Aiming to address barriers to financing, the First Nations Business Start-up & Expansion Program (FNSEP), provides business financing and grants to qualified First Nation individuals and businesses. Financing, including term loans and working capital, is tailored to meet business needs and applications will be considered for full project financing, partial financing or leveraging to complement other financing or funding. Funding for FNBSEP is provided through the Aboriginal Economic Development Fund by the Ministry of Indigenous Affairs.

First Nations members with valid Certificate of Indian Status, living on or off reserve; First Nations businesses (51%) majority owned; and economic development corporations owned by a First Nation which are engaged in a for-profit business activity in Ontario are eligible. Applications relating to farm and agribusiness are welcomed from applicants across Ontario. As well, applications relating to all business sectors are welcomed from applicants in South Central and Eastern Ontario. To be eligible, applicants must demonstrate that FNBSEP financing is required and that other sources of financing have been exhausted.

$100,000 in financing and $10,000 grant

Business start-up, business expansion and business acquisition costs. Projects must demonstrate viability, the ability of the business to pay all of its expenses including loan payments and generate a profit for the owner. Applicants must demonstrate the project benefits, their need for financing, financial and managerial capability, and a sound financial plan.

Eligible costs may include, but are not limited to; professional fees, research and development, new product development, and market expansion. Capital to support the growth of the business is eligible if it is to be used to increase production capacity, productivity, profitability, market reach, product development, or for working capital. Acquisition of an existing business with the potential to benefit Aboriginal people is eligible. All eligible expenses must be incurred between the project start and end dates.

Generally, a minimum of 10% cash equity is required.

For an application call 1-800-363-0329 or email: info@firstnationsag.ca

Once your application is received you will be contacted and additional information about your project may be sought. When all information is obtained, your application will be screened for eligibility and then presented for evaluation and assessment.

At the application stage, evidence of Aboriginal ancestry and other personal and project data is required. At the evaluation stage, evidence of equity and a business plan is needed which should include a resume, demonstrated market potential and business viability.

It is applied directly to the loan to either reduce the term and/or interest paid on the loan.

This will be confirmed at the time of approval on a case by case basis.

No. Projects must demonstrate the assets to be purchased will expand or enhance operations.

First Nations Ag & Finance staff can assist and/or check with your local EDO office.

This will depend on the loan terms and amortization schedule set up when your loan is approved. Typically loan payments commence one month after you receive your loan.

In addition to making regular loan payments, you will be required to submit annual status reports and annual financial statements. Any publicity about the project must include recognition of the AEDF program. All records of project expenditures must be retained.