The document summarizes programs from the Atlantic Canada Opportunities Agency (ACOA) that provide financial assistance to small and medium-sized enterprises. It outlines ACOA's mandate to increase economic opportunities in Atlantic Canada. It then describes three main programs: the Business Development Program, which focuses on innovation, market development, technology adoption and commercialization; the Productivity and Business Skills Initiative for improving skills and efficiency; and the Atlantic Innovation Fund for projects leading to commercialized products and services. Eligible industries and costs are defined for each program along with the levels of assistance provided.

1. Atlantic Canada
Opportunities Agency
Building a Stronger Economy Together
Capital Connection Showcase
February 21, 2012

2. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
ACOA Mandate
To increase opportunity for economic development in
Atlantic Canada and to enhance the growth of earned
incomes and employment opportunities in the region.
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3. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
ACOA
Programs and Services
The 3 main programs for SME’s are:
• Business Development Program (BDP)
• Innovation
• Market Development
• Technology Adoption
• Supplier Development
• Commercialization
• Productivity and Business Skills Initiative (PBS)
• Atlantic Innovation Fund (AIF)
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4. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
ACOA
• Provides direct financial assistance to Atlantic small and
medium-sized enterprises.
• Help businesses establish, expand or modernize by
offering access to capital in the form of interest-free,
unsecured, repayable or provisionally repayable
contributions.
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5. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
What is eligible?
• Manufacturing and processing
• Information Technology (IT) and knowledge-based
businesses
• Research and development (R&D)
• Tourism
• Industries that provide services to businesses (certain
conditions apply)
• Aquaculture
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6. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
What is not eligible?
• Services of a personal nature
• Distribution, wholesale
• Retail
• Primary sectors (farming, fishing, wood harvesting)
• Construction/Transportation
• Refinancing, mergers and acquisitions
• Professional services (lawyers, accountants)
• Government services
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7. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Business Development Program
Innovation
Objectives
• Development of a new or improved product/service, process or piece of
equipment, where there is a good prospect for commercial
exploitation.
Eligible Costs
• Wages and salaries considered essential for the project (i.e. technical
expertise such as engineers, scientists, technologists…)
• Direct materials required and consumed in carrying out the project
• Special purpose equipment acquired exclusively for use in the project
(not for operations)
• Sub-contracts and consultants fees
• Other: studies, testing services, patent costs…
Level of Assistance
• Provisionally repayable or repayable contribution of up to 75% of
the eligible costs, up to a maximum of $1,000,000
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8. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Business Development Program (cont.)
Market Development
Objectives
• Develop national and export market
• Increase sales
• Secure additional marketing expertise
Eligible Costs
• Hiring of a Marketing Manager
• Development of a Marketing Plan
• Implementation of a Marketing Plan, including:
- Development and production of new packaging and labeling
- Development and production of promotional material
- Exhibiting products for Trade Shows
- Other: Advertising, product demonstrations…
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9. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Business Development Program (cont.)
Market Development(cont.)
Level of Assistance
• Domestic marketing activities
- Repayable contribution of up to 75% of the eligible costs, up to a
maximum of $500,000
• International marketing activities
- Repayable or Provisionally repayable contribution ** of up to
75% of eligible costs, up to a maximum of $500,000
** Provisionally repayable contribution: Loan repayment is based on a percentage of the
resulting sales of products/services to international market.
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10. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Business Development Program (cont.)
Technology Adoption
Objectives
• Become more productive, efficient and ultimately more competitive
• Improve the viability of operations
Eligible Costs
• Costs related to purchasing and installing the new technology (mainly
capital cost)
Level of Assistance
• Repayable contribution of up to 50% of eligible costs, up to a maximum
of $500,000
Repayable contribution: Interest free and unsecured loan
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11. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Business Development Program (cont.)
Supplier Development
Objectives
• Enhance the ability to bid and acquire private and public sector
procurement contracts and sub-contracts
Eligible Costs
• Bid preparation or pre-positioning, such as consultants fees for
technical and special expertise, printing and word processing, legall and
translation services, obtaining bid on performance bonds, purchase of
bid on tender documents.
• Other supplier related activities such as pre-production, testing
services, patent costs, technology transfer, licensing, packaging and
product literature, specialized training…
• General costs, such as sub-contracts, consultants, travel costs….
Level of Assistance
• Provisionally repayable contribution of up to 75% of the eligible
costs, up to a maximum of $500,000.
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12. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Business Development Program (cont.)
Commercialization (not presently available)
Objectives
• Encourage SME’s to secure the necessary expertise and resources
required to increase their ability to bring new products, technologies or
processes to market.
Eligible Costs
• Operating and capital cost
• Marketing Activities
• Human Resources
• Equity Financing
• Regulatory
• Business Support
Level of Assistance
• Provisionally repayable ** or repayable contribution of up to 75%
of the eligible costs.
** Provisionally repayable: The client will have to demonstrate that there is a high
level of risk tied to the commercialization.
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13. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Productivity and Business Skills Initiative
(PBS)
Objectives
Improve SME competitiveness:
• Acquiring new technical or business skills that will be beneficial to the
company.
• Developing and implementing plans to improve the production
efficiency, product quality or environmental management of the
company
Eligible Costs
• Cost of training existing employees, including tuition fees, training
materials, cost of transportation and travel of trainer or trainee.
• Hiring new employees, including salary, related fringe benefits and
recruitment costs.
• Engaging a suitable consultant or firm to provide the expertise
required to develop and implement a Productivity
Improvement, Quality Assurance program.
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14. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Productivity and Business Skills Initiative
(cont.)
Level of Assistance
• Contribution of up to 75% of the eligible cost, up to a maximum of
$50,000, may be provided on a non-repayable basis
• If the company requires a contribution above $50,000, the full
contribution will be repayable
- a company is not eligible for more than $100,000 in non-
repayable assistance over its lifetime under this program
- a company is not eligible for more than one non-repayable
project at any given time
- a company cannot benefit from a second project aimed at the
same objective (e.g. same skills area)
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15. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Atlantic Innovation Fund (AIF)
• Four broad objectives:
• Increase activity in and build capacity for innovation and R-D
• Increase capacity for commercialization
• Support partnership and alliances
• Leverage national R&D programs
• Support:
• Projects that lead to new products, processes or services that have
potential to be successfully commercialized
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16. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Atlantic Innovation Fund (AIF)
• For commercial entity:
• Up to 75% support of eligible costs (except building and major
renovations, at 30%)
• Provisionally repayable based on success
• Minimum AIF contribution is $1,000,000
• Normally not exceed a maximum of $3,000,000
• Eligible costs
• Direct, incremental & essential
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17. BUILDING A STRONGER ECONOMY TOGETHER • ENSEMBLE, POUR UNE ÉCONOMIE PLUS FORTE
Thank you!!
Maxime Savard 851-4181
Louis Jaillet 851-6635
Debbie Leblanc Léger 851-6466
Vickie Ouellette 851-2377
Chantal Thériault 851-2370
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