In Budget 2021, the Government of Canada announced the Canada Digital Adoption Program (CDAP) to support Canadian small and medium-sized enterprises (SMEs). An investment of $1.4 billion, the CDAP will provide businesses with financing, tools and resources to adopt e-commerce platforms and implement digital transformation plans. The program also provides training and work opportunities for young Canadians.
Although neither of the program’s 2 streams are open for application yet, you may want to familiarize yourself with the program, and subscribe to the email alert so you know when the intake is open.
Businesses will be able to apply for two kinds of support:
- Stream 1: Grow Your Business Online, will help up to 90,000 SMEs including restaurants, tourism and recreation-based businesses that haven’t yet adopted digital technologies to take advantage of e-commerce opportunities. Eligible businesses will receive:
- microgrants up to $2,400 to help with the costs related to e-commerce opportunities
- access to a network of 11,000 youth/Canadian digital experts to introduce them to and help them use digital tools
- Stream 2: Boost Your Business Technology, will offer support to small and medium Canadian-owned businesses (SMEs), such as small manufacturing and food processing operations, to adopt new technologies. Eligible businesses will receive:
- grants to help cover the costs of advisors who will help plan how to take their business to the next level with new digital solutions tailored to the business. The grant will cover 90% of the cost to develop the digital plan, up to $15,000. The call for applications to serve as a digital advisor for stream 2 is now open.
- To support the implementation of the plan, the SME will be able to apply for a zero-interest loan from the Business Development Bank of Canada (BDC) (up to $100,000) as well as a wage subsidy up to $7,300 for a youth placement.