How to Apply for the REGI Business Scale‑Up and Productivity Program

How to Apply for the REGI Business Scale‑Up and Productivity Program

Growing a business in Northern Ontario takes planning, investment, and patience. You may need to buy new equipment, upgrade technology, or change how you work. Often, these costs come before you see any extra income. The REGI Business Scale‑Up and Productivity Program can help by covering up to half of your project expenses. FEDNOR delivers this program to help established businesses scale up and boost productivity in Northern Ontario.

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What the REGI Business Scale‑Up and Productivity Program Funds

The REGI Business Scale‑Up and Productivity stream is part of the Regional Economic Growth through Innovation (REGI) program. It supports projects that help businesses grow, work more efficiently, and compete in the market.

Funding Amount and Structure

• Maximum funding: Up to $500,000
• Cost‑sharing: Up to 50% of eligible project costs
• Type of funding: Repayable contribution
• Status: Open
• Jurisdiction: Federal (Northern Ontario only)

Because the funding is repayable, you must show your business can finish the project and pay back the contribution under FEDNOR’s terms.

Eligible Project Types

Your project must focus on scaling up or improving productivity. FEDNOR lists eligible activities like:

• Assessing, buying, adapting, or using new technologies or processes
• Increasing or improving manufacturing capacity
• Late‑stage product, process, or service development for market growth or diversification
• Demonstrating new technologies or processes in a real business setting
• Building high‑performance teams
• Adopting best management practices, systems, or processes

Projects must be clear, have a set timeline, and show how they will help your business grow.

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Who Is Eligible to Apply

Before you start, check that your business meets all the main eligibility rules.

Business Eligibility

You may be eligible if your business is:

• An incorporated small or medium‑sized enterprise (SME)
• An Indigenous (First Nation, Métis, or Inuit) business or organization
• Operating for at least two years
• Able to show financial capacity to finish the project and repay the contribution
• Able to show managerial, technical, and operational capacity

Location Requirement

• Project benefits must accrue to Northern Ontario

This is a strict rule. Even if your business is based somewhere else in Canada, the project must clearly benefit Northern Ontario.

Ineligible Businesses

• Retail and service‑based businesses are not eligible

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How to Apply for the REGI Business Scale‑Up and Productivity Program

Applying for REGI funding takes careful planning and detailed information. FEDNOR wants to see a strong business case with solid financial and operational details.

Step 1: Define a Clear Scale‑Up Project

Your project should answer three questions:

• What productivity or capacity problem are you solving?
• How will this project help your business grow or compete better?
• Why is public funding needed for this project right now?

If your plan is too vague or general, your application may not move forward.

Step 2: Prepare Your Project Budget

You will need to show:

• Total project costs
• The amount you are requesting (up to 50%)
• Your confirmed sources of matching funds

Make sure all expenses fit the eligible cost rules. For more details, see: What Business Expenses Are Eligible Across Canadian Grants and Loans?

Step 3: Show Repayment and Management Capacity

Because REGI funding is repayable, FEDNOR will look closely at:

• Past financial statements
• Cash flow forecasts
• Management experience and governance

Using tools like GrantHub’s eligibility matcher can help you quickly see if this program fits your business before you spend time on a full application.

Step 4: Submit and Engage with FEDNOR

Applications go directly to FEDNOR. Review times can take several weeks or even months, depending on the project. Be ready to answer questions or send extra documents if asked.

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Common Mistakes to Avoid

1. Applying as a retail or service business
   These businesses are not eligible, no matter how strong their growth plans are.

2. Forgetting the repayable requirement
   REGI is not a grant. If your repayment plan is weak, your chances drop.

3. Not showing clear Northern Ontario benefits
   FEDNOR must see real economic impact for the region.

4. Making the project too broad
   Projects that try to do too much are harder to approve.

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Frequently Asked Questions

Q: Is the REGI Business Scale‑Up and Productivity funding repayable?
Yes. Funding is a repayable contribution, with terms set by FEDNOR.

Q: How much funding can my business receive?
Eligible businesses can get up to $500,000, covering a maximum of 50% of total project costs.

Q: Does my business need to be located in Northern Ontario?
The project benefits must accrue to Northern Ontario. This is required, even if your company has offices elsewhere.

Q: Are retail or service‑based businesses eligible?
No. Retail and service‑based businesses are not eligible for this program.

Q: How long does the application review process take?
Timelines vary, but most applicants should expect several weeks to months, depending on project complexity and demand.

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GrantHub tracks hundreds of active grant and repayable funding programs across Canada. Use it to check which ones match your business profile and growth goals.

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Next Steps

If you are planning a productivity or scale‑up project in Northern Ontario, the REGI Business Scale‑Up and Productivity Program could be a good fit. Start by narrowing your project scope and getting your financials in order. Then, compare REGI with other funding options, such as repayable versus non‑repayable programs. See also: Repayable vs Non‑Repayable Business Funding in Canada: Program Examples Explained.