Forest Sector Investment and Innovation Program — Business projects
Highlights
This program is designed for businesses like yours in the forest sector. It offers significant financial support to help you improve productivity, enhance competitiveness, and access new markets. By participating, you can receive up to 30% of eligible costs through a performance-based loan, with up to 50% of that loan potentially forgivable. In exceptional cases, grants of up to 15% of eligible costs may also be available.
What You Get:
- Up to 30% of eligible costs covered
- Forgivable loans up to 50% of the loan amount
- Grants up to 15% in special situations
Benefits:
- Boost productivity and innovation in your operations
- Enhance your competitiveness in the market
- Access new markets and expand your business reach
- Strengthen regional economies and contribute to the broader forest sector
The application process is straightforward, with a two-stage evaluation to ensure your project aligns with the program's objectives. This program is a unique opportunity to secure government-backed financing, making it easier to achieve your business goals and drive growth.
Financing Details
Type of Financing:
- Business Projects: Performance-based loan (up to 30% of eligible costs). Up to 50% of the loan may be forgivable. In exceptional cases, grants of up to 15% of eligible costs may be considered.
- Collaboration Projects: Grant (up to 30% of eligible costs), with a maximum of $3 million.
Repayment Terms and Interest Rates:
- Business Projects: Loan terms are performance-based. Specific repayment terms and interest rates are determined on a case-by-case basis.
- Collaboration Projects: No repayment required as it is a grant.
Eligible Expenses:
- Equipment and machinery
- Technology and software
- Facility upgrades and improvements
- Research and development
- Marketing and business development
Ineligible Expenses:
- Harvesting and resource extraction projects
- Routine operational costs
- Debt refinancing
- Any expenses not directly related to the project
Fees:
- No application or processing fees associated with the program.
Qualifications
- Must be a for-profit manufacturer or processor of wood and forest biomass.
- Must be located in Ontario.
Must have at least $3 million in eligible project costs.
Eligible Business Types:
- Sawmills
- Pulp and paper mills
- Secondary wood manufacturers
- Bio-economy projects
Disqualifications:
- Harvesting and resource extraction projects
Description
This program offers your business a chance to receive up to 30% of your project costs in funding. For business projects, this comes as a performance-based loan, where up to 50% of the loan may be forgivable. In special cases, grants of up to 15% of eligible costs might be available.
If your project is a collaboration, you can get a grant covering up to 30% of your costs, with a maximum of $3 million. You can combine this with other government funding to cover up to 75% of your project costs.
The funding can be used to improve productivity, boost innovation, and expand market access. It helps make your business more competitive and supports the broader forest sector in Ontario. This program is a valuable opportunity to strengthen your regional economy and grow your business.
Program Steps
Login to Transfer Payment Ontario:
- Access the Transfer Payment Ontario portal and login with your credentials.
Complete Stage I Eligibility Checklist and Application Form:
- Fill out the Stage I Eligibility Checklist.
- Complete the Stage I Application Form.
- Submit both documents by the Stage I deadline.
Prepare Documentation:
- Gather the following documents:
- Business Plan
- Financial Statements
- Project Overview
- Details of Intended Use of Funds
- Quotes for Equipment or Renovation Costs
- Any other relevant supplemental documents
- Gather the following documents:
Submit Stage II Application:
- If you pass Stage I, complete the Stage II Business Plan.
- Submit the fully completed Stage II Business Plan and all required supplemental documents by the Stage II deadline.
Review and Follow Up:
- Ensure all information is complete and accurate.
- Be prepared to provide additional information if requested during the review process.
Await Decision:
- Wait for the competitive rounds-based evaluation process to be completed.
- If selected, you will be notified of the funding approval and next steps.
Finalize Agreement:
- Discuss and finalize the terms of the funding agreement.
- Understand the repayment terms if applicable.
Receive Funding:
- Upon agreement, receive the funding to proceed with your project.
Implement Project:
- Use the funds as outlined in your application to improve productivity, enhance competitiveness, or support new market access.
Report Progress:
- Provide regular progress reports as required by the program guidelines.
- Ensure compliance with all program requirements and deadlines.