Top 10 Grants and Subsidies Every Food Entrepreneur in Ontario Should Know

Discover the top 10 grants and subsidies essential for food entrepreneurs and CPG companies in Ontario to help grow and innovate their businesses.

Published:
Aug 2024

Ontario offers numerous opportunities for food entrepreneurs and Consumer Packaged Goods (CPG) companies to thrive. If you’re looking to start or expand their business, grants and subsidies can provide the financial support you need to bring innovative products to market.This comprehensive guide will explore the top ten grants and subsidies available for food entrepreneurs and CPG companies in Ontario.

1. Starter Company PLUS

The Starter Company Plus program is offered by multiple Ontario regions or Small Business Enterprise Centres (SBEC) to help entrepreneurs start or grow their small businesses. This program provides training, mentoring, and grant opportunities, making it an excellent resource for food entrepreneurs who are looking to launch or expand their businesses.

  • Eligibility: Entrepreneurs who are starting or growing a small business.
  • Funding: Grants up to $5,000.
  • Focus Areas: Business startup, growth, and sustainability.

2. Agri-Innovation Program (AIP)

The Agri-Innovation Program (AIP) is part of the broader Canadian Agricultural Partnership (CAP) initiative. It aims to accelerate the development and adoption of innovative products, processes, and technologies that enhance the competitiveness of the agri-food sector. Food entrepreneurs and CPG companies can apply for funding to support research, development, and commercialization projects.

  • Eligibility: Small and medium-sized enterprises (SMEs) in the food and beverage industry.
  • Funding: Up to 50% of project costs, with a maximum contribution of $2 million.
  • Focus Areas: Product development, process improvement, technology adoption, and commercialization.

3. Tourism Growth Program - Southern Ontario

Due: September 17, 2024

The Tourism Growth Program supports the recovery and growth of Southern Ontario's tourism sector by funding projects that enhance tourism experiences, attract visitors, and create jobs. This program focuses on innovative projects that stimulate the regional economy and build resilience in the tourism industry.

  • Eligibility: Eligible applicants include incorporated businesses, Indigenous organizations, not-for-profits, and municipalities within Southern Ontario.
  • Funding: Provides non-repayable contributions for up to 50% of eligible project costs, with a maximum contribution of $5 million.
  • Focus Areas: Projects that develop or enhance tourism experiences, drive visitor demand, and create or maintain jobs in the tourism sector.

4. Northern Ontario Heritage Fund Corporation (NOHFC) – Northern Business Opportunity Program

The NOHFC’s Northern Business Opportunity Program provides financial assistance to businesses in Northern Ontario, including food entrepreneurs and CPG companies. This program aims to stimulate economic growth and job creation in the region by supporting new and expanding businesses.

  • Eligibility: Businesses located in Northern Ontario.
  • Funding: Up to 50% of project costs, with a maximum contribution of $1 million.
  • Focus Areas: Business expansion, equipment purchases, and market development.

5. Ontario Agri-Food Research Initiative (OAFRI)

The Ontario Agri-Food Research Initiative (OAFRI) funds research and innovation projects that address key challenges in the agri-food sector. Food entrepreneurs and CPG companies can access funding to support projects that enhance food safety, improve sustainability, and increase the competitiveness of Ontario’s agri-food industry.

  • Eligibility: Researchers, businesses, and industry associations in the agri-food sector.
  • Funding: Variable, depending on the scope of the project.
  • Focus Areas: Food safety, sustainability, and competitiveness.

6. Canada Small Business Financing Program (CSBFP)

The Canada Small Business Financing Program (CSBFP) helps small businesses access financing for capital investments, including equipment, real estate, and leasehold improvements. Food entrepreneurs and CPG companies can use this program to secure loans for business expansion and modernization.

  • Eligibility: Small businesses in Ontario with gross annual revenues of $10 million or less.
  • Funding: Loans of up to $1 million, with a maximum of $350,000 for equipment and leasehold improvements.
  • Focus Areas: Business expansion, modernization, and capital investments.

7. Southwestern Ontario Development Fund (SWODF)

The Southwestern Ontario Development Fund (SWODF) provides financial assistance to businesses in Southwestern Ontario, including food entrepreneurs and CPG companies. This fund supports projects that create jobs, attract investment, and stimulate economic growth in the region.

  • Eligibility: Businesses located in Southwestern Ontario.
  • Funding: Up to 15% of eligible project costs, with a maximum contribution of $1.5 million.
  • Focus Areas: Business expansion, job creation, and capital investments.

8. Eastern Ontario Development Fund (EODF)

Similar to the SWODF, the Eastern Ontario Development Fund (EODF) supports businesses in Eastern Ontario. Food entrepreneurs and CPG companies can apply for funding to support projects that drive economic development, create jobs, and increase competitiveness in the region.

  • Eligibility: Businesses located in Eastern Ontario.
  • Funding: Up to 15% of eligible project costs, with a maximum contribution of $1.5 million.
  • Focus Areas: Business growth, job creation, and market expansion.

9. Promoting Agriculture and Food Careers Initiative

The Promoting Agriculture and Food Careers Initiative is designed to attract and retain talent in Ontario's agriculture and food sectors by supporting projects that raise awareness of career opportunities and provide skill development. The initiative aims to strengthen the agricultural workforce by encouraging youth and underrepresented groups to consider careers in these fields.

  • Eligibility: Eligible applicants include not-for-profit organizations, industry associations, educational institutions, and Indigenous groups based in Ontario.
  • Funding: Provides up to 70% of eligible project costs, with a maximum contribution of $100,000 per project.
  • Focus Areas: Projects that promote career awareness, offer training and development programs, and engage youth and underrepresented communities in agriculture and food-related careers.

10. Digital Main Street Program

Due: September 30, 2024

The Digital Main Street program offers micro-grants to help small businesses, including food businesses, improve their online presence. This program provides funding and resources to help entrepreneurs adopt digital tools, build their online brand, and reach new customers.

  • Eligibility: Small businesses in Ontario, including food entrepreneurs.
  • Funding: Micro-grants up to $2,400.
  • Focus Areas: Digital transformation, online presence, and e-commerce.

Conclusion

Ontario's food entrepreneurs and CPG companies have access to a wide range of grants and subsidies that can help them grow their businesses, innovate, and contribute to the province's economy. Whether you're looking to develop new products, expand your operations, or enter new markets, these funding opportunities can provide the financial support you need to achieve your goals.

As you navigate the application process, it's essential to carefully review each program's eligibility criteria and funding guidelines to ensure your project aligns with the objectives of the grant or subsidy. By taking advantage of these opportunities, you can position your business for long-term success in Ontario's dynamic food industry.

Note: The information provided in this article is for general informational purposes only and does not constitute professional advice. Always consult with a financial advisor or legal expert before applying for any grants or subsidies.

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Next post:

Ghost vs. Shared vs. Leased Kitchens

Discover the key differences, benefits, and drawbacks of ghost kitchens, shared kitchens, and leased kitchens to choose the perfect kitchen space for your food business.
I produce our product on demand to sustain the brand and prioritize cash flow, avoiding excess inventory. That’s why I’m a client.
Catherine Chen Founder, CC Spicy

Catherine Chen
Founder, CC Spicy

Frequently
Asked Questions

Find answers to common questions about booking kitchen space.

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Who is Syzl for?

Syzl is for anybody who needs certified kitchen space.Are you a home cook who needs a bigger kitchen for an event?Maybe you're a professional chef who needs a kitchen for recipe testing.Or maybe you're a new food entrepreneur looking to expand your menu offerings but are worried about provincial regulations.No matter who you are, we have you covered if you need a kitchen.

Do I need insurance?

Many Kitchen Hosts on Syzl require that Food Makers have (and provide proof of) $2-5 million in Commercial General Liability (CGL) Insurance to book and use their kitchen. Likewise, Syzl strongly recommends that you obtain insurance for yourself/your business so that you are protected in the event that you are found legally responsible for injuries caused to another person or damage to their property.

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Syzl has partnered with Zensurance to recommend various types of insurance coverage specific to small businesses in the food industry. They have specialized experience with this category and will help you tailor a policy to work for your business.

How do I get paid for my kitchen?

Ready to accept bookings? Let’s ensure you are set up to receive compensation! Syzl partners with Stripe in order to complete secure payments.

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Set up your wallet

Before you start receiving payments, you need to set up your Wallet directly in the Syzl app. Please ensure you have a piece of ID on hand (i.e. passport, driver’s licence, or ID card)

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Here’s how:

  1. Sign in to the Syzl app and navigate to ‘Wallet’.
  2. Once you select ‘Wallet’, you’ll need to select ‘get a stripe account’.
  3. Enter your email and phone number. Stripe will use your phone number to send a verification code.
  4. Once you’ve entered your verification code, you’ll be prompted to enter your legal name, date of birth, and home address.
  5. After this, you’ll have to select which bank account you want to use to receive payouts.
  6. Enter your account details, including the transit number, institution number, and account number. Double check that the numbers are accurate before submitting.
  7. At this point you’ll be asked to verify your identification by uploading a piece of ID.

That’s it, you’ve set up your wallet and can start receiving payments!

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How much does it cost?

At Syzl, our mission is to provide affordable access to certified kitchens for Food Makers of all types, from professional chefs to new entrepreneurs and everyone in between!

Signing up and browsing our app is completely free! 💪 Here are the expenses you will incur when you find a kitchen you want to rent:

  • Hourly rates will vary by kitchen. Kitchen Hosts have the final say regarding what it costs to use their space. Kitchen Hosts are encouraged to set their rates to suit their individual business needs while considering what their kitchen offers to Food Makers regarding location, specialized equipment, availability, etc.
  • Sales tax will be calculated on the total and is visible on your receipt. We recommend contacting your accountant if you have questions about charging or paying sales tax for your business.
  • A Maker booking fee of 4% is also applicable to each booking. This fee is calculated on the amount before tax and is also visible on your receipt. Please get in touch with your business accountant to determine how your business might handle claiming this expense.

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Are the kitchens clean?

Cleaning up thoroughly after your booking is a great way to build good will with your host for future bookings

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Do I need to clean up when I'm done?

Definitely! It is your responsibility as a maker to leave the space the way you found it when you arrived.

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We add an additional hour to your booking (2 hours if your booking is 8+ hours), so you have enough time to thoroughly clean the space when you're done. We also allow, where available, an extension of time should you be running short at the end of your booking.

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What happens if the space wasn’t clean when I arrived?

If the space was not clean when you arrived, please take pictures as evidence and forward them to our team so that we can get in touch with the host.

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