Start with the program that fits the size of your start, and add others as you grow.
Provincial loans and a grant in PEI
- Starting small: the Micro-Loan Program lends up to $15,000 at TD prime plus 4.5% over up to five years. It is meant for a small first step.
- A larger start: the Entrepreneur Loan Program lends up to $100,000 at TD prime plus 3%, with working capital within it capped at $35,000. This is the Island's main start-up loan.
- A grant: Small Business Assistance covers up to 50% of eligible costs, to a maximum of $2,500. It is small, but you do not repay it, and it pairs well with the loans above.
Charlottetown storefront program
Charlottetown's downtown facade improvement program pays for storefront work on the usual city terms: it shares the cost, it must approve the work before you start, and it wants written quotes with the application. Only businesses in downtown Charlottetown can apply.
ACOA: interest-free repayable contributions
As in every Atlantic province, PEI businesses can apply to ACOA's Business Development Program: interest-free, unsecured repayable contributions up to 50% of capital costs for starting or expanding, and up to 75% of the costs of business-growth activities. It suits projects that are too big for the provincial loans.
Money for Indigenous entrepreneurs
Indigenous entrepreneurs across Atlantic Canada can access Ulnooweg's lending (women-and-youth loans up to $25,000 at 8%) and the Aboriginal Business Financing Program's non-repayable contributions, up to 40% of establishment costs and up to 75% of business planning costs.
National programs open in every province
Four national programs are open wherever you are in Canada. The Canada Small Business Financing Program backs loans up to $1,150,000 through your own bank, with a 2% registration fee and term-loan interest capped at prime plus 3%. Futurpreneur Canada Side Hustle lends up to $25,000 to owners aged 18 to 39 who keep a full-time income for the first year, and the Futurpreneur Canada Core Start-Up Program combines up to $25,000 from Futurpreneur with up to $50,000 from BDC for up to $75,000 total, with two years of mentorship. BDC's start-up financing lends up to $150,000 once you have 12 months of operating history, so plan for it in your second year.
The three rules that decide whether you keep the money
- Approval comes before purchase. If you start the work before approval, most cost-share programs will not pay for it.
- Cost-share means reimbursement: you pay first and claim it back with invoices, so plan the cash.
- Grants are generally taxable income; borrowed money is not. Ask your accountant before you spend.
Most applications also want written quotes for the work before anything is approved.
Want the whole country on one page? See startup funding, province by province.