Nearly 160,000 small and medium-sized Canadian businesses wishing to improve their online presence or modernize their operations now have $4 billion. This is the overall amount offered by the brand new Canadian Digital Adoption Program (PCAN), a promise of the Trudeau government’s 2021 budget.
Posted at 11:52
Under this four-year program, these SMEs will have access to a maximum of $22,300 in grants. For the implementation of the actual transformation, an interest-free loan of up to $100,000 will be offered by the Business Development Bank of Canada (BDC).
“Canadian small and medium-sized businesses need more tools, resources and financing to go digital,” said Isabelle Hudon, President and CEO of BDC, in a press release. Investing in digital is investing in Canada’s future competitiveness and growth. »
“Microgrants” and Transactions
SMEs with at least one employee can already register for this rather complex program, which has two distinct components, for which journalists were entitled to 45 minutes of technical briefing on Friday.
The first component aims to develop commercial activities online, through an existing transactional website or one to be developed, and entitles you to a maximum grant of $2,400 “to alleviate the costs associated with the adoption of digital technologies”, explains T. -we. Above all, these companies will have access to a network of e-commerce advisers registered in a federal government database, who will guide SMEs in this process.
We are targeting for this first component all SMEs “accessible to the consumer, offering services in person”, we explain to Innovation, Science and Economic Development Canada. Examples were given of retail, restaurant or tourism businesses that have at least one employee. It is expected that 90,000 companies will participate in this first phase.
Internships and loans
The second part of the program is much more generous. Its objective: “To enable SMEs to adopt new digital technologies to transform their activities, to become more competitive and productive”, we explain.
First, to establish a plan for this digital shift, we are offering a grant to reimburse up to 90%, for a maximum of $15,000, of the related costs. Once this plan is adopted, SMEs are entitled to a $100,000 interest-free loan from the BDC to execute it. At the same time, we are offering a $7,300 wage subsidy to offer a paid internship to young graduates, to support these companies for their digital transformation. We expect to offer 30,000 internships.
Businesses from all sectors are targeted, with particular mention of retail, manufacturing, construction, professional services, healthcare, food production and agriculture. The sizes range from 1 to 499 employees, with annual revenues of $500,000 to $100 million. It is expected that 70,000 businesses will participate in this second component of the program.
Registration for the Canadian Digital Adoption Program has already begun and can be done on the website designed for the occasion, at https://www.ic.gc.ca/eic/site/152.nsf/eng/accueil On notably offers an assessment tool, presentation of eligibility criteria and consultation of a bank of nearby suppliers. SMEs have until March 31, 2025 to take advantage of it.
“I encourage small business owners and entrepreneurs to apply for the CANP and leverage technology to grow their business and find new customers anywhere in the world,” Mary Ng said in a statement. , Minister of International Trade, Export Promotion, Small Business and Economic Development.
This new program is in addition to the Digital Transformation Offensive, launched by the Legault government in March 2021 and which provides funding of 130 million to support companies that want to modernize their activities.