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Alternative Funding Options (AFO)

The programs catalog.

19 programs the platform can route an applicant toward, 8 of which are wired self-serve today. The catalog grows as we close deals — every program below was added because an applicant landed on a fit Capital Toolkit could deliver.

7 programs

Debt

Government-guaranteed, conventional senior, asset-based, equipment, and subordinated debt.

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  • Government-backed term loan for equipment, leasehold, and real property. Up to $1.15M.

    Size range
    No floor $1,150,000
    Cost
    Prime + 3% (variable) or Residential mortgage rate + 3% (fixed). 2% one-time registration fee.
    Eligibility
    For-profit Canadian business with revenue under $10M. Excludes farming, charities, and a short list of restricted industries.
  • Cash-flow-underwritten facility from a chartered bank, credit union, or Schedule II lender.

    Size range
    $500,000 $25,000,000
    Cost
    Prime + 1–4%. GSA + personal guarantee for closely held companies.
    Eligibility
    Operating business with 1.2–1.5x EBITDA coverage on proposed debt service. Audited or review-engagement financials typically required.
  • Revolving line tied to eligible receivables and inventory. Scales with the business.

    Size range
    $1,000,000 Scales with assets
    Cost
    Prime + 2–5%. 85% advance on eligible AR, 50–65% on finished-goods inventory.
    Eligibility
    Working-capital-intensive business (distributors, manufacturers, staffing). Quality of AR + inventory matters more than profitability.
  • Equipment-specific term loan or lease at 75–90% LTV on the equipment.

    Size range
    $50,000 $10,000,000
    Cost
    Rate varies by equipment class and term. Typically Prime + 2–5%, no personal guarantee on larger deals.
    Eligibility
    Profitable operating business buying specific equipment, vehicles, or production lines. Equipment itself secures the facility.
  • Mezzanine Debt

    Coming soon

    Second-lien or subordinated debt when senior capacity is exhausted.

    Size range
    $2,000,000 $25,000,000
    Cost
    12–18% all-in (coupon + PIK + warrant). Usually unsecured or second-lien.
    Eligibility
    Established business with credible coverage path. Common in leveraged buyouts, MBOs, and acquisition stacks.
  • Bespoke debt structures from non-bank private credit funds. Big-ticket only.

    Size range
    $5,000,000 No ceiling
    Cost
    All-in 8–14% typical for unitranche; higher for stretched senior. Negotiated.
    Eligibility
    Mid-market or larger. Lender will set covenants tailored to the situation rather than off a credit-box checklist.
  • Immediate cash against outstanding receivables. Suits B2B businesses with long DSO.

    Size range
    $50,000 Scales with assets
    Cost
    1–4% per invoice depending on customer credit and invoice age. Recourse vs non-recourse pricing varies.
    Eligibility
    B2B business with creditworthy customers, $50K+/month in eligible AR, and a collection cycle long enough to feel the cash gap (staffing, transportation, manufacturing, distribution).
    Notes
    Different from an ABL revolver: factoring is a true sale of receivables to the factor; an ABL is a loan secured by them.

8 programs

Grants & refundable tax credits

Federal and provincial grants plus refundable tax credits (SR&ED-style) — non-dilutive, project-scoped capital.

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  • Federal funding for large-scale industrial R&D, expansion, and innovation projects.

    Size range
    $10,000,000 No ceiling
    Cost
    Mix of non-repayable contributions and conditionally repayable amounts depending on stream and project. Typically funds 25–50% of eligible costs.
    Eligibility
    Canadian incorporated firm with a multi-year industrial project (typically $10M+ total project cost). Five program streams cover R&D, firm expansion, investment attraction, ecosystem, and collaboration.
  • Federal funding plus advisory for technical innovation projects in Canadian SMEs.

    Size range
    $50,000 $10,000,000
    Cost
    Non-repayable contribution covering up to ~80% of internal technical salaries and ~50% of contractor costs on eligible projects.
    Eligibility
    For-profit incorporated Canadian SME with under 500 staff and a project with clear technical innovation plus a credible commercialization plan. Pairs financial assistance with NRC technical advisors.
  • Federal grant to help Canadian SMEs enter or expand into new export markets.

    Size range
    $10,000 $50,000
    Cost
    Reimburses up to 50% of eligible export-market-entry costs (travel, trade shows, market research, IP protection, translation, digital marketing).
    Eligibility
    Canadian incorporated SME with at least one full-time employee and revenue of $100K–$100M. The target market must not currently represent more than 10% of sales.
  • Federal funding for the development and demonstration of clean technologies.

    Size range
    $500,000 $20,000,000
    Cost
    Non-repayable contribution covering up to ~33% of eligible project costs; the Seed Fund stream covers up to ~50%.
    Eligibility
    Canadian SME developing and demonstrating clean technology with quantifiable environmental and economic benefits. Matching capital from other sources is required.
  • Federal regional programs (ACOA, FedDev Ontario, PrairiesCan, PacifiCan, CED-Q, CanNor).

    Size range
    $25,000 $10,000,000
    Cost
    Mix of non-repayable contributions and unconditionally repayable contributions. Cost-share typically 25–50%.
    Eligibility
    Varies by agency. Generally a Canadian incorporated business operating in the agency's region. Project scope, sector priorities, and matching requirements are set per agency.
  • Federal refundable tax credit on eligible R&D salary, materials, and contractor expenditures.

    Size range
    $25,000 No ceiling
    Cost
    CCPCs: 35% refundable on the first $3M of qualified expenditures, 15% non-refundable above. Provincial top-ups (Ontario, BC, Quebec, etc.) stack on top.
    Eligibility
    Canadian-controlled private corporation (or other corporation) conducting basic research, applied research, or experimental development in Canada. Activities must address technological uncertainty and seek technological advancement.
    Notes
    Filed with the corporate T2 return. The claim window closes 18 months after fiscal year-end — once it lapses, the credit is permanently lost.
  • Refundable credits for interactive digital media development in Ontario, BC, Quebec, and others.

    Size range
    $50,000 $10,000,000
    Cost
    Ontario IDMTC: 35–40% refundable on eligible labour. BC IDMTC: 17.5%. Quebec CDAE: 30–37.5%.
    Eligibility
    Corporation developing eligible interactive digital media products (games, learning software, certain interactive media). Provincial residency and incorporation rules apply per program.
  • Federal refundable ITC on eligible clean-technology equipment investments.

    Size range
    $100,000 No ceiling
    Cost
    30% refundable ITC when prevailing wage + apprenticeship labour requirements are met; otherwise 20%.
    Eligibility
    Taxable Canadian corporation making eligible clean-technology property investments (solar, wind, geothermal, electricity storage, low-carbon heat, certain zero-emission vehicles).

1 program

Equity

Angel introductions and small-cheque equity. Institutional rounds are routed through the Private Equity and Venture Capital modules.

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  • Curated introductions to angel investors, family offices, and strategic partners for early-stage capital.

    Size range
    $100,000 $2,000,000
    Cost
    Dilution typically 5–25% per round, depending on stage and valuation. The CPA models the cap-table impact before the term sheet is signed.
    Eligibility
    Pre-Series-A operating business with a working product, real revenue (or a credible path to it), and a founder prepared to take on outside shareholders. Below institutional PE/VC thresholds.
    Notes
    Institutional rounds — priced VC, mid-market PE buyouts — are routed through the dedicated Venture Capital and Private Equity modules.

3 programs

Alternative structures

Revenue-based financing, royalty deals, crowdfunding, and hybrid structures that don't fit a single classic bucket.

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  • Capital advanced against future monthly revenue, repaid as a fixed % of sales.

    Size range
    $50,000 $5,000,000
    Cost
    Fixed multiple on the advance, typically 1.2–1.5x. Effective APR varies with repayment speed.
    Eligibility
    Recurring-revenue business (SaaS, e-commerce, subscription) with at least six months of consistent monthly revenue. No personal guarantee, no dilution.
  • Capital in exchange for a royalty on future revenue, capped or sunsetted.

    Size range
    $250,000 $10,000,000
    Cost
    Royalty 2–8% of revenue with a 2–4x cap on the original advance, or a sunset after 7–10 years.
    Eligibility
    Product business with high gross margin and a clear revenue trajectory. Royalty rate is set against the use of proceeds and the addressable market.
  • Public retail equity raises through securities-regulated crowdfunding platforms.

    Size range
    $100,000 $5,000,000
    Cost
    Platform fee typically 6–8% of capital raised plus payment processing. Legal and accounting fees for the offering document on top.
    Eligibility
    Canadian incorporated business willing to issue equity to retail investors and accept the disclosure obligations that follow. Audience and narrative matter more than balance-sheet strength.

Don’t see a fit?

The catalog is deliberately curated, not exhaustive. We add named programs as we close deals through them — that’s how we keep the routing honest. If your situation doesn’t map cleanly to anything above, book a consultation; a CPA will walk through which lender, grant program, or alternative structure is the right next conversation.