“Enhancing the equity position of applicants who intend to establish or expand eligible businesses”

The Opportunity Fund Program provides financial aid in the form of matching equity funding. The objective is to use the funding to obtain conventional debt financing for business start-ups, expansions or acquiring an existing business.

The Resource Acquisition Initiative helps communities to fund resource-sector and related business opportunities, which may include acquiring natural resource permits and licenses.

In both programs, eligible First Nation and Inuit businesses receive the funding through their Community Economic Development Organization (CEDO).

Opportunity Fund Downloads:

• Download Guidelines
• Download Statement of Intent

The Opportunity Fund/RAI - Frequently Asked Questions

1. Who is eligible to apply?

First Nations individuals, Bands, Development Corporations, Tribal Councils.

2. What is the maximum amount of assistance?

The fund can provide assistance that will match the applicant’s equity contribution to a maximum of 25% of eligible capital costs, which in turn, can be used to access conventional financing.

3. Is the contribution a loan?

Funding will be made through a contribution agreement (not a grant) which means the funding is a conditional transfer payment for a specified purpose that is subject to being accounted for or audited for the purpose of determining adherence to terms and conditions of payment and for which unexpended balances or unallowable expenditures are to be reimbursed to the Crown.

4. What are the reporting requirements after receiving the contribution?

Recipients are required to complete a Project Status Report for funding received from DIAND after 12 months. The department collects program data to support:

• statutory requirements;
• accountability;
• resource allocation
• operational requirements (administrative needs);
• program planning; and
• policy analysis.

5. What is a Community Economic Development Organization (CEDO)?

CEDOs are the predominant economic development agents. They operate in 437 communities and provide support in a number of ways, including:

• helping to develop community economic plans and strategies
• providing advisory services
• planning and facilitating business development projects
• providing contributions, repayable contributions or loans to community members for training, business or resource development projects
• investing equity positions in start-up enterprises or expansions
• providing job-related training and employment programs
• managing financial and technical services

6. Why are Community Economic Development Organizations required to be involved with the transfer of funds?

Indian & Northern Affairs Canada has a contribution contract with the CEDO’s to transfer funds to First Nations. INAC will not transfer funds to recipients directly.