Key Takeaways
- Starter Company Plus offers up to $5,000 in non-repayable funding plus mentoring for entrepreneurs starting, expanding, or buying a business.
- Summer Company gives young entrepreneurs (15–29) up to $3,000 to launch a summer business.
- Small Business Enterprise Centres (SBECs) across Ontario provide free advisory support, and are the delivery point for most provincial grants.
- Businesses affected by U.S. tariffs may qualify for working capital support through the Protect Ontario Financing Program.
- Ontario’s 2026 Budget proposes cutting the small business corporate income tax rate from 3.2% to 2.2%, effective July 1, 2026.
- Federal options like BDC financing, Futurpreneur loans, and CanExport grants can be combined with provincial support.
Ontario small business owners are increasingly searching for funding help this year, and it’s easy to see why. Between rising operating costs, hydro pressures, and shifting trade conditions, many entrepreneurs are looking for every available dollar to stay competitive. Here’s a practical rundown of what’s actually available in Ontario right now.
Starter Company Plus: The Most Common Starting Point
For most new and growing Ontario businesses, Starter Company Plus is the first program worth exploring. It provides business training, mentoring, and a non-repayable grant of up to $5,000 to help entrepreneurs start a new company, expand an existing one, or buy an existing business.
Applicants generally need to be 18 or older, contribute at least 25% of the grant amount themselves, and complete the program requirements set by their local delivery partner. The program is funded provincially but delivered locally, so eligibility details can vary slightly depending on which Small Business Enterprise Centre administers it in your area.
Summer Company for Young Entrepreneurs
Ontario residents between 15 and 29 who want to run a business over the summer can apply to Summer Company. The program pairs mentoring and roughly 12 hours of business training with a grant of up to $3,000 to help cover startup costs. It’s a smaller amount than Starter Company Plus, but it’s specifically designed for first-time, youth-led ventures.
Small Business Enterprise Centres: Free Help Beyond Grants
Every region of Ontario has access to a Small Business Enterprise Centre (SBEC). These centres offer:
- Free one-on-one consultations with a qualified business advisor
- Guidance on licensing, permits, and business registration
- Help identifying which grants and financing programs a business actually qualifies for
- Workshops on business planning, marketing, and finance
Even businesses that don’t end up applying for a grant often find the free advisory support worthwhile, especially when navigating rising costs like the hydro bill increases many Ontario households and businesses are seeing this year.
Support for Tariff-Impacted Businesses
Ontario businesses that have been financially affected by U.S. tariffs may be eligible for the Protect Ontario Financing Program, which is designed to help cover everyday working capital expenses. A related Trade-Impacted Communities Program supports local industries and communities dealing with broader economic disruption tied to trade tensions. Given how quickly tariff policy has shifted over the past year, businesses considering this route should confirm current eligibility directly with the province before applying.
Federal and Other Financing Options
Provincial grants aren’t the only source of funding. A few federal and private options worth knowing about include:
- Futurpreneur – up to $75,000 in collateral-free loan financing plus up to two years of mentorship for entrepreneurs aged 18–39
- BDC Small Business Loan – government-backed financing up to $350,000 for businesses that have been generating revenue for 24+ months
- CanExport SMEs – up to $50,000 to help small businesses cover the cost of expanding into export markets
- Ontario Job Grant (formerly the Canada-Ontario Job Grant) – up to $10,000 per trainee for third-party training, or up to $15,000 for training a previously unemployed new hire
These can often be combined with a provincial grant, since they come from different funding envelopes.
Tax Relief Is Also Coming
Beyond direct grants, Ontario’s 2026 Budget proposes cutting the small business corporate income tax rate from 3.2% to 2.2%, effective July 1, 2026 — a change the province estimates will save small businesses over $1.1 billion in combined relief over three years. For business owners already budgeting around rising costs, including the property tax increases affecting many Ontario municipalities in 2026, this kind of relief can meaningfully offset overhead.
Where to Start
Because eligibility rules shift and funding rounds open and close throughout the year, the most reliable first step is contacting your local Small Business Enterprise Centre directly, or reviewing the province’s official small business funding page before applying anywhere. Program details, deadlines, and funding amounts can change, so always confirm current terms with the official source before submitting an application.
For more practical guides on managing costs and navigating changes as an Ontario business or resident, visit the Ontario Local Guide blog.
* By using ontariolocalguide.ca, you acknowledge and accept the terms of our disclaimer.
