Top Ontario Grants, Loans, and Tax Credits in 2025
Every year, Ontario helps to develop industry-leading businesses in Canada thanks to government funding support. Ontario’s economic growth is a result of many industry efforts that build a thriving province.
Ontario’s agriculture sector is a great example, showing impressive growth in industries such as meat processing, food, beverage, and more.
“Ontario agri-food businesses feed millions of people around the world. With more than 3,000 active food and beverage processors, 97,000 workers, and $39 billion in revenues, Ontario is one of the sector’s most active and competitive jurisdictions in North America.”
Canadian Agri-Business Growth Guide
Ontario’s manufacturing sector has also shown consistent growth by leveraging government support to increase the province’s overall gross domestic product (GDP) and creating jobs for local communities.
Another notable example of Ontario’s success is the massive growth of the software development and computer service sector.
Much of the success in Ontario is thanks to talented workers, strong communities, and resilience. However, Ontario’s success is also driven by a variety of Ontario government funding support for research and development, business expansion, capital and technology adoption, and hiring and training.
Although there are many forms of government support, this article will be discussing the top grants, loans, and tax credits available for Ontario businesses in 2024.
Canada–Ontario Job Grant (COJG)
The Canada-Ontario Job Grant (COJG), an Ontario government funding program, offers training grants for employers. Companies may receive non-repayable funding from the government towards third-party training programs, which may include training for in-demand skillsets within the industry. This training is required to improve the employability and value employees may offer. This program includes new hires in these training sessions which may allow for employers to maximize their funding potential.
Funding Amount
Successful applicants may receive up to 50-83% of for employee training costs for up to $15,000 per trainee.
Applicant Eligibility
Businesses and organizations located in Ontario must meet these requirements to be eligible to apply:
- For-profit business;
- Non-profit organization;
- Employer consortium; or
- First Nations band council.
Eligible Activities
Most training programs may qualify for COJG funding. However, businesses may choose to focus on one of the three specific training categories:
- Career or Development Training: Enhancing employee skills, knowledge, and career advancement;
- Maintenance and Refresher Skills Training: Updating employee skills and knowledge, and/or refining the abilities of specialists within an organization; and
- Essential Skills Training: Providing the skills needed for an employee to achieve their work, continue learning, and possess skills for life. These should be transferable skills employees can use in different industries and succeed in the workplace beyond.
Program Deadline
Application packages are accepted year-round, so employers should apply for funding in accordance with their expected training start date.
FedDev Ontario’s Program
The FedDev Ontario’s program offsets project costs and helps southern Ontario businesses grow more quickly. It provides no-interest repayable contributions (government loans) with repayment beginning within a year of project completion. This program provides southern Ontario business expansion loans of up to 35% of project costs to a maximum $10 million.
Funding Amount
The FedDev Ontario provides southern Ontario businesses with no-interest repayable contributions (government loans) of:
· Up to 35% of project costs to a maximum $10 million.
Eligible Applicants
To qualify for funding through FedDev Ontario’s programs, companies must:
- Be Incorporated in Canada/Ontario;
- Have a minimum of 5 employees; and
- Have 3 years of business operations.
Eligible Activities
Eligible Activities include:
- Developing, commercialization and/or producing new and innovative products, processes and services;
- Improving productivity, capacity and competitiveness; or
- Scaling-up or expanding business lines to tap into new markets or reach new customers.
Program Deadlines
Applications are accepted on an ongoing basis with no submission deadlines.
NRC – Industrial Research Assistance Program (IRAP)
The NRC – Industrial Research Assistance Program (IRAP) is designed to accelerate research and development projects of Canadian innovators. Businesses who are developing and implementing process improvements are the primary targets to receive research funding contributions through IRAP. Additionally, large-scale technology adoption projects that lead to new capabilities may be considered.
Funding Amount
Successful applicants may access up to 60–80% of internal technical labour and subcontractor expenses.
Eligible Applicants
Applicants must be incorporated and financially stable businesses with under 500 full-time payroll employees to be eligible to apply.
Eligible Activities
Activities include innovative technical research and development projects with a level of technical uncertainty.
Program Deadlines
This program has an open intake. The two-stage application process starts with a meeting with an Industrial Technology Advisor (ITA).
Scientific Research and Experimental Development (SR&ED)
The Scientific Research and Experimental Development (SR&ED) tax credit is the largest single source of Canadian federal government support that incentivizes business-led research and development projects. The SR&ED program provides more than $3 billion in tax incentives to over 20,000 claimants annually.
Funding Amount
A tax credit may be allotted for up to 69% of labour and overhead costs, 36% of contractor costs, and 45% of material costs. Please note that there are provincial variants of this program SR&ED applicants should explore.
Eligible Applicant
Applicants must be conducting basic research, applied research, or experimental development in Canada. They must also be developing new products or processes or making incremental improvements.
Eligible Activities
Eligible expenditures include labour, contractors, materials, and overhead costs that directly relate to and commensurate with the needs of the activity required to attempt to resolve the technological uncertainty, obstacle, or challenge.
Program Deadlines
The reporting deadline for this program is 18 months from the end of the tax year in which the qualifying expenses were incurred.
To learn more about the SR&ED program, visit our comprehensive Scientific Research and Experimental Development (SR&ED) program page.
Strategic Innovation Fund (SIF)
The Strategic Innovation Fund (SIF) program for Canada’s industrial and technology sectors offers financial contributions to promote investment in sustained productivity and economic benefits. Financial support offered by SIF is allocated on a case-by-case basis, as determined by the funding application review committee.
Funding Amount
Applicants who submit a project budget of at least $20 million may access up to 50% of eligible costs.
Eligible Applicants
Canadian businesses and non-profit organizations are eligible to apply.
Eligible Activities
Activities that support industrial R&D, commercialization, and technology demonstration.
Program Deadlines
Applications are accepted on a continuous intake for streams 1, 2, and 3. There is a call-for-proposals stage for streams 4 and 5.
There are currently five streams for the SIF program. To learn more about the in-depth criteria for each, please refer to the Strategic Innovation Fund program page.
Sustainable Canadian Agricultural Partnership (SCAP) – AgriInnovate
This initiative is a part of the Sustainable Canadian Agricultural Partnership (SCAP) which is available to businesses across Canada. One worthy program to mention under the SCAP umbrella is the AgriInnovate program.
Here are some details below:
Funding Amount
Successful applicants for this program may receive repayable funding of up to 50% of eligible project costs to a maximum $5 million.
Eligible Applicants
To participate in the AgriInnovate Program, applicants must be a for-profit organization, including:
- Businesses and/or corporations;
- Co-operatives; and
- Indigenous corporations and co-operatives.
Eligible Activities
The AgriInnovate Program prioritizes applicants that demonstrate/commercialize an innovation new to the sector or country. Once new innovations have been considered, the fund will then prioritize:
- Adoption of clean technologies, including precision agriculture;
- Advanced manufacturing, automation and robotics;
- Projects strengthening value-added products/services; and
- Projects securing/expanding export markets.
Deadline to Apply
Applicants must complete proposed projects by March 31, 2028, when the program ends. Companies should apply for AgriInnovate funding approximately 4 months ahead of project start dates to accommodate for the review process.
Southwestern Ontario Development Fund (SWODF) and Eastern Ontario Development Fund (EODF)
The Eastern Ontario Development Fund (EODF) and Southwestern Ontario Development Fund (SWODF) are business expansion funding programs that help organizations invest in new facilities and equipment. Economic development organizations, municipalities, and consortia are also supported with infrastructure or implementation strategies to advance regional priorities. EODF and SWODF operate in different regions but are both organized into the same two streams: the Business Stream and the Community Economic Development Stream.
Funding Amount
- Business Stream: Receive up to 15% of project expenses to a funding range of $500,000–$5 million depending on whether applicants are applying for a grant or a loan.
- Community Economic Development Stream: Receive up to 50% of eligible project costs for a maximum of $1.5 million in grant funding.
Eligible Applicants
- Business Stream: Must be a business located in Eastern or Southwestern Ontario, operating for over three years, and commit to five or more new jobs, and five or more full-time equivalent employees (FTEs).
- Community Economic Development Stream: Must be in Eastern or Southwestern Ontario municipalities, consortia, or economic development organizations.
Eligible Activities
- Business Stream: Over $500,000 investments in new operations in Eastern or Southwestern Ontario or improved productivity, innovation, and export potential that create jobs.
- Community Economic Development: Over $100,000 investments to support private sector investment, growth, and job creation.
Deadline to Apply
Both the Business and Community Economic Development Streams have upcoming applications from November – January, 2025 for both Eastern and Southwestern Ontario Development Funds (EODF and SWODF). Get in touch with us to learn about upcoming deadlines.
How Can Mentor Works Help with Government Funding?
These programs contribute towards the incredible economic success that Ontario sees year after year. These grant, loan, and tax incentive contributions that the Ontario provincial and federal governments provide to Ontario are directly related with the huge growth seen in a variety of industries and their export activities.
“In 2020, Canada’s Ontario exported $187B, making it the 1st largest exporter out of the 13 exporters in Canada.”
-The Observatory of Economic Complexity (OEC)
However, these are not the only government funding programs available in Ontario. To see a full and comprehensive list, visit our government funding directory . To stay up to date on all relevant programs, visit our government funding news page and subscribe to our government funding newsletter.
Mentor Works, a Ryan company streamlines the government funding process through optimized processes and resources. Businesses are paired with an experienced team of professional grant writers who complete each stage of the funding process.
