In my post on March 18, 2010, I outlined a number of financial assistance programs for small and medium-sized enterprises in Manitoba, only a few of which were specific to the agricultural sector. The following is a brief description of a number of financial assistance programs aimed specifically at AgriBusiness. Again, the list is not exhaustive, and the descriptions are summaries only. Details of the provincial programs can be found at www.gov.mb.ca/agriculture/ and federal programs at www.agr.gc.ca. Let me know if you find it helpful, and call if you need assistance with the detail.
Agri-Processing Initiative (API)
The objective of API is to increase competitiveness of the Canadian agri-processing sector by supporting projects that involve the adoption of new facility technologies and processes. Eligible recipients include companies and cooperatives predominantly engaged in the physical or chemical transformation of raw agricultural commodities or ingredients that have operating manufacturing facilities in Canada and have reported employment expenses for at least one year immediately prior to the application. The program (which ends March 31, 2014) provides repayable contributions of up to $2 million per project, or up to 50% of eligible costs, whichever is less. The contributions are non-interest bearing and unsecured. Further details can be found at www.api@agr.gc.ca.
Agri-Food Research and Development Initiative (ARDI)
ARDI provides funding that will facilitate innovation with focus on innovations that result in new farm income streams, growth in the value-added sector, reduced costs for primary production and enhanced stewardship of the environment. ARDI will fund, on a partnership basis, research and development projects that expand knowledge, translate knowledge into new products and practices or verify new technology under Manitoba conditions. Further details can be found at www.gov.mb.ca/agriculture/research/ardi/.
Agri-Extension Innovation Program
This program provides funding aimed at the valuation of innovative technology that will improve environmental sustainability, profitability and added value in farming. Priority will be given to technology verification projects that demonstrate, evaluate and transfer the technology of proven innovations to the farm level.
Canadian Agricultural Adaptation Program
This program is aimed at facilitating the ability of the agriculture, agri-food and agri-based products sectors to seize opportunities, to respond to new and emerging issues and to pilot solutions to new and ongoing issues in order to help them adapt and remain competitive. It funds projects that have the potential for economic viability and longer term self sufficiency. It provides funding for a maximum three-year project of $300,000.00 ($500,000.00 if there is a collective outcome), based on different sharing levels, depending whether industry is involved in the project.
Community and Business Development Feasibility Studies Program
This program provides up to 50% of cost-shared funding to hire an independent consultant for financial marketing, engineering analysis or business plan development.
Community Futures Program (Western Diversification Canada)
Each Community Futures Development Corporation delivers services, including local strategic economic planning, technical and advisory services to businesses, and repayable loans to small and medium enterprises up to $150,000.
Manitoba Agri-Innovation Suite (MAIS)
This program provides funding to help new value added food and beverage products from concept to market. MAIS has four agri product programs: development, commercialization, marketing and certification.
Manitoba Agricultural Services Corporation (“MASC”) Loan Guarantee Program and Rural Entrepreneur Assistance (“REA”)
This program helps new and existing businesses obtain equity financing from financial institutions by guaranteeing loans between $10,000 and $200,000.
MASC Loan Guarantee Programs – Rural Small Business Operating Credit Guarantee
This program offers loans to qualifying businesses for the purchases of inventory, financing of receivables, general operating expenses and current years principal and interest payments on business loans, up to a maximum of $200,000.
Manitoba Rural Adaptation Council (“MRAC”)
This program provides up to $300,000 of eligible cash costs of a project, including studies, new product development, and the like.
National Research Council – Industrial Research Assistant Program (NRC-IRAP)
NRC-IRAP helps firms to develop technologies and successfully commercial them in the global market place. They do this by providing technical and business advisory services and financial assistance to the small and medium-sized enterprises.
If you would like more information on this topic or wish to discuss issue's of a legal nature, Jan can be contacted by phoning 204.934.2349 or by e-mail at jyl@tdslaw.com.
