Grants for Clean Technology Guidebook
Why do I want a clean tech grant for my small business?

Summary

• Government grants can help you hire and train staff, accelerate product development, commercialize new products, and expand to new markets. 
• Government funding is non-dilutive, so you don’t have to give up any ownership of your business in exchange for the funds.. 
• Supporting clean tech is a federal policy priority, so businesses in this sector will be among the first in line for grant funding.

The biggest barrier to adopting clean technology is not technological: it’s economic. Developing and scaling new technologies costs money, but the financial incentive to implement them also needs to be in place.

If it’s cheaper to pollute, the risk of climate change will not be enough to inspire the changes needed to ensure a sustainable future for us all. This is why government funding is so important in the clean technology sector: through a combination of policy initiatives, tax incentives, and strategic investments, governments are working to incentivize and accelerate our transition to a low-carbon economy.

If you’re a small business in clean tech, this is good news! The Canadian government recognizes the value of your products and services, and they’re looking for ways to support what you do. Best of all, government funding is non-dilutive, so you don’t have to give up any ownership of your business in exchange for the funds. You could be leveraging government grants and low-  or no-interest loans to onboard talent, advance product development, commercialize new products, and expand to new markets. If you’re not exploring these options already, it’s time to start! Here’s a look at how to use clean tech grants to grow your business. 

Hiring grants for Clean Tech

Hiring grants can help offset the cost of adding new staff to your team. These grants usually come in the form of a wage subsidy that covers a certain percentage of a new employee’s salary. Often, they are designed to increase the participation of certain groups (students, youth, remote/rural populations) in the workforce. Readers of this guide will be happy to learn that some hiring grants are designed specifically for the green economy! While these programs were extremely flexible during the pandemic, they have become more targeted after 2021. This means it pays (literally) to do your research, and ensure your new hires meet the criteria of the grants you want to apply for.  

Training grants for Clean Tech

What would it mean for your business if you could get free grant money to upskill your staff? You can, and you should! Training grants are issued at the provincial level, and are available in most provinces and territories. A wide range of training opportunities are eligible for government subsidies, and businesses with a clean tech focus will be especially attractive to funders. Leverage these funding opportunities to build your team’s capacity and develop new skills. 

Market Expansion Grants for Clean Tech

If your business is established in a local context, and you’re ready to break into international markets, consider applying for a market expansion grant. Both provincial and federal governments run programs of this type. A well written application could secure tens of thousands of dollars in grant funding to offset costs associated with advertising, consultation, translation, and travel, helping you expand into the US, Europe, Asia, or Latin America. Applications for these programs are a lot of work, but the reward is well worth your time and effort. 

R&DAdditionally, there are  funding programs designed to support research and development in the clean technology sector. These programs deliver millions of dollars in grant funding to support Canada’s green economy. If you’re developing a high-tech product or service with the potential to solve challenges associated with climate change, you should be exploring funding opportunities from Innovation, Science, and Economic Development Canada. The Natural Sciences and Engineering Research Council of Canada, NSERC, also offers grants to private-sector applicants in collaboration with post-secondary institutions.