FedDev Ontario Funding
Eligibility & Details
What this program funds and who can apply
Program Description
FedDev Ontario delivers economic development funding across southern Ontario. Its primary business program — Business Scale-up and Productivity — provides interest-free repayable contributions of $125,000 to $10,000,000 that must be repaid in full, not non-repayable grants. The Regional Tariff Response Initiative (up to $1,000,000) is the true non-repayable grant for tariff-impacted businesses.
Eligibility Requirements
- Incorporated business (sole proprietorships and unincorporated partnerships ineligible)
- Operating in Southern Ontario (37 census divisions south of the Canadian Shield)
- Business has been operating for 2 or more years
- Minimum 5 full-time employees, maximum 500 full-time employees
- For-profit business focus (non-profits may be eligible for specific streams)
- Confirmed co-funding from non-government sources for project costs
Quick Assessment
Funding Details
- Amount
- Varies
- Type
- Grant
- Level
- Federal
- Co-Funding
- Up to 50% of eligible costs
- Deadline
- Ongoing
Program Scorecard
Competition, effort, and approval at a glance
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How to Win
Insider tips, common pitfalls, and what successful applicants look like
Insider TipFedDev's BSP is a repayable contribution (0% interest loan up to 50% of eligible costs), not a grant — many applicants are surprised by this. The true non-repayable grant for businesses is the RTRI (tariff response, $125K-$1M) for tariff-impacted firms, particularly in steel and auto sectors. Eligibility requires 3 years of incorporation (not 2) and minimum 5 FTEs — max 500 FTEs. You can only have one active FedDev application at a time across all programs, so choose your stream strategically. Financial statements with audit or review engagement are 'preferred' — compilation-only applications are at a disadvantage. Contact FedDev at [email protected] or 1-866-593-5505 before applying; they actively help shape viable proposals. For RTRI, you must demonstrate tariff impact: 25%+ sales to U.S./China or documented cost/revenue disruption since March 2025.
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Rejection Pitfalls 12
- Located outside southern Ontario (northern Ontario served by FedNor)
- Incorporated for less than 3 years in Canada or Ontario
- Fewer than 5 full-time employees or more than 500 FTEs
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Success Profile
Incorporated business in southern Ontario (37 census divisions south of Canadian Shield) for at least 3 years. Minimum 5 FTEs, maximum 500 FTEs. For-profit entity (including co-operatives and Indigenous businesses). Demonstrated financial capacity to complete project and repay contribution. Priority sectors: advanced manufacturing, AI, quantum, clean technology, defence, life sciences. Strong for high-growth firms with clear scaling plan, existing revenue, and ability to cover 50%+ of project costs. Externally audited or review-engagement financial statements preferred. For RTRI: viable prior to March 2025 tariffs, with 25%+ U.S./China sales or documented tariff disruption.
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Evaluation Criteria
Projects evaluated on: alignment with priority sectors (AI, quantum, defence, advanced manufacturing, clean tech, life sciences), economic impact (jobs created/maintained, revenue growth, export potential), financial capacity to complete project and repay contribution, leverage ratio (private co-investment), innovation and technology readiness (TRL 7-9 preferred), and strength of management team. Financial statements with audit or review engagement preferred over compilation-only.
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Application Playbook
Step-by-step process, required documents, and expenses
Application Steps
Required Documents 12
Eligible Expenses 11
- Labour costs — wages and benefits (benefits capped at 20% of approved eligible labour costs per employee)
- Capital costs — machinery and equipment purchases
- Technology acquisition and implementation costs
- Commercialization costs for innovative products, processes, and services
- Marketing and outreach costs to promote project activities
- Commercial demonstration costs
- Customer and market development expenses
- Management consulting and capacity-building fees
- Travel costs (reimbursed per National Joint Council Travel Directive rates)
- Late-stage technological development (TRL 7-9)
- Building management capacity and adopting best practices
Ineligible Expenses 7
- Acquisition of land and buildings
- Basic and applied research and development in a lab setting
- Refinancing of existing debt
- Costs of amortization and goodwill
- Costs deemed unreasonable or not directly related to project activities
- Non-incremental costs (expenses the business would have incurred without the project)
- Costs incurred before application submission
Intake Periods
Periodic intakes (shifted from continuous to multiple intakes per year). Current intake opened July 26, 2025. Subscribe to FedDev Ontario's Southern Ontario Spotlight newsletter for new intake announcements.
Deadline Notes
FedDev Ontario is currently accepting applications for business funding (confirmed March 2026). The 2025 BSP intake opened July 26, 2025. RTRI accepts applications on a rolling basis until funding is committed (project activities March 2025 to March 2028). RDII had priority deadline January 21, 2026. EDI operates on continuous intake. Subscribe to FedDev Ontario's Southern Ontario Spotlight and check feddev-ontario.canada.ca regularly for new intake announcements.
Open Application Portal →Ineligible Organizations
- Sole proprietorships and unincorporated partnerships
- Businesses with fewer than 5 full-time employees
- Businesses with more than 500 full-time employees
- Businesses incorporated for less than 3 years in Canada or Ontario
- Businesses located in northern Ontario (served by FedNor)
- Holding companies, investment firms, or shell corporations
- Businesses already holding an active FedDev Ontario application or project
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Funding Stack Strategy
Compatible programs, clawback risk, and combined funding potential
Compatible Programs
Clawback Risk
Medium RiskSee which programs combine with this one — and how much more you could get. Unlock with Premium →
How FedDev Ontario Funding Compares
Side-by-side with similar programs
| Program | Amount | Difficulty | Payment | Deadline |
|---|---|---|---|---|
| FedDev Ontario Funding | Varies | Hard | Reimbursement | 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.... |
| Ontario Innovation Tax Credit | Up to 8% tax credit | Moderate | Tax Credit Offset | Ongoing |
| Commercial Façade Improvement Grant P... | Up to $12,500 (50% of costs) | Easy | Reimbursement | Annual Intake |
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