Advanced manufacturing is a growing sector, and it has the potential to foster innovation in other sectors as well as economic growth. The government of Ontario wants to provide support to companies in the Advanced Manufacturing sector.
The Regional Development Program has an Advanced Manufacturing and Innovation Competitiveness Stream to provide financial support to advanced manufacturing companies. The focus of the program will be on small and medium-sized businesses across Ontario. The program will offer financial support and complementary services to businesses.
The fund was created to support projects that will help businesses adopt technologies that improve their competitiveness. It is also to help attract and encourage private sector investment to create jobs and build talent. Businesses are encouraged to focus on growth, and projects that have broad economic impacts. Projects are meant to encourage innovation, collaboration, and cluster development.
Type of Funding available
This program will cover up to 15% of eligible project costs through the provision of a grant or a loan.
Businesses will receive up to 15% of project costs up to a maximum of $5 million, which will be interest free during the project period (up to 4 years). If a company achieves their investment and job or upskilling targets, up to 30% of the loan (to a maximum of $500,000) may be forgiven.
Grants are available for specific circumstances. Grants are available up to a 15% maximum of $500,000 for small companies located in rural communities. They are available up to a maximum of 15% of $1.5 million for strategic projects that are foreign direct investments or from companies competing against other jurisdictions or companies with significant reshoring projects.
The fund supports businesses and organizations in advanced manufacturing sectors, which includes:
- Information and communications technology (ICT)
- Life sciences
To be eligible businesses, need to:
- Have at least three years of operations/financial statements
- Employ at least 10 people
- Commit to creating at least 5 new jobs and/or upskilled current jobs
- Invest at least $500,000 in their project
- Be located in, or plan to located in, a community in Ontario
Projects considered eligible will:
- Create jobs and build talent
- Attract and encourage private sector investment
- Help companies adopt technologies which increase competitiveness
- Lead to business growth and broad positive economic impacts
- Encourage innovation, collaboration, and cluster development
Applications for this opportunity will be open from February 1, 2023 – March 16, 2023. Businesses are encouraged to submit their eligibility checklists by March 2nd, 2023, to ensure there is enough time to complete their application.