based grant funding is available in very limited circumstances for up to 15% up to max of $1,500,000 for strategic new investments to Ontario (companies without a presence in Ontario), or companies whose investment plans (including new mandates, expansions or reshoring or location/relocation) are subject to significant/substantive risk due to incentives offered from other jurisdictions.

Companies will be asked to provide evidence of jurisdictional competition (e.g. offers of support from other jurisdictions) as well as provide an attestation to confirm jurisdictional competition. Additional documentation may be requested to determine eligibility.

Complementary Supports and Services

Projects may be eligible for non-financial supports that can range to include advisory services, assistance with compliance approvals, and accessing skills and talent.

For example, if your project involves a facility expansion, the purchase of capital machinery and equipment, and support in addressing talent needs, then you may be eligible for supports such as:

  • expedited environmental compliance approvals
  • recruitment support for apprenticeship and skilled trades workforce needs
  • the Canada-Ontario Job Grant
  • support navigating Ontario’s Immigrant Nominee Program

For more information, review the section titled “Complementary Supports and Services” in the application form.