There’s a ton of grants, loans, and other programs available to buy or lease equipment (property, too). We cover the best in this comprehensive guide to equipment grants for Ontario businesses.
Let’s jump in!
What Can Equipment Grants Be Used For?
Equipment (or property) business grants can be used to pay for many aspects of starting or running a business. Here are some of the uses that are covered by programs in our grants database:
And that’s just a sample! See the section below with a complete list of grants available to purchase or lease equipment or property.
How Much Grant Money Can I Get to Purchase/Lease Equipment (or Property) for My Business?
In our database we currently have grants ranging from $5,000 to $25,000,000.
Am I Eligible for an Equipment Grant? Common Eligibility Criteria
Two of the most common questions we get asked at Ontario Business Grants are “Am I eligible?” and “How do I qualify?”.
We analyzed the equipment programs in our grants database, and these are the most common qualifications we identified:
Note: these are just the most common eligibility criteria – there are many grants with different requirements.
Equipment Grants for Ontario Businesses: Current Grants Available
In the table below we list the equipment and property grants currently available to Ontario businesses.
To learn more about each program, just click the program name and you’ll be taken to a web page that provides detailed information on the program, including eligibility, the dollar amount of the program, and how to apply for the grant:
Equipment and Property (Purchase or Lease) Grants for Ontario Businesses
Other Types of Business Funding for Equipment and Property (Purchase or Lease)
Our goal is for this guide to be a complete source of funding information for businesses seeking to purchase or lease equipment or property. So, in this section you’ll find all the other money programs (besides grants) that are available to Ontario entrepreneurs for purchasing or leasing equipment or property:
Businesses Loans for Equipment and Property (Purchase or Lease)
A loan might not sound as good as a grant, but many equipment or property loans for businesses have a low interest rate. While they might not be free money, if you don’t qualify for a grant, a low-interest loan is probably the next best thing.
The programs below include government loans loans and loan guarantees (which are loans that are provided by commercial banks but guaranteed by the government):
Government Equipment or Property Loans for Businesses
If you’re not eligible for a government loan, you might consider one of the commercial loans available for equipment or property (purchase or lease) entrepreneurs. Below is a sample of current loan programs offered by the “Big 5” Canadian banks that are available specifically for equipment or property (purchase or lease):
In addition to loans, there are lines of credit offered by some commercial banks specifically for equipment or property (purchase or lease) entrepreneurs.
Here are some lines of credit currently available to Ontario businesses for equipment or property (purchase or lease):
A tax credit reduces the tax that a business pays on its taxable income.
There is an equipment or property tax credit available for Ontario businesses:
Tax Credits for Equipment or Property (purchase or lease)
|Name of Program||Amount||Type|
|Canada Revenue Agency (CRA) Full Expensing for Manufacturers and Processors||no fixed amount||Tax Credit|
|Canada Revenue Agency (CRA) Full Expensing for Clean Energy Investments||no fixed amount||Tax Credit|
|Canada Revenue Agency (CRA) Accelerated Investment Incentive||no fixed amount||Tax Credit|
Best Equipment and Property (Purchase or Lease) Business Grants, Loans & More
While there are lots of good programs available, below we highlight some of the best grants, loans, loan guarantees & more for equipment or property (purchase or lease) available to Ontario businesses:
Best Government Grants for Equipment or Property (purchase or lease)
Infrastructure Canada and Canada Infrastructure Bank (CIB) – Zero Emission Transit Fund (ZETF): Planning Projects and Capital Projects
The Zero Emission Transit Fund provides contributions to public transit and school bus operators across Canada who are electrifying their fleets. ZETF supports planning and capital projects that will reduce the barriers to procuring zero emission transit and school buses in Canada.
Ministry of Economic Development, Job Creation and Trade – Regional Development Program: Advanced Manufacturing and Innovation Competitiveness (AMIC) Stream
The Advanced Manufacturing and Innovation Competitiveness (AMIC) Stream will provide financial support to advanced manufacturing companies with a focus on small and medium-sized enterprises across Ontario. It will provide investments in capital equipment, technology adoption and skills development.
Ministry of Natural Resources and Forestry – Forest Sector Investment and Innovation Program (FSIIP) – Business Projects
The Forest Sector Investment and Innovation Program (FSIIP) – Business Projects program provides funding for strategic investments in the forest sector to for-profit manufacturers and processors of wood and forest biomass across Ontario.
Strategic investments must improve productivity and innovation, enhance competitiveness, support new market access, provide benefits to Ontario’s broader forest sector and strengthen regional economies.
Northern Ontario Heritage Fund Corporation (NOHFC) – INVEST North Program: Investment – Grow Stream
The Investment – Grow Stream provides financial support to businesses expanding existing operations in Northern Ontario.
Best Government Loans for Equipment or Property (purchase or lease)
Innovation, Science and Economic Development Canada (ISED) – Canada Digital Adoption Program (CDAP): Boost Your Business Technology
The Canada Digital Adoption Program (CDAP), by the Government of Canada, helps small and medium-sized enterprises (SMEs) adopt digital technologies to increase their competitiveness through this program. Eligible businesses will receive a grant to build their digital plan, followed by a 0% loan of up to $100,000 to implement it.
The loan can be used for:
Business Development Bank of Canada (BDC) – Equipment Purchase Financing
BDC helps Canadian businesses invest in equipment to expand and modernize operations, or replace outdated machinery so that they can increase production and fuel their growth.
Financing can be used to:
FedNor – Targeted Manufacturing Initiative for Northern Ontario: Productivity Improvements under Regional Economic Growth through Innovation program (REGI)
Through its Regional Economic Growth through Innovation program, FedNor provides repayable assistance to existing Northern Ontario manufacturers to upgrade and improve capital equipment used in manufacturing processes, including information and communications technology, to improve their competitiveness and productivity.
Best Government Loan Guarantee for Equipment or Property (purchase or lease)
Innovation, Science and Economic Development Canada (ISED) – Canada Small Business Financing Program (CSBFP)
The Canada Small Business Financing Program makes it easier for small businesses to obtain loans from financial institutions because the government shares the risk with the lenders.
Best Tax Credits
Canada Revenue Agency – Full Expensing for Clean Energy Investments
The Full Expensing for Clean Energy Investments allows businesses to immediately write off the full cost of specified clean energy equipment, subject to the Capital Cost Allowance (CCA) rules.
Best Utility Company Grant for Equipment or Property (purchase or lease)
Enbridge Gas – Equipment Upgrades: Fixed Incentive Program: Air Curtain, Condensing Make-up Air (MUA), & Dock Door Seal
The Fixed Incentive Program is designed to offset the cost of upgrading equipment to energy-efficient natural gas technology, whether replacing end-of-life equipment or planning to buy new equipment. This program provides three incentives, including:
Best Non-profit Grants for Equipment or Property (purchase or lease)
Innovation Initiatives Ontario North (IION) – Triple-P Program
The Triple-P program is designed to spur economic development by offsetting the cost of purchasing equipment or software related to the innovative commercial product, process, or service of the for-profit company in three categories: productivity, prototype, and process improvements.
This support could be applicable, but not limited to, projects that have the following outcomes:
Northwestern Ontario Innovation Centre (NOIC) – Next Level Program
The Next Level program provides funding for Northwestern Ontario businesses with an innovative product or service and looking to expand. The support may be applicable to contracted expertise, services or direct costs in any of the following areas: equipment purchase, expansion to new markets, conference & tradeshows costs ($1,000 max), training & certification costs.
Rural Agri-Innovation Network (RAIN) – Responsive Advancement for Meat Processing (RAMP) Program
The Responsive Advancement for Meat Processing (RAMP) Program provides northern Ontario abattoirs and free-standing meat processing up to $25,000 at 75% cost-share towards the purchase of new technologies, equipment and/or materials that will result in the growth and diversity of the meat sector supply chain within the agri-food sector in the region.
Best Non-profit Loans for Equipment or Property (purchase or lease)
Community Futures Development Corporations (CFDCs) in Ontario (Community Futures Ontario) – Community Futures Program (CFP)
CFDCs are dedicated to helping small and medium sized businesses access services and capital, as well as enhancing their community’s economic and employment growth through community-based planning and economic development initiatives.
CFDCs offer the following services:
Greenstone Economic Development Corporation (GEDC) – 3-Tier Lending Program
GEDC’s 3-Tier Lending Program was developed to assist new and existing small to medium enterprises (SME) to finance startup, expansion, purchase of assets or working capital. There are 3 types of loans:
Two Rivers Community Development Centre (TRCDC) – General Loans
TRCDC provides financing of up to $1,150,000 to First Nations entrepreneurs in their service area. Loans are available for business expansion, business acquisition, equipment purchase, and working capital for inventory and day to day expenses.
Wellington Waterloo Community Futures (WWCF) – Rural Women in Business Loans
Wellington Waterloo Community Futures provides rural women in business loans that help with startup funds or expansion plans. The maximum loan size is $250,000.00 to be used for the purchase of fixed assets, leasehold improvements, inventory, expansion, start-up or working capital or a combination of any along with some consolidation.