Black Entrepreneurship Program
Eligibility & Details
What this program funds and who can apply
Program Description
Provides loans of $10,000 to $250,000 through FACE and partner banks including BDC to Black-led, majority-owned for-profit businesses — this is debt financing, not a grant, with repayment terms up to 7 years. A separate Ecosystem Fund provides non-repayable contributions to not-for-profit organizations delivering mentorship and training to Black entrepreneurs.
Eligibility Requirements
- Self-identifies as Black and business is majority-owned (>51%) by Black Canadians
- Canadian citizen or permanent resident
- For-profit business (non-profits are ineligible for the Loan Fund)
- Formally registered business (sole proprietorships without registration may be ineligible)
- Demonstrates capacity to repay the loan with a viable business plan and financial projections
- Proposed use of funds is eligible (working capital, equipment, expansion — not goodwill, debt restructuring, dividends)
Quick Assessment
Funding Details
- Amount
- Up to $250,000
- Type
- Loan
- Level
- Federal
- Deadline
- Ongoing
Program Scorecard
Competition, effort, and approval at a glance
See how this program compares on approval odds, difficulty, and competition — so you know if it’s worth your time. Unlock with Premium →
How to Win
Insider tips, common pitfalls, and what successful applicants look like
Insider TipThe approval rate is extremely low (4-14%), so invest heavily in your business plan and financial projections before applying. FACE assigns a dedicated client relationship manager -- build that relationship early. Start with a micro-loan ($10K-$25K through Vancity or Alterna) to establish a track record, then apply for a larger macro-loan. Note that 74% of recipients in recent years have been newcomers, and the fund explicitly prioritizes Black women and 2SLGBTQI+ entrepreneurs.
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Rejection Pitfalls 9
- Incomplete or weak business plan lacking financial projections
- Insufficient demonstration of capacity to repay the loan
- Non-profit organizations (ineligible for Loan Fund)
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Success Profile
Successful recipients typically have: a well-developed business plan with realistic financial projections; existing revenue or strong proof of concept; clear use of funds tied to growth (equipment, inventory, working capital); Black ownership >51% with documented self-identification. Newcomers to Canada represent the largest recipient group (46-74% of loans). The fund prioritizes capacity to repay over collateral. Businesses at the growth stage with demonstrated traction tend to receive larger loans.
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Evaluation Criteria
Applications assessed on: Black Canadian self-identification and majority ownership (>51%), capacity to repay the loan (business viability and financial health), strength of business plan with realistic financial projections, intended use of funds aligned with eligible expenses, Canadian citizenship or permanent residency, and entrepreneur track record. FACE assigns a dedicated client relationship manager to each application. BDC co-reviews applications over $100K.
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Application Playbook
Step-by-step process, required documents, and expenses
Application Steps
Required Documents 8
Eligible Expenses 5
- Capital investments (equipment, machinery, technology)
- Working capital (inventory, operational costs, payroll)
- Business expansion costs (new locations, renovations)
- Marketing and business development
- Professional services (legal, accounting, consulting)
Ineligible Expenses 7
- Goodwill purchases
- Restructuring conventional business debts
- Dividend payouts
- Shareholder loan repayment or issuance
- Bonuses, stock buybacks, or option issuance
- Increase to shareholder or management committee compensation
- Personal expenses unrelated to the business
Intake Periods
Continuous intake year-round through the FACE portal (facecoalition.com). No competition rounds or fixed deadlines. The microloan pilot ($10K-$25K through Vancity and Alterna) concluded March 31, 2025 and has not been extended. Loans of $25,000+ continue to be accepted and processed.
Deadline Notes
The Loan Fund has no fixed deadline and accepts applications year-round through facecoalition.com. The Ecosystem Fund for nonprofits opens in regional waves -- Southern Ontario closed Jan 9, 2026; Quebec closed Dec 5, 2025; BC closed Nov 28, 2025. New regional intakes expected periodically through 2030. Apply to the Loan Fund when your business plan and financials are strongest -- do not rush an incomplete application given the low approval rate.
Open Application Portal →Ineligible Organizations
- Non-profit organizations (ineligible for Loan Fund; may qualify for separate Ecosystem Fund)
- Businesses not majority-owned (>51%) by Black Canadians
- Businesses owned by non-residents (must be Canadian citizen or permanent resident)
- Unincorporated sole proprietorships without formal business registration
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Funding Stack Strategy
Compatible programs, clawback risk, and combined funding potential
Compatible Programs
Clawback Risk
Medium RiskModerate. All loans are secured by personal guarantees. If the business cannot repay, the guarantor is personally liable for the outstanding balance. Standard loan default provisions apply including potential legal action for recovery. No forgiveness provisions — this is debt financing, not a grant.
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How Black Entrepreneurship Program Compares
Side-by-side with similar programs
| Program | Amount | Difficulty | Payment | Deadline |
|---|---|---|---|---|
| Black Entrepreneurship Program | Up to $250,000 | Moderate | Loan | Ongoing |
| Futurpreneur Black Entrepreneur Start... | Up to $75,000 | Moderate | Loan | Ongoing |
| NRC IRAP Clean Technology Program | $100,000–$500,000 | Hard | Mixed (Advance + Reimb.) | Ongoing |
| CanExport SMEs | Up to $50,000 | Moderate | Mixed (Advance + Reimb.) | Annual intake window.... |
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