AIC ABFP fully-subscribed for 2020-2021, we're looking for future projects!
Support can be considered for needed planning activities plus capital and non-capital business investments.
Applicants are encouraged to participate in as much of their own business/project planning as possible. There are circumstances when assistance, in the form of qualified professional services, is required in advance of making decisions and implementing a project. Planning costs may be considered if they will clearly support key business/project decisions, either by applicants, funders, lenders and/or regulators.
Completion of all or part of a project plan such as developing business models & strategies, comprehensive business plans, market assessments and feasibility studies.
Completion of financial projections, historical financial statements or other financial related activities in support of project or business decisions.
Business valuations by a Chartered Business Valuator (CBV) in support of a business acquisition.
Appraisal to determine the fair market value of an asset.
Activities in support of regulatory compliance such as an environmental assessment.
Other needed activities in support of project decisions such as legal, design, engineering, etc.
To be considered for support, these costs must be substantiated by quotes that detail the scope and timing of work to be performed. The service provider’s qualifications and experience must also be demonstrated. The costs must be reasonable relative to the size, scope and complexity of the project.
Support for capital and/or non-capital project costs may be considered. This could include the tangible assets used (Business Assets) and/or resources consumed (Working Capital) in the production of goods or in the rendering of services of an eligible business activity. It could also include costs designed to enhance revenue growth (Marketing) and management capacity (Business Support).
Securing commercial financing of at least 50% of capital cost is required. Discuss commercial financing needs with your local AFI.
The tangible assets required to operate and deliver it products and services to customers, such as:
Physical assets supported by AIC must reside in Ontario.
Normally for start-up businesses, initial operating costs supported by quotes/estimates, such as:
Support for these costs is intended to ensure the business has sufficient working capital while a project is implemented. Normally three (3) months is considered reasonable. The actual amount supported will be based on the applicant’s financial projections and consultations with lenders or AFI to confirm the amount is appropriate. Applicants are also encourage to secure additional lines of credit.
There are circumstances where operating costs may be considered related to an expansion where a clear financial need is demonstrated.
Staff salaries, wages, drawings, benefits and/or related costs paid through a formal payroll (CRA Payroll Account and payroll registry) may be considered in 2020-2021. Owner wages and drawing cannot be considered under any circumstances.
Resources and activities required to market and promote a business while building the most effective and efficient channels that establish, maintain and grow relationships with customers and accelerate sales could be supported, such as:
Resources and activities that enhance the capabilities and capacity of management could be supported, such as those enabling:
Common examples of these costs include accounting & bookkeeping, legal advisory, maintaining membership in a professional body or industry associations, specialized training and mentorship (knowledge transfer). Expertise to improve processes and/or products and project implementation activities could be considered where a clear need is demonstrated.
To be considered for support, costs must be reasonable relative to the size, scope and complexity of the project. Cost that relate to activities or assets for personal consumption or not to generate active business income cannot be supported.
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