A diverse natural environment makes British Columbia a hotbed of natural resources, like fish, minerals, and natural gas, and ultimately the site of a booming economy. As a result, organizations of all sizes and types — from international corporations to small enterprises — establish their operations in the province. It’s no surprise that several small business funding sources exist in B.C.
To help companies scale up and have a greater economic impact in British Columbia, the Government of Canada and the provincial government offer various grants and other incentives to fuel growth initiatives and innovative projects. The following are some funding opportunities small businesses in British Columbia should consider to achieve ambitious goals.
1. British Columbia Employer Training Grant
Since jobs continue evolving, the workforce must adapt to remain valuable to businesses. British Columbia Employer Training Grant (ETG) responds to this issue by providing solutions to labour market needs and assisting in the creation of training programs for employees. By supporting the development of well-paying jobs in British Columbia, this program decreases poverty and helps individuals in British Columbia of various backgrounds realize their potential.
How Does the Funding Work?
Funding from this grant program divides into five training streams, each with distinct eligibility requirements. These five streams include:
- C19 Impacted Worker Training
- Foundational Training
- Persons with Disabilities Training
- Technical Training
- Workforce Training
This grant utilizes a reimbursement method. Employers approved for funding must pay for all expenses in full and submit a reimbursement claim when training commences. The exact reimbursement amount will depend on the specific training stream, but in general, they range from 60% to 100% of eligible training costs.
2. BC Indigenous Tourism Recovery Fund 2022
Indigenous tourism was growing rapidly until the COVID-19 pandemic brought significant financial loss and business disruption. The BC Indigenous Tourism Recovery Fund 2022 seeks to remedy this issue by providing a one-time funding solution of $3.7 million in support of Indigenous Tourism BC (ITBC).
A major goal of the program is to elevate this sector to its pre-pandemic state by 2024, enabling these communities to share rich cultures with people all over the world. Other objectives of the funding program include:
- Making training, planning, and mentoring more accessible to First Nation communities and establishments
- Supporting the use of digital and online resources to expand the global presence of Indigenous businesses
- Administering training programs that will enable Indigenous organizations to create tourism products that they can bring to market
- Guiding First Nations in the development and commercialization of market tourism experiences
How Does the Funding Work?
For an Indigenous tourism business to qualify for funding, at least 51% of the organization must be Indigenous-owned, and most of the shares should be owned by residents of British Columbia. Additionally, the company must offer market-ready tourism products or services in the province.
Exact funding amounts for approved projects depend on the organization’s demonstrated need for funding and the following conditions:
- Operated before February 1, 2020, and was feasible before the pandemic
- Experienced a loss of revenue between 2019 and 2020 and encountered further drops in income in 2021
- Designed and employed a recovery plan to facilitate long-term success amidst the COVID-19 crisis
- Indicates the projected number of employees needed to retain or acquire by obtaining the grant
3. SR&ED Tax Credits
Some provinces, such as British Columbia, offer a program that mimics the Government of Canada’s Scientific Research and Experimental Development (SR&ED) tax incentive program. This initiative seeks to help businesses conducting qualifying research and development in the province.
How Does the Funding Work?
Organizations eligible for funding include Canadian-controlled private corporations (CCPCs) and other companies operating in British Columbia. CCPCs that qualify can claim a refundable tax credit of 10% of the lesser of eligible expenses for the tax year or the expenditure limit of $3 million as stated in the federal Income Tax Act.
CCPCs may claim the non-refundable credit if they are not eligible for the refundable tax credit or have qualified expenditures that exceed the limit. The non-refundable credit for a single tax year is 10% of the company’s eligible SR&ED expenses.
Finance SR&ED Tax Credits with Easly
If your enterprise qualifies for refundable SR&ED tax credits, you may be able to accelerate your funding timeline with Easly Advances. We serve organizations that attain SR&ED tax credits and align with government mandates to bring these funds forward.
By working with Easly, your business will obtain easily accessible, non-dilutive, and on-demand funding through our online Capital-as-a-Service platform. Although our funding solution won’t be the sole source of capital for your projects, it makes an ideal supplement to your existing mix.
Contact us today to learn more about British Columbia funding sources or our services.