Indigenous Cannabis Business Fund — Business Planning, Design, and Capital
Highlights
This program is designed specifically for Indigenous businesses and entrepreneurs in British Columbia looking to enter or expand within the regulated cannabis sector. It offers non-repayable funding contributions to help you navigate the complexities of the industry and seize new economic opportunities.
What You Get
- Up to $250,000 per project
- 75% coverage for business planning and advisory services
- 75% coverage for staff training
- 40% coverage for business capitalization, including start-up and expansion costs
Benefits
- Non-repayable grants mean you don't have to worry about paying back the funds.
- Support for business planning, design, and licensing to ensure you meet all regulatory requirements.
- Capital contributions to help with construction, equipment purchase, and other start-up costs.
- Skills and training support to prepare your team for success.
Applying is straightforward, and the program is designed to be accessible. By participating, you can enhance your business's growth potential and contribute to economic diversification in your community.
Financing Details
Type of Financing: Non-repayable funding contributions (Grant)
Repayment Terms and Interest Rates:
- This is a grant, so there are no repayment terms or interest rates.
Eligible Expenses:
- Business planning costs
- Business advisory services and staff training
- Business capitalization (start-up, expansion, acquisition)
- Government licensing, permitting, and business design costs
- Construction, retrofits, equipment purchase, and other related capital costs
- Skills and training costs directly related to the business launch
Ineligible Expenses:
- Personal expenses
- Non-business-related activities
- Any costs not directly associated with the cannabis business project
Fees:
- No fees associated with the program
Qualifications
- Must be a B.C. First Nation government, business, or economic development corporation.
- Must be a B.C. Tribal Council.
- Must be a B.C. Indigenous Corporation, partnership, association, cooperative, or institution.
- Must be a B.C. Indigenous (First Nation, Métis, Inuit) entrepreneur or business.
- Business must have a minimum of 51% Indigenous ownership.
- Indigenous ownership and control must be proportional to the amount of equity invested in the business.
- Applicants must be willing and able to share in the costs of the project.
- On-Reserve projects must provide reasonable evidence of community engagement.
- On-Reserve projects must provide evidence of First Nation government support, expressed through a Band Council Resolution or equivalent.
- On-Reserve projects must cease operations of unregulated businesses prior to disbursement of the grant.
- For businesses seeking both federal (production) and provincial (retail) licenses, the First Nation must have or plan to enter into a section 119 government-to-government agreement with the Province.
- Only one grant per project, but multiple Indigenous owners can be included under one grant.
Applicants must have financial capacity to provide between 25% to 60% of the project costs through cash equity or loan financing, depending on the project type.
Disqualifications:
- Businesses that do not have a minimum of 51% Indigenous ownership.
- Projects that do not provide reasonable evidence of community engagement (for On-Reserve projects).
- Projects that do not provide evidence of First Nation government support (for On-Reserve projects).
- Unregulated businesses that do not cease operations prior to disbursement of the grant.
Description
The Indigenous Cannabis Business Fund (ICBF) offers non-repayable funding to support your business in the regulated cannabis sector. This program helps address funding gaps and promotes diversity and equity for Indigenous communities and businesses in British Columbia.
You can receive up to $250,000 per project. The funding can be used for various purposes, including:
- Business planning and advisory services: Up to 75% of eligible costs.
- Staff training: Up to 75% of eligible costs.
- Business capitalization: Up to 40% of eligible costs for start-ups, expansions, and transitions from unregulated to regulated operations.
The ICBF funding is divided into two streams:
- Community Planning and Engagement: Up to $12,000 for activities like workshops and community forums to learn about the cannabis industry and regulations.
- Business Planning, Design, and Capital: Up to $250,000 for business start-up planning, feasibility studies, licensing, permitting, and capital costs such as construction, equipment purchase, and retrofits.
This program is a great opportunity to grow your business, create jobs, and develop skills within your community. It supports Indigenous entrepreneurs in navigating the regulatory processes and balancing community health and safety with economic growth.
Program Steps
Complete the Expression of Interest (EOI) Form:
- Visit the program's website.
- Fill out the EOI form with details about your business and project.
- Submit the form online.
Prepare Documentation:
- Gather necessary documents, including:
- Business plan
- Financial statements
- Proof of Indigenous ownership (minimum 51%)
- Evidence of community engagement (for On-Reserve projects)
- Band Council Resolution or equivalent (for On-Reserve projects)
- Licensing and permitting documents
- Details of commercial loan financing or cash equity
- Gather necessary documents, including:
Submit Documentation:
- Upload or send the prepared documents as required by the program guidelines.
Applicant and Project Screening:
- Wait for the initial evaluation of your EOI submission.
- Engage with the assigned Aboriginal Financial Institution (AFI) for further screening and due diligence.
Application Review:
- The AFI will assess the viability of your project.
- They will determine the appropriate grant amount.
Approval and Notification:
- Receive approval communication from New Relationship Trust or the assigned AFI.
- Review the terms and conditions of the grant.
Grant Disbursement:
- Once approved, the grant funds will be disbursed.
- Use the funds for eligible project activities such as business planning, design, licensing, training, and capital costs.