When you are starting a small business in Ontario, having the capital that you need can mean the difference between success and failure.
The Ontario government provides funding programs to help cover your startup costs.
While not everybody is eligible to apply to these government funding programs, those that are can benefit from various program types.
The Ontario government funding program types include government grants, government loans, tax breaks and tax credits.
To apply to any government funding program one of the first things that you have to do for your own small business is complete a business plan.
Your business plan should be detailed enough that a funding agency should be able to understand your business model, what you want to accomplish, how much funding you need, and you must be able to show the potential, financially speaking which your business has.
Once your business plan is all sorted out, finding these government grant and government loan programs is the next step.
The Ontario government has hundreds of government funding programs available. Across Ontario alone these funding programs come from local governments, the Ontario provincial government and can also come through the federal government of Canada.
All government funding programs have their own criteria that you must meet in ordered to be an eligible applicant.
Most government funding agencies, they share a few similarities in terms of the factors that are looked at in order to provide you the potential funding.
Factors include your location, your industry and the amount of funding that you need and how you plan on spending these funds.
These key factors will help determine how much your eligible for.
What are the typical government funding amounts?
In Ontario, there are various government funding agencies. Each of these agencies offer different funding options.
Options depend on what your small business may require.
There is no typical funding amount that you can base your funding search on. Since every government program is different, every business owner’s expenses are different as well. The only way to determine how much you may be eligible for is to try and collect as much information as possible about the program itself.
Determine what the government funding program has in terms of maximum potential, or minimal requirement.
Some government funding programs may fund small business owners in the amount of $500,000 or more. While some may have a budget allowing them only to fund up to $5,000 per applicant.
To determine the funding availability, you do have to research the program you are applying for.
Knowing the specifics of how much they have available and how much they’re willing to fund at once is a good starting point.
A helpful tactic to determine how much you may be eligible for is to review previous success stories or successful applicant who have had a chance to deal with this program.
Since every business’s needs are different, don’t assume that you can get the same or even close to what somebody else has obtained. Instead focus on explaining your funding needs based on what it is that you actually need.
If you have two of the same type of businesses, in the same city and within the same industry, both needing money to purchase equipment, the chances are that they both may require a different funding amount – so never focus your needs based on another business, but your own.
There is no right or wrong answer in terms of how much funding you need.
The best strategy is to ensure that you break down your funding needs that is specifics of what you actually need money for within the first 3 to 6 months of operation.
These are the must have funding requirements in order for you to succeed.
If you have certain things that you would like to have funding for, but it’s not necessary within this
time frame, it is better postponing that expense until the next funding round or until your business is operational.
The less you ask for, the greater the chance of you obtaining that funds.
Some recent is some recent funding asks across Ontario:
● 23,000 for cleaning company
● 71,000 for farm
● 19,800 for app developer
● 27,730 for car dealership
● 77,500 for daycare
● $9500 for bakery shop at home
● 67,350 for medical device manufacturer
● $45000 for construction company
● 125,000 for education service
● $48,000 for restaurant
To see what Ontario government funding programs your small business may be eligible for and to have a better understanding of how much you should be asking for, contact an Ontario Startups expert.