Ferrero Canada Awarded $1.5 Million to Expand Manufacturing in Ontario
Ferrero International is the world’s third-largest manufacturer and distributor of confectionary goods. The company, best known for their chocolate treats, has an expansive network of 22 manufacturing facilities worldwide including Canadian operations in Brantford, Ontario. Ferrero Rocher, Nutella, Tic Tac, and Kinder Surprise are just some of the products made there.
The company’s Canadian subsidiary, Ferrero Canada, was recently announced as recipients of $1.5 million from the Southwestern Ontario Development Fund (SWODF). The Ontario government funding program will be used to offset the costs of three new product lines being installed. The project is valued over $36.1 million and is expected to create 55 new jobs.
Ontario government grants obtained through the Southwestern Ontario Development Fund may cover up to 15% of business expansion expenses to a maximum $1.5 million in grants, or up to $5 million in a combination of grants and repayable funding.
Why Ferrero Canada Was Successful with SWODF Funding
Ferrero Canada was awarded with a maximum grant contribution of $1.5 million for their project. This funding is non-repayable and is used by the government to incentivize investment in Ontario.
SWODF grants are meant to attract corporate investments resulting in:
- The creation and retention of sustainable, high-value jobs in southwestern Ontario;
- Productivity enhancements;
- New innovative capabilities; and
- The ability to export goods internationally.
Ferrero Canada’s Brantford, Ontario expansion project will:
- Create 55 new jobs and maintain 831 existing positions;
- Add 3 new production lines, increasing the facility’s overall output;
- Implement a new, innovative manufacturing process that allows for new products to be manufactured; and
- Increase the amount of goods that can be exported to the United States and Mexico.
What is the Southwestern Ontario Development Fund?
The Southwestern Ontario Development Fund is an Ontario government funding program that provides grants and loans for business expansion projects. The funding program seeks to attract new business investment in Ontario while creating sustainable jobs.
Projects spending less than $10 million may receive up to 15% of expenses to a maximum $1.5 million in Ontario government grants. Projects surpassing $10 million in expenses may claim up to $1.5 million in grants with an optional $3.5 million in business loans.
Is Your Business the Next Government Funding Success Story?
Most businesses in Canada do not use government grants and loans as a method to finance their strategic projects. This is a missed opportunity to extend cash flow and reduce the cost (and therefore risk) of business expansion projects. Companies who use government grants such as SWODF are able to perform more productivity-boosting projects and become more competitive.
To check your eligibility for a variety of the most popular Canadian government funding programs available, please contact Mentor Works. In addition to confirming your eligibility, we can also provide comprehensive application support to accelerate the time it takes to receive your government funding.
