We’re diving into the highlights from our recent "Ask Me Anything" webinar, where Bontu Galataa, ATB Entrepreneur Ecosystem Strategist, sat down with Brianna Blaney, CEO and Jaime Proctor, Head of Growth at Pocketed. 

Read on for the top questions asked and key knowledge gained, offering practical advice and strategies to help you make the most of available financial opportunities.

 

Grants vs. tax credits: understanding the differences

Grants and tax credits are both valuable tools for businesses, but they function differently:

• Grants require you to apply in advance of undertaking the activity or project you seek funding for. Approval is necessary before you spend money, meaning you need to plan ahead.
• Tax credits, on the other hand, are typically retroactive. This means you qualify for them after you’ve spent money on an eligible activity. The key is to ensure you submit your application within the required timelines.

Understanding these distinctions is essential for successfully leveraging the financial support available to your business.

 

Hiring grants: What you need to know

Hiring grants are available, but they come with specific eligibility requirements. The role you’re hiring for, the project it supports, and the candidate’s profile all play a role in determining eligibility. Here are the five key demographics widely eligible for hiring grants:

1. Students: Currently enrolled in a Canadian post-secondary program, students of all ages can be eligible.
2. Youth: Individuals 30 years or younger are often eligible, particularly those new to the workforce.
3. Unemployed individuals: Those who are recently unemployed or underemployed may qualify.
4. Academic collaborations: If you’re working with a postsecondary institution on research or innovation, you may be able to hire through grant funding.
5. Newcomers: Individuals who have achieved permanent residency or Canadian citizenship in the last five years may also qualify, especially in specific industries. 

It’s important to note that international students and individuals on temporary work permits are largely not eligible for these grants, though there are rare exceptions.

 

The reality for mental health businesses

A common misconception is that certain types of businesses, like mental health care businesses, are entitled to specific grants. However, it’s crucial to understand that grants fund projects and activities, not entire businesses.

For example, being a woman-owned business or a mental health care business does not automatically qualify you for a grant. Instead, think about the specific activities you’re undertaking to build your business—these are what grants are designed to support. For example, if your project involves developing new marketing technology for your website, that could be a fundable activity.

If you’re a for-profit mental health business seeking funding for mental health programming, know that these grants typically go to nonprofits. However, you can still access funding by partnering with a nonprofit or establishing a nonprofit arm within your organization.

 

Grants for women-owned businesses: The hard truth

Many women entrepreneurs seek grants specifically for women-owned businesses. However, the reality is that less than 2% of available grants are exclusively for women-owned businesses. While this figure is discouraging, it’s important not to limit yourself to these specific grants alone.

As a woman-owned business, you have access to 100% of available grants, not just the 2% designated for women. Often, you may even have priority access to programs that don’t specifically target women but still favor equity-deserving communities.

 

Corporate competitions: Another avenue for funding

Another great way to secure funding is through corporate competitions. Many large companies, like Visa and Telus, offer competitions that prioritize diversity and often award cash prizes and other resources to small businesses. These competitions are highly competitive but can be a valuable source of funding and exposure for your business.

If you need professional assistance in crafting a compelling application for these competitions, Pocketed recommends using a grant writer or grant writing service. 

 

Where to look

There are numerous places to find grants, namely through governments, non-profits and private organizations. This is where research comes into play so you can discover the ones relevant to your business and worth your time.

Start with the federal government’s free Business Benefits Finder. Fill in the blanks of your story as the tool inquires about the type and amount of desired support, goals, business and project stages, industry and location. As of February 2024, the Business Benefits Finder has more than 1,630 support programs Canada-wide—with 215 of those specifically tagged “grants” and “Alberta.” There’s funding for newcomers, diversity in agriculture, technological innovations, security solutions and upgrading cultural spaces.

Explore small business resources from the Alberta government, including Indigenous programs, the Alberta Export Expansion Program (which helps export-ready companies access international markets) and the Canada-Alberta Job Grant (which helps Albertans access training opportunities).

Look at your municipality’s website for funding opportunities (like Edmonton, Calgary and Lethbridge).

Other places to find small business grants:

Alberta Business Grants: full-service grant-writing agency with a database
Alberta Innovates: government-funded agency supporting the province’s growth
Business Link: government-funded non-profit offering the Grow Your Business Online Grant
Pocketed: tool to filter grants (see free offer below)
AgPal: helps farmers and agri-businesses find relevant resources
 

Where to find arts and culture grants:

Rozsa Foundation: philanthropic organization supporting Alberta arts
Alberta Foundation for the Arts: public agency and provincial corporation of the Alberta government providing grants
Alberta government: Cultural industry grants and funding, and arts, culture and sports grants search
Edmonton Arts Council: non-profit supporting Edmonton arts
Banff Centre for Arts and Creativity: arts and culture educational institution in Banff
Alberta Music: private, non-profit, member-based association
 

Eligibility considerations

Many variables can impact if your business qualifies for a grant:

• Location
• Industry
• Your funding needs
• Specific purpose of money
• Business structure and stage
• Investment requirements
• Demographics
• Diversity and inclusion initiatives
• Community or economic impact

 

How Pocketed Works

Pocketed is offering free access to their software for ATB clients and community members (click here or use referral code ATBxGRANTS101 for access), however, services like grant writing and consulting are paid offerings. Pocketed aims to work with clients on a success basis whenever possible, meaning they only get paid if your application is successful. However, certain programs do not allow this structure, so in those cases, Pocketed charges project fees or hybrid fees, which combine a small deposit with a success-based fee.

Application tips

Grant applications are time-consuming, so focus on one at a time and make your efforts worthwhile. It’s a competitive landscape, so only apply for grants that match your company’s needs. Don’t ask for 100 per cent funding or more than the grant allows—some places won’t even review your application if you do. The federal government calls that a non-starter.

“Try to get as much of your funding secured or sourced as possible before seeking government investment, and include these contacts in your application, ” Innovation Canada says. “That way, you can demonstrate how you’ve already managed to guarantee other sources of legitimate funding and that could very well increase the program’s confidence in your proposal.”

After you’ve found a relevant grant and determined your eligibility, call or meet with agencies to ask questions. Think about your networking elevator pitch and apply its brevity to your idea description. Don’t just talk about yourself—instead, focus on what your business can do for your community and beyond. How can you demonstrate that your idea is viable? How will you use the money in your business?

Write an engaging, easy-to-understand proposal (for someone unfamiliar with your business, industry or products) with data demonstrating how your project will fulfill the requirements of the grant program, whether it’s benefiting the community, economy or other initiatives. 

Applicants can also use a grant writer to make the process smoother and more strategic. A skilled grant writer can bolster your application process effectively communicating your project's objectives and impact, while also ensuring adherence to grant guidelines and requirements. Leveraging their expertise and skills can increase your chances of securing funding by presenting your proposal in the most favorable light to grant-giving organizations. 

 

Information that many grant programs ask for:

• Business description and plan
• Number of employees
• Financial statements
• Incorporation documents
• Project details, expenses, risks and economic benefits

Track the grant deadline and apply beforehand. If you get approved and the funds are dispersed, you might have to complete regular reports and on-site audits to comply with grant conditions. 

 

Other considerations

Be wary of scams. Look closely at website names trying to imitate legitimate ones. Competition Bureau Canada says governments at any level “generally do not charge a fee for information on their programs, including grants and loans,” adding that private companies don’t play a role in the government grant approval process.

“No one can guarantee government grants or loans,” it said.

If no grants are available, discuss alternative funding options with an ATB business advisor.