The Reality of Social Enterprise Funding in Canada
Canada's social enterprise funding landscape changed fundamentally in 2023 with the launch of the $755 million Social Finance Fund — the largest dedicated pool of impact capital in Canadian history. But here's what most guides won't tell you: social enterprises don't apply to the Fund directly. The money flows through three fund managers (Boann, CAP Finance, Realize Capital) to social finance intermediaries, who then invest in individual organizations. Understanding this pipeline is essential. Beyond the SISFF, the most reliable funding sources remain the Investment Readiness Program (up to $75,000 for capacity building), provincial foundations like Ontario Trillium ($10K–$600K), and regional programs like CBDC Social Enterprise Loans in Atlantic Canada ($150K). The biggest challenge isn't finding programs — it's matching your legal structure (nonprofit, cooperative, CIC, for-profit social enterprise) to the right funding stream, and demonstrating both impact and financial viability.
Key Facts — Social Enterprise Funding 2026
- $755 million allocated to Canada's Social Finance Fund, distributed through 3 fund managers to social finance intermediaries across the country
- Investment Readiness Program (IRP) ended March 2024 after supporting 1,160 organizations — no replacement announced, but SISFF intermediaries now offer similar capacity-building services
- Ontario Trillium Foundation offers Seed grants ($10K–$100K for 1 year) and Grow grants ($100K–$600K for 2–3 years) — next deadline: July 2026
- CBDC Social Enterprise Loans provide up to $150,000 for nonprofits, charities, cooperatives, and societies in rural Atlantic Canada
- Enabling Accessibility Fund — small projects up to $125,000 (25% of costs); 2026 large projects up to $1,000,000 (deadline March 12, 2026)
- For-profit social enterprises can also access IRAP (up to $10M), SR&ED tax credits, and CanExport — programs unavailable to nonprofits
- Community Futures BC offers loans up to $1 million specifically for social enterprises run by nonprofits
Social Finance Fund Intermediaries Now Active
The three SISFF fund managers — Boann Social Impact ($154M), CAP Finance ($90M, Quebec), and Realize Capital Partners ($153M) — are now actively disbursing approximately $60 million per year. As of March 2025, $9.4M has gone to market-building activities and $6.6M in direct support to 33 social finance intermediaries. The fund has already leveraged over $322 million in private capital. If you applied to social finance programs before 2024 and were told "not yet," it's worth reapplying — the pipeline is now open.
Ontario Trillium 2026 deadlines: Seed and Grow grant applications open July 22, 2026 (deadline August 19, 2026). Decisions are announced approximately 4–5 months after the deadline. The November 2025 round closed November 5, 2025.
Enabling Accessibility Fund: The 2026 Call for Proposals now covers up to $125,000 per project (25% of admissible expenses). Projects must start by Winter 2025 and complete within 2 years.
Federal Programs for Social Enterprises
The federal government funds social enterprises through dedicated social finance programs and general business programs that social enterprises can access based on their legal structure.
Social Innovation and Social Finance Fund (SISFF)
$755M TotalThe SISFF is the cornerstone of Canada's social finance strategy — a $755 million program designed to grow the social finance market by funding intermediaries who then invest in social purpose organizations. You do not apply to ESDC directly. Instead, you apply to funded social finance intermediaries (SFIs) in your region.
The fund operates through three managers: Boann Social Impact ($154M, rest of Canada) is a joint venture between Encasa and the Table of Impact Investment Practitioners (80+ Canadian SFIs); CAP Finance ($90M) focuses exclusively on Quebec's social economy; Realize Capital Partners ($153M, rest of Canada) is a collaboration between Rally Assets and Relay Ventures.
SFIs funded by these managers include community loan funds, credit unions with social lending programs, and impact investors. Typical investments range from $50,000 to $500,000 with below-market interest rates and flexible repayment terms that account for social mission.
Investment Readiness Program (IRP)
Ended March 2024The IRP was a $100 million program (in two phases) that helped 1,160 social purpose organizations build capacity to access social finance — business plans, impact measurement systems, investor pitch materials, and governance structures. It was the best starting program for early-stage social enterprises, but it ended March 31, 2024 after disbursing its full allocation.
No direct replacement has been announced. However, some capacity-building functions have been absorbed into the broader Social Finance Fund ecosystem. Social finance intermediaries funded by Boann, CAP Finance, and Realize Capital often provide advisory services alongside capital. If you would have applied to IRP, connect with an SFI in your region instead — many now offer both technical assistance and financing.
The IRP's legacy matters because it built the pipeline of "investment-ready" organizations that the SISFF now serves. If your organization went through IRP, that track record strengthens your applications to SFIs.
Enabling Accessibility Fund (EAF)
$125K – $1MThe EAF funds capital projects that improve accessibility in workplaces and community spaces for people with disabilities. For social enterprises operating physical spaces — community centres, workshops, retail locations, coworking spaces — this is one of the most accessible federal grants available.
Two streams: The small projects stream covers up to 25% of admissible expenses (max $125,000). The 2026 Call for Proposals (mid/large projects) offers $500,000–$1,000,000 — deadline March 12, 2026. Eligible activities include renovations and retrofits, accessible equipment and devices, and information/communication technologies. Projects must be completed within 24 months.
New Horizons for Seniors Program
Up to $25,000If your social enterprise serves seniors or promotes intergenerational connection, this community-based grant is a strong fit. The community stream provides up to $25,000 for projects that encourage volunteerism, mentorship, social participation, and community engagement among seniors. Pan-Canadian projects can access larger amounts.
This is a well-established, recurring program with annual intakes. Projects are typically 12–18 months. The program prioritizes community-level impact and grassroots organizations — smaller social enterprises often have an advantage over larger institutions in this program.
Strategic Innovation Fund (SIF)
Up to $50MFor large-scale social enterprises with significant economic impact, SIF supports transformative and collaborative projects between industry, researchers, and non-profit organizations. This is not typical social enterprise funding — it's for organizations operating at scale with projects that grow Canada's economy while advancing social goals. Minimum project size is typically $10M+.
Provincial & Regional Programs
Provincial programs are often the most accessible funding for social enterprises. Each province has distinct strengths — Ontario leads in foundation funding, Quebec in social economy infrastructure, Atlantic Canada in dedicated social enterprise lending.
Ontario Trillium Foundation (OTF)
$10K – $600KOntario Trillium is the single most important grant funder for Ontario-based social enterprises. Two streams: Seed grants ($10,000–$100,000 for up to 1 year) fund new ideas, pilot projects, and organizational development. Grow grants ($100,000–$600,000 over 2–3 years) fund scaling proven programs and expanding impact.
OTF is outcomes-focused — your application must describe measurable changes, not just activities. They want to see a clear connection between your work and community-level impact. Applications require a detailed budget, organizational financial statements, and letters of support. Decisions take 4–5 months.
2026 deadlines: Seed and Grow applications open July 22, 2026 (deadline August 19, 2026, 5:00 PM ET). The November 2025 round is closed.
Quebec Social Economy Programs
$5K – $250K+Quebec has Canada's most developed social economy ecosystem. PME MTL FDÉS (Fonds de développement de l'économie sociale) provides $5,000–$50,000 for social economy projects in Montreal (must have 20% self-generated revenue and contribute 20% of project costs). Fiducie du Chantier de l'économie sociale has invested over $137 million in 357 collective projects, offering patient capital loans with no capital repayment for 15 years — recently re-invested with $55M from Fonds de solidarité FTQ, Fondaction, and Investissement Québec. CAP Finance (the Quebec SISFF fund manager) channels $90M specifically into Quebec's social finance intermediaries.
Quebec social enterprises also benefit from Investissement Québec programs and the extensive network of CDR (Coopérative de développement régional) centres providing technical assistance to cooperatives.
CBDC Social Enterprise Loan
Up to $150,000Community Business Development Corporations offer the only dedicated social enterprise lending program in Atlantic Canada. Loans up to $150,000 (higher in some cases) for nonprofits, charities, cooperatives, and societies in rural areas of New Brunswick, Nova Scotia, Newfoundland & Labrador, and PEI.
Loan amortizations of up to 10 years are available, based on the life expectancy of funded assets. These are patient capital loans — terms are designed to be realistic for social enterprises rather than matching conventional business lending. Funds can be used to start a new social enterprise or expand, renovate, or upgrade an existing one.
Community Futures (British Columbia)
Up to $1,000,000BC's 34 Community Futures offices provide financing up to $1 million specifically for nonprofits launching social enterprises or purchasing businesses. Standard business loans are available up to $150,000. Rates and terms vary by office, and applications are assessed by local volunteer committees using the "5 C's of Lending" framework.
The program also provides free advisory services and business planning support through March 2026 for businesses in their service areas. Social enterprise applicants need a business plan and cash flow statement.
Social Enterprise Fund (Alberta)
VariesBased in Edmonton but investing province-wide, the Social Enterprise Fund provides "patient and imaginative capital" to social enterprises of any corporate structure. Since 2008, SEF has funded 40+ organizations across housing, arts & culture, human services, environment, and economic reconciliation. Investment approach is flexible — loans of all sizes, with terms designed around social impact rather than conventional returns.
Understanding the Social Finance Ecosystem
Social enterprises in Canada can access a growing ecosystem of non-traditional finance options beyond grants. Understanding these instruments is crucial for building a sustainable funding strategy.
Grants vs. Social Finance — The Key Distinction
Grants (OTF, EAF, New Horizons) are non-repayable but smaller, competitive, restricted to specific costs, and time-limited. Social finance (SISFF intermediaries, CBDC, Community Futures) provides larger, more flexible capital that must be repaid — but at below-market rates with patient terms. Most mature social enterprises use both: grants for program delivery and pilot projects, social finance for capital investments and scaling.
Community Development Finance Institutions (CDFIs)
CDFIs are specialized lenders that serve communities underserved by mainstream financial institutions. In Canada, CDFIs funded through the SISFF provide affordable loans, microloans, and financial advisory services to social enterprises. They assess applications holistically — considering social impact alongside financial returns. Organizations like Vancity (BC), Alterna Savings (Ontario), and Caisse d'économie solidaire Desjardins (Quebec) operate community lending programs that function as CDFIs.
Community Bonds
Community bonds allow social enterprises to raise capital directly from their community. They're fixed-income securities where supporters invest $1,000–$25,000+ and receive modest interest (typically 2–5%) over 5–10 years. Unlike grants, community bonds let you raise $100K–$2M+ for capital projects. Centre for Social Innovation in Toronto pioneered the model in Canada, raising $6.7M for their expansion. Community bonds work best for organizations with a strong local following and tangible capital projects (buildings, equipment, facilities).
Coralus (formerly SheEO)
Zero-Interest LoanCoralus is a community-funded, zero-interest loan program for women and non-binary entrepreneurs working on ventures that address the UN Sustainable Development Goals. The model is unique: "Activators" each contribute $1,100 to a perpetual fund. Selected ventures receive zero-interest loans funded by this pool. It's not a traditional grant or loan program — it's a community of support that includes mentorship and network access alongside capital.
Which Program Should You Apply To First?
Your legal structure and stage determine the best starting point. Here's how to choose.
Program Comparison
| Program | Amount | Type | Eligibility | Best For |
|---|---|---|---|---|
| SISFF (via intermediaries) | $50K–$500K | Social Finance | All SPOs with revenue | Capital investment, scaling |
| EAF Large Projects (2026) | $500K–$1M | Grant | NPOs, for-profits, Indigenous | Accessibility capital projects |
| Ontario Trillium — Seed | $10K–$100K | Grant (1 yr) | Ontario nonprofits | Pilot projects, new initiatives |
| Ontario Trillium — Grow | $100K–$600K | Grant (2–3 yr) | Ontario nonprofits | Scaling proven programs |
| EAF Small Projects | Up to $125K | Grant (25% costs) | NPOs, municipalities, for-profits | Accessibility improvements |
| Fiducie du Chantier (QC) | $137M deployed | Patient Capital (15 yr) | QC social economy orgs | Long-term patient capital |
| New Horizons for Seniors | Up to $25K | Grant | NPOs, community orgs | Senior-serving programs |
| PME MTL FDÉS | $5K–$50K | Grant | Montreal social economy | Innovation, new sectors |
| CBDC Social Enterprise Loan | Up to $150K | Patient Loan (10 yr) | Rural Atlantic Canada | Start or expand SE |
| Community Futures BC | Up to $1M | Loan | Rural BC organizations | NPOs launching SE |
| Social Enterprise Fund AB | Varies | Patient Capital | Alberta, any structure | Flexible social finance |
| Coralus | Varies | Zero-Interest Loan | Women/NB entrepreneurs | SDG-aligned ventures |
| ABIF (Alberta) | $150K–$750K | Grant | Indigenous communities, AB | Capital projects |
| Calgary Circular Economy | $5K–$25K | Grant | Calgary nonprofits | Waste reduction, circular economy |
| Yukon EDF | Up to $500K | Grant | Yukon organizations | Economic development |
Stacking Social Enterprise Funding
The most effective social enterprises layer multiple funding sources. Here are three real-world stacking scenarios.
Scenario 1: Ontario Nonprofit Launching a Social Enterprise
Year 1: Ontario Trillium Seed grant ($80K) to pilot the social enterprise model. Connect with a SISFF-funded intermediary for advisory services and capacity building. If accessibility-related, apply for EAF large projects ($500K–$1M, deadline March 12, 2026).
Year 2: With 1 year of revenue data and proven impact metrics, apply for Trillium Grow ($300K over 3 years) to scale. Add EAF small projects ($125K) for additional capital improvements.
Year 3+: Approach SISFF intermediaries for patient capital ($200K+) to fund facilities or equipment. Your grant track record makes you a strong candidate.
Total over 3 years: $705K–$1.5M (mix of grants and patient capital)
Scenario 2: Atlantic Canada Cooperative
Immediate: CBDC Social Enterprise Loan ($150K, 10-year amortization) for startup capital. Add ACOA Business Development Program (varies) for business growth support.
Year 1: Regional community foundation grants ($10K–$25K) for program delivery costs. ACOA Innovative Communities Fund (non-repayable) for community economic development.
Year 2: Apply to SISFF-funded intermediaries via Boann or Realize Capital for growth capital. Community bonds ($100K+) from local supporters if you have a capital project.
Total over 2 years: $285K–$400K+
Scenario 3: Tech-Enabled For-Profit Social Enterprise
Immediate: IRAP application for R&D funding (up to $1M+). Claim SR&ED tax credits on all eligible R&D expenditures (35% refundable for CCPCs up to $3M).
Year 1: If exporting, add CanExport SMEs ($50K for international market development). Connect with SISFF intermediaries for advisory + growth capital. Provincial innovation programs as applicable.
Year 2: SISFF intermediary investment ($200K–$500K) for scaling.
Total over 2 years: $400K–$1.6M+ (grants + tax credits + social finance)
Critical Rule: No Double-Dipping
Each funder must cover different eligible costs. You cannot claim the same expense from two funders — this is grounds for clawback and can blacklist you from future funding. Keep meticulous records of which costs are covered by which program. A shared spreadsheet with columns for each funder is essential.
Impact Measurement for Grant Applications
Every social enterprise funder asks about impact. Here's how to approach it without overcomplicating things.
Build a Theory of Change
Start with Canada's Common Approach to Impact Measurement — the emerging national standard. Your Theory of Change connects activities → outputs → outcomes → impact. Keep it to one page. Example: "We operate a food production social enterprise (activity) that trains 30 newcomers per year in food safety certification (output), leading to 70% employment within 6 months (outcome), reducing newcomer unemployment in our region (impact)."
Track 2–3 Primary Outcomes
Funders are skeptical of organizations claiming 15 impact areas. Choose 2–3 outcomes you can actually measure with baseline data. Establish baselines before the project starts. Ontario Trillium specifically asks for outcomes-based reporting — not just "we held 10 workshops" (output) but "participants reported 40% increase in financial confidence" (outcome).
Demonstrate Financial Sustainability
Even impact-first funders need to see a path to revenue. Show your earned revenue ratio (revenue from sales vs. total budget), year-over-year revenue growth, and diversification of funding sources. The Investment Readiness Program explicitly assesses your readiness for social finance participation — this means revenue potential, not just grant dependency.
Match Metrics to the Funder
Different funders care about different things. Ontario Trillium wants community-level outcomes. SISFF intermediaries want social return on investment (SROI). IRAP wants technical milestones. The EAF wants accessibility improvements measured in number of people served. Customize your metrics for each application — don't use a generic impact report for every funder.
Common Mistakes in Social Enterprise Grant Applications
- Leading with mission, not business model. Even social finance funders need financial viability evidence. The IRP explicitly requires revenue potential demonstrations. Show the spreadsheet alongside the story.
- Impact claims without measurement methodology. "We'll help thousands of people" means nothing without baseline data, tracking methods, and defined outcomes. Two well-measured outcomes beat ten vague ones.
- Applying for operating costs when the funder covers project costs. Ontario Trillium Seed grants fund specific projects with defined timelines and deliverables — not your annual operating budget. EAF funds capital improvements, not staff salaries.
- Not demonstrating community need with data. "There's a need for this service" isn't enough. Reference Statistics Canada data, community needs assessments, or waitlist numbers from similar services. Quantify the gap.
- Budget-narrative mismatch. If your narrative says "innovative technology platform" but your budget shows 90% going to staff salaries and 2% to technology, evaluators notice. Budgets tell the real story.
- Ignoring governance requirements. Funders check board composition, annual filings, and organizational policies. Ontario Trillium requires current board lists. Missing filings with CRA or your provincial registry can disqualify you automatically.
- Treating social finance like a grant. When applying to SISFF intermediaries, you need a repayment plan. Zero repayment planning signals you don't understand the instrument — which signals risk.
How to Apply: Step by Step
Clarify Your Legal Structure
Your structure determines which programs you can access. Nonprofits can access OTF, EAF, New Horizons, and IRP. For-profit social enterprises add IRAP, SR&ED, and CanExport. Cooperatives qualify for both streams depending on their specific structure. Charities have the widest access to grant funding but limited access to business programs. If your structure is limiting you, consider creating a subsidiary — many charities operate for-profit social enterprise subsidiaries.
Build Your Impact Framework
Develop a Theory of Change and identify 2–3 measurable outcomes before you start writing applications. Use Canada's Common Approach to Impact Measurement. Collect baseline data now — you'll need it for every application, and you can't measure change without a starting point.
Start with Your Strongest Fit
Don't apply to everything at once. Choose the program where you have the strongest alignment — the right structure, the right geography, and a project that matches the funder's priorities. A successful first grant builds credibility for every subsequent application. For most early-stage social enterprises, Ontario Trillium Seed (or your provincial equivalent) is the best starting point.
Prepare Your Application Package
Standard requirements across most programs: audited or reviewed financial statements (2–3 years or since incorporation), board of directors list with affiliations, Theory of Change with impact metrics, detailed line-item budget with matching funds evidence, letters of support from community partners, and your most recent annual report. Start gathering these now — they take longer than you think.
Apply, Build Track Record, Expand
Submit applications 2–3 days before deadlines. After approval, report on time, every time — late reporting is the fastest way to lose future funding. Once you have one successful grant with documented outcomes, your approval rates for subsequent programs improve dramatically. Most effective social enterprises manage 2–3 active grants simultaneously.