Financial Support for Canadian Small Businesses and Organizations Fighting for Food Security
There has been a ton of news in the past couple of months, and if the COVID-19 pandemic has impacted your business, you probably have a lot more on your mind than surfing the web looking for what support is available.
We’ve put together a list of government funds and programs that have been implemented to help small businesses and various organizations survive the pandemic. Our list focuses on small businesses, Indigenous (First Nations, Inuit, and Métis) businesses, food sovereignty-focused initiatives, and everyone who has been left out by the larger federal support announcements. Feel free to share it among your communities and with anyone who can find it helpful. In addition to the list below, reach out to your regional funding organizations for more local opportunities too.
Local Food Infrastructure Fund
Who: This funding is aimed at community-based, not-for-profit organizations.
Similarily, Abbey Gardens is a local farm and social enterprise in Haliburton, Ontario that uses its Growcer system to provide fresh produce to its community.
The Local Food Infrastructure Fund is specifically for projects that are mostly infrastructure specific, community-driven, and dedicated to improving access to safe and healthy foods for at-risk communities. The funding has been used to support projects such as the purchase of new refrigerated trucks, kitchen equipment, community gardens, equipment needed to prepare, store and distribute food, and the installation of solar panels and irrigation systems.
A new round of applications opened on June 9, 2020, with $43.4 million set aside prioritizing small and large community-led projects. Projects can receive up to $250,000 and applications are continuously being accepted until all the funding is allocated.
You can apply to the Local Food Infrastructure Fund online.
Canadian Emergency Business Account (CEBA)
Who: Canadian small businesses and not-for-profits.
CEBA is an up to $40,000 interest-free loan for your business until Dec. 31, 2022. The loan can provide an influx of cash when it’s needed the most and helps cover operating costs during a time when revenues have reduced. For anyone able, repaying the loan by or on Dec. 31, 2022 results in loan forgiveness of 25% or up to $10,000.
As of June 26, 2020, according to the government’s page, businesses eligible for CEBA now include owner-operated small businesses that do not have a payroll, sole proprietors receiving business income directly, as well as family-owned corporations remunerating in the form of dividends rather than payroll.
You can apply through your bank. Currently, the loan is accessible through 233 financial institutions, including the big banks and local credit unions.
If you are a part of a First Nations, Inuit, and Métis business and are current or former clients of an Aboriginal Financial Institution, you can apply through an Aboriginal Financial Institution for the same support (a $40,000 interest-free loan with $10,000 of that loan as non-repayable, or put simply, doesn't need to be paid back). If you have a relationship already with a major bank - or any on the list of partnering financial institutions - you can access CEBA through them.
Regional Relief and Recovery Fund
Who: Business owners and support organizations who haven’t been able to access other federal emergency support measures.
Nearly $1 billion was set aside to help businesses that haven’t been able to access other federal financial support programs. The fund’s goal is broad and aims to provide financial relief to allow businesses to continue operations, including paying employees. The fund specifically set aside $287 million for small businesses and rural communities.
You can apply through your regional development agency.
Northern Business Relief Fund
Who: Small to medium-sized businesses in the Territories that have been impacted by the COVID-19 pandemic.
The community in Kugluktuk, Nunavut uses their system as an educational tool for students and to increase food security for the local community.
The Northern Business Relief Fund is specific to the North and prioritizes businesses with fewer than 20 employees. The fund’s aim is to provide short-term relief for operational costs in the form of a non-repayable grant ranging from $2,500 to a maximum of $100,000. The funding also covers a maximum period of four months, retroactive to April 1, 2020.
The funding is provided through the Canadian Northern Economic Development Agency and you can apply for the Northern Business Relief Fund here.
Businesses in Yukon apply to the Yukon Government's Yukon Business Relief Program, but will be considered an applicant of both programs.
Indigenous Peoples Resilience Fund
Who: Any Indigenous-led organization or Indigenous-serving organization.
The Gitmaxmak’ay Nisga’a Society (GNS), a non-profit First Nations organization, is preparing for the arrival of a Growcer system to help combat food insecurity and generate revenue to be re-invested in the community!
This is an Indigenous-led effort where eligible applicants can apply for “resiliency funds” from $5,000 to $30,000 that specifically address a need caused by COVID-19. The projects are to be carried out in a short time frame before Dec. 31, 2020. Projects listed include improving access to food, strengthening local food systems, and investing in infrastructure to overcome technological barriers, among others.
You can apply through the Community Foundations of Canada website.
B.C. Indigenous Agriculture Development Program
Who: Indigenous entrepreneurs whose work is related to primary food production.
If eligible, you can receive up to $8,000 in planning and coaching services to develop and plan a food and agricultural business. The funding aims to help Indigenous entrepreneurs in the region grow their businesses, create more economic activity, increase local employment, and contribute to food sovereignty.
There is also funding available for Indigenous governments, communities, and organizations that can be used for feasibility assessments of food and agriculture development options, food security planning, and business planning.
You can apply to the new stream within the B.C. Indigenous Agriculture Development Program online.
Alberta Aboriginal Business Investment Fund
Who: Indigenous community-owned businesses.
The Aboriginal Business Investment Fund can provide between $150,000 and $500,000 to support an Indigenous community-owned economic development project. This funding can cover 100% of eligible costs (up to $500,000). Projects that are successful focus on long-term effects such as increasing the number of Indigenous community-owned businesses, increasing employment opportunities, and creating or increasing local revenue streams.
Applications are being accepted up until Sept. 30, 2020, and you can apply by completing and mailing in an application package.
For The Growcer, economic development in underserved communities and food sovereignty are of paramount importance - even outside of Canada. This list serves as a resource for the many businesses and organizations that could use a helping hand. If you’re interested in learning more about our work, we have shared how hydroponic farming can help create multiple streams of income and even how you can diversify your farm through hydroponics.