Top 3 Myths of Grants
1. Businesses can wait to apply when they need funding
Grants can disappear in hours when there are more applicants than there is funding available. Waiting to apply for a grant could mean missing out on funding. Our grant consultants stay on top of grant news to anticipate when funding may open to be prepared when funding opens. Typically, the government does not advertise grants. As a taxpayer, this is understandable to allocate funds for grants rather than advertising. It can be challenging for businesses to stay on top of new grant opportunities. We get it!
How can GetGranted help you?
- Information sharing so you can be prepared in advance (grant summaries, monthly webinars, and our best practices).
- Get notified about grant opportunities as long as you are subscribed.
2. Grants are static and don’t change
This is one of the most surprising facts about grants for businesses. Businesses often expect that once grants launch, the closing date is preselected at a much later date. However, government budgets can change each year and grant programs do too. The grant criteria can change as frequently as several times a year. Sometimes updates or amendments to the eligibility criteria could either qualify or disqualify your business completely. Furthermore, deadlines may change depending on the funding entity. If funding is allocated, then the program is closed.
How can GetGranted help you?
- Be the first to hear about new government grants as soon as they are announced.
- Automatic notification as new grants open so you don’t have to check manually.
- Email notifications when grant eligibility criteria changes.
3. Grants take a long time
Many companies think that the grant approval process takes a long time. However, the grant application process itself can be quick. Depending on the grant, the approval response time can be fast too, as quickly as 5 business days.
You’re approved, now how fast do you get your grant cheque? It can depend, and what people don’t realize is there is paperwork to do after you’ve been approved. In order to receive your grant cheque, there can be specific requirements with deadlines. We’ve seen many companies not get cheques because they’ve fallen off on their claims.
How can GetGranted help you?
- Grant dashboard to keep track of all your grant applications
- Best practices so you can be prepared for what is required after you’ve received grant approval.
How do I know if my business is big enough for grants?
There are grants available for businesses of any size. There is a greater selection of grants for businesses in operation for more than one to two years.
There are some limited grants that solopreneurs qualify for because the government want to verify that you have made it past the two year mark.
You can still apply for grants if you just started your business, but there is a limited selection of grants available. Most new businesses need funding for initial R&D or market research, which grants do NOT cover.
Are there grants that cover my operational costs?
No. It’s on our wishlist too. The government does not support ongoing business operations.
Where are these grants from?
Grants are from the government of Canada, municipalities, and provincial governments. If you are a non-profit or charity, there are also grants through foundations, however these are very different than the grants available for businesses.
What type of grants are there?
Grants that support businesses are often centered on employment, upskilling, market expansion in foreign countries, and research & innovation.
How much grant money can I get?
The grant amount varies on the type of grants.
The government is focused on employment opportunities for youth (defined as recent graduates or students).
There are no hiring grants for contractors because the government wants to encourage full-time employment. The grantors usually ask a minimum of 30 to 40 hours per week to ensure that the employment experience meets the purpose of the program. The closest thing to a short-term hire are co-ops or internships positions.
You also cannot use a hiring grant on an existing employee because the government is trying to create MORE job opportunities to boost the economy.
Training grants cover external training for your staff. The training grants varies across provinces, so rules are different. You must be approved before starting your course. Training grants, like most grants, require you to pay upfront and claim reimbursement afterwards. This is a very rewarding grant for business owners to grow and scale themselves and their staff!
These grants support expansion into new foreign markets. Canadian governments don’t want to support competition within provinces so they would rather encourage businesses to expand to new markets to increase visibility of Canadian products worldwide.
Since market expansion grants are a much higher dollar amount, the government needs to ensure that companies have the capacity to support the market expansion activities and they typically look at the revenue to indicate that. It varies for grants but it usually requires a minimum revenue threshold (approximately $20,000 to $50,000,000) to apply because companies must be able to pay all the cost upfront and get reimbursed after. This is why program grantors usually look at a certain revenue to see if companies can support this.
Quality system are types of grants for companies wanting to implement standard operating procedures to meet the industry standards for a particular certification (i.e. TS, ISO, HACCP, etc.) to heighten the quality of their manufacturing process and improve quality and traceability.
When is the best time to apply for a grant?
It would be hard for us to pinpoint the “best” time to get grants, because they appear and close all year round. Grants change all the time because government budgets change or priorities change too.
How do I find the best grant?
Often times, companies find a grant but they don’t leverage the best one for their business. For example, a clean tech company may be hiring a junior role. They see the first hiring grant ($2800 in wage subsidy) and they apply. Little do they know, there’s another grant for hiring that covers $15,000 of the wage subsidy.
It’s hard to keep up on all the grants available. Grants are our business and we look at grants 24/7 and we have a dedicated research team to keep up with grant changes or new grants. With GetGranted, you can rely on our research team to keep you up to date.
Why don’t companies apply for grants?
We've found top 3 grant challenges for companies:
Grant research is time consuming
Research takes the majority of the time of the grant process because there’s a lot of information out there. First, you have to sort through relevant information. Second, read the government jargon. Third, finding the grant for your exact need (e.g. hiring grant for a specific role can differ between $15,000 and $2800). Sounds familiar?
Grants change all the time
Grants aren’t static. The criteria and key dates often changes, which impacts eligibility of companies. Let’s put this frequency into perspective. We’re a grant consulting company where we focus on grants 24/7 but have a dedicated grant research team working on new grants and updates.
Grants are open-until filled
With the nature of grants being open until filled, hearing about it a week later makes a big difference. We’ve seen grants close in hours. By hearing about it first and getting your grant applications in – you increase your chance of getting approved.
We created GetGranted with these challenges in mind to help you explore, manage, and stay updated with grants.