Funding for Indigenous entrepreneurs in Canada

For most First Nations, Inuit and Métis entrepreneurs, the best place to start is the Indigenous Financial Institution or Métis Capital Corporation that serves your region. These lenders offer business loans and advice, and they deliver the federal Aboriginal Entrepreneurship Program, which can add a non-repayable contribution to your financing. Indigenous entrepreneurs can also apply to every general program their business qualifies for; the programs for Indigenous entrepreneurs and the funding check list both.

What are Indigenous Financial Institutions?

Indigenous Financial Institutions, often called Aboriginal Financial Institutions or AFIs, are Indigenous-owned and Indigenous-controlled lenders that focus on Indigenous businesses. Some serve a region, some serve particular Nations or communities, and the Métis Capital Corporations serve Métis entrepreneurs. Many have operated for a long time and know the realities of starting a business on reserve, in a remote community or in a city.

They usually offer:

Business loans for starting, buying or growing a business, including for people who find it hard to borrow from a bank.
Help with a business plan and financial projections before you apply.
Advice and aftercare once the business is running.
Access to federal programs they deliver as a delivery partner, such as the Aboriginal Entrepreneurship Program.

Each institution sets its own lending rules, territory and process, so talk to the one that serves where you live or where the business will operate.

What is the Aboriginal Entrepreneurship Program?

The Aboriginal Entrepreneurship Program (Access to Capital) is a federal program that provides non-repayable equity contributions to Indigenous small and medium-sized businesses. Individual entrepreneurs and community-owned businesses can both be eligible. You don't apply to a federal office: you contact your local Indigenous Financial Institution or Métis Capital Corporation, which reviews the project and delivers the funding.

A few things to know before you call:

It usually works alongside other financing. An equity contribution often helps you qualify for a loan, and you will likely need some money of your own in the project. Ask the institution how they combine them.
Eligibility varies between institutions. Each one applies the program in its own way. The program page and the institution will tell you what applies to you.
It takes applications through the year. Check the program page for the current details.

Who counts as Indigenous for these programs?

Each program defines it its own way. Programs may refer to First Nations, Inuit and Métis people, to Indigenous ownership or control of the business, or to community ownership, and some ask for proof such as a status card, a community membership or a Métis citizenship card. Don't assume a rule from one program applies to another. Read the definition on each program page, and ask the delivery organization if you are unsure, for example if the business has a non-Indigenous partner.

Which general programs can Indigenous entrepreneurs use?

All of them, if the business qualifies. Programs set aside for Indigenous businesses are an extra option, not a limit. Worth a look:

Start-up programs for new businesses; see the guide to funding to start a business.
Loans from lenders like BDC, a federal Crown corporation; see the small business funding guide.
Hiring and training programs that pay part of wages; see wage subsidies and hiring programs.
Regional development programs from the federal regional development agencies, explained in federal, provincial and city funding layers.
Community funding for First Nations, Métis and Inuit organizations and non-profits; see the non-profit funding guide.

Browse start-up and growth programs, or everything for small businesses.

How do I prepare to apply?

Know your business structure. Whether you are a sole proprietor, a partnership, incorporated or community-owned changes which programs fit.
Draft a business plan and cash flow. Most lenders ask for both. Your Indigenous Financial Institution can help.
Gather documents such as identification, proof of Indigenous identity if the program asks for it, quotes for what you want to buy, and financial statements. The grant application checklist covers the usual list.
Make a realistic budget. The guide to a grant project budget shows how funders read one.
Don't spend before approval. Costs from before a program approves you often don't count; see apply before you spend.

Frequently asked questions

Where do I apply for the Aboriginal Entrepreneurship Program?

Through your local Indigenous Financial Institution or Métis Capital Corporation. They review your project and deliver the funding. The program page has more on how it works.

Is an equity contribution a loan?

No. An equity contribution is not repaid, but it usually goes with a loan and money of your own. The difference between grants, loans and tax credits explains the main funding types.

Do I need to live on reserve to qualify?

Not necessarily. Each program and institution sets its own rules about where the business is and who owns it. Check the program page and ask the institution that serves your area.

Can I use Indigenous programs and general programs together?

Often, yes, but each program has its own rules about combining funding. See can you combine grants? and the glossary entry on stacking.

This article explains how funding generally works. Each program sets its own rules, amounts and dates: check the program page and the funder’s site before you apply. A CanGrant editor hasn’t reviewed this article yet.