Boost Your Business Technology (under Canada Digital Adoption Program - CDAP)

Boost Your Business Technology (under Canada Digital Adoption Program - CDAP) is sponsored by Innovation, Science and Economic Development Canada (ISED). The Boost Your Business Technology grant, a stream of the Canada Digital Adoption Program (CDAP), offers support to Canadian-owned small and medium-sized enterprises (SMEs) looking to adopt new digital technologies.

Canada Digital Adoption Program (CDAP) To find out more, consult our Policy on confidentiality . Canada Digital Adoption Program (CDAP) Canada Digital Adoption Program (CDAP) February 19, 2024 - The Canada Digital Adoption Program (CDAP) is no longer accepting new applications for the Boost Your Business Technology stream. Please refer to ISED’s webpage or consult the FAQ below for more details.

Still interested in digital transformation? Check out our new LIFT offer for preferential-rate consulting and financing to adopt artificial intelligence, digital tools, and smart equipment. The Canada Digital Adoption Program (CDAP), by Innovation Science and Economic Development Canada (ISED), helps small and medium-sized enterprises (SMEs) adopt digital technologies.

Businesses with a signed grant agreement to CDAP’s Boost Your Business Technology stream prior to February 19, 2024 may be eligible to receive a grant 2 to build their digital plan, followed by a 0% loan of up to $100,000 1 to implement it. Frequently asked questions We want to use CDAP for our business but haven’t started the process. Are we too late?

To participate, you must have a valid, signed grant agreement before February 19, 2024 to be eligible for the ISED grant and BDC’s 0% loan. I have an account with ISED but have not yet completed the application process nor finalized a grant agreement?

You must have completed your application and signed a grant agreement before the closing date and stay within the program deadlines 3 in order to be eligible for the ISED grant and BDC’s 0% loan offer. Extensions are not permitted.

What is the impact on my business if I’ve signed a grant agreement with ISED but have not yet signed up to work with a digital advisor or if I’m in the process of working with an advisor to develop my digital adoption plan? You are still eligible for the program provided your grant agreement is still valid (not expired).

Please be mindful of the CDAP program deadlines 3 to submit expenses for the ISED grant and for the 0% BDC loan application. Extensions are not permitted. For more information on how to use technology to increase sales, efficiency and retention you can read our article : What is digital adoption Am I still eligible for ISED’s Boost Your Business Technology grant or the BDC 0% loan offer?

Provided you have successfully qualified by signing your grant agreement before February 19, 2024 and respected all program deadlines 3 specified in your agreement, you should be eligible to apply for the ISED grant and the BDC 0% loan offer once your digital plan and invoices have been submitted. Extensions are not permitted. We are now past the 9-month deadline as of February 19, 2024 but haven’t completed our project.

What are our options? Please refer to ISED’s Terms and Conditions of the Boost Your Business Technology grant agreement for more information. I want to know more about the digital adoption plan The responses below apply only if you have a signed grant agreement prior to February 19, 2024 .

Will BDC Advisory Services be able to help me with the creation of a digital adoption plan? Yes, BDC is one of the registered service providers on the Digital Advisors Marketplace. If your business is deemed eligible for the Boost Your Business Technology stream, you will have access to a curated list of service providers that are right for you on the Digital Advisors Marketplace.

You can then select the service provider that meets your needs. Please note that selecting BDC as an advisor will not affect your chances of qualifying for a zero-interest loan. All businesses are treated equally, whether they are existing BDC clients or not.

How long do I have to apply for the 0% loan after my digital adoption plan is approved? You will have 6 months from the time your Digital Adoption Plan is approved by ISED to complete your loan application with BDC. If you exceed this timeframe, you will be ineligible for the loan.

I want to know more about the BDC zero-interest loan What are the loan terms and amounts? Zero-interest loan of up to $100,000 with a 5-year term + 12 months capital postponement (total of 6 years). The amount of the loan is determined by the size of your business and to qualify, you must have at least $500K of annual income as of the closing date of your last fiscal year-end.

If your annual gross revenues as of the closing date of its last fiscal year-end are: between $500,000 and below $5M, you can request a loan of between $25,000 and $50,000 $5M and more, you can request a loan between $25,000 and $100,000 While you may apply for a loan for multiple businesses, note that you are limited to a maximum loan of $200,000 per borrowing group 4 .

The loan must be used solely to implement the recommendations from your digital adoption plan that is recognized by the CDAP Boost Your Business Technology stream. Please note that although the loan request is being made under CDAP, applicants must meet CDAP eligibility criteria and BDC loan terms and credit worthiness requirements to receive a loan offer.

You can create your digital adoption plan, receive the grant that covers up to 90% of advisory services and then decide against the zero-interest loan. Participating in the digital plan portion of CDAP does not oblige you to apply for a loan. If you move forward to implement your plan, you can also source the required funds from your own cashflow or from your regular financial institutions.

When can I apply for a BDC loan? The first step before applying for the loan is to have a digital adoption plan that is recognized by the CDAP Boost Your Business Technology stream. Once your digital adoption plan has been reviewed and approved by CDAP, login to the CDAP portal to gain direct access to BDC’s 0% financing form.

Please note that although the loan request is being made under CDAP, applicants must meet CDAP eligibility criteria and BDC loan terms and credit worthiness requirements in order to receive a loan offer. Why was I declined for the loan when I passed program eligibility? The program eligibility is only one step in the process of making the loan request.

Your business may be declined for multiple reasons. For example, it may not have met BDC’s credit worthiness criteria (ex: credit history, etc.). Please note that although the loan request is being made under CDAP, applicants must meet CDAP eligibility criteria and BDC loan terms and credit worthiness requirements to receive a loan offer.

Also, as the CDAP zero-interest loan is part of a standard loan application, standard banking practices apply. A declined loan request is reflected in your credit score. This is part of the consent you provide when applying for the loan.

1 Loan amount is based on size of business: Business with revenues between $500,000 and less than $5M as of the closing date of its last fiscal year-end can request a loan between $25,000 and $50,000, Businesses with revenues $5M and more as of the closing date of its last fiscal year-end can request a loan between $25,000 and $100,000.

While you may apply for a loan for multiple businesses, note that you are limited to a maximum loan of $200,000 per borrowing group. Loan only available upon completion of an approved digital adoption plan. In addition to Innovation, Science and Economic Development Canada's (ISED) approval process, applicants must meet BDC’s loan terms, credit worthiness and eligibility criteria to get a 0% interest loan.

Five-year term loan with the possibility to postpone principal payments for 12 months at the start of the loan. 2 Innovation, Science and Economic Development Canada (ISED) is responsible for approving digital adoption plans and providing grant money. The grant covers 90% of the eligible cost of the advisory service, up to a maximum amount of $15,000 per SME.

3 Please refer to ISED’s Terms and Conditions of the Boost Your Business Technology grant agreement for more information. 4 A borrowing group is defined as a group of clients who have a loan with BDC and are related by common shareholders or financial statements. Examples include: common shareholders, common security or common personal or corporate guarantors.

Shared credit accommodations (e.g., where one Client is a co-borrower on a line of credit, a common bank account, etc.).