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Canada Digital Adoption Program

Grow Your Business Online

As part of the Canada Digital Adoption Program, the Government of Canada has partnered with Tech Yukon to deliver the Grow Your Business Online grant to small businesses in the Yukon. This grant can help get your business online, give your e-commerce presence a boost or digitalize your business’s operations.

With additional support from Yukon Government Department of Economic Development and the Canadian Northern Economic Development Agency, eligible Yukon businesses will receive a micro-grant of up to $5,000 to help with costs related to adopting e-commerce and will be supported by a network of e-commerce advisors. The e-commerce advisors will work with businesses to help identify their digital goals, advise on the application process, and answer any questions about the program.

This program is meant for consumer-facing small businesses who want to:
  • Start selling products and services online
  • Create an online ordering system
  • Integrate online bookings or reservations
  • Accept online payments
  • Add new features or functionality to an existing online store or booking system
 
Not sure if you’re eligible? Check the criteria below!

We are currently oversubscribed and are NOT accepting new applications.
If you'd like to be added to a waitlist, please contact [email protected]

FIND OUT IF YOU QUALIFY

BUSINESS ELIGIBILITY

 

Who is Eligible:

To be eligible for micro-grant funding, small businesses must meet all of the following criteria:

  • Must be a for-profit business (including for-profit social enterprises and co-operatives) in Yukon
  • Must be a registered or incorporated business
  • Must be a consumer-facing business
  • Must be able to be accessed by consumers or provide in-person services to consumers
  • Must have at least one employee (other than the business owner) OR have had at least $30,000 in annual revenue in the most recent tax year (2022)
  • Must commit to maintaining a digital adoption strategy for six months after participation in the program
  • Must consent to participating in follow-up surveys, sharing information with the Government of Canada (ISED and Statistics Canada), and having the name of the business published as a recipient of funding

 

Who is not Eligible:

The following types of small businesses are ineligible:

  • Corporate chains and franchises
  • Registered charities and not-for-profit organizations
  • Representatives of multi-level marketing companies
  • Real estate brokerages and sales agents

GRANT EXPENSE ELIGIBILITY

ELIGIBLE

Please note all eligible costs must be directly tied to the sale of goods and services online (i.e. online reservations/ordering or chat bot function on website), and you will need to clearly outline this in your application.

  • Costs related to the implementation or improvement of a digital e-commerce plan (e.g. online reservation/booking tools, online ordering systems, electronic payments)
  • Costs related to website search optimization
    • Note: plan cannot be strictly website search optimization, it needs to be tied to overall e-commerce implementation plan, and not a standalone item
  • Costs related to the installation of an e-commerce platform (including subscription fees/costs)
  • Costs of back-office solutions to support an e-commerce strategy
  • Costs of social media advertising
    • Note: plan cannot be strictly social media advertising, it needs to be tied to overall e-commerce implementation plan, and not a standalone item
  • Costs related to the creation of customer databases
  • Hiring a consultant/agency to execute digital marketing initiatives related to your e-commerce store
  • Development of new e-commerce website
  • Upgrading existing e-commerce site for added functionality (i.e., new plugins, or features)
    • Please note redesign of an existing site is not eligible
  • E-commerce software including:
    • Software to track and manage product inventory, as well as fulfill and ship orders
    • Software for product databases
    • Software to track sales, market to customers, offer discounts, maintain loyalty programs
    • Software to simplify marketing
    • Cybersecurity software or certifications
  • Hardware and accompanying software up to 20% and no more than 20% of the total grant amount
    • Limited coverage software would be any software that is bought together with equipment required to support an e-commerce strategy. For instance, if a small business buys a new e-commerce integrated point of sale (POS) system that costs $1,300 (including software) as a part of their $5,000 plan, they will be reimbursed 20% (in this case $260) for hardware. Additional hardware expenses are calculated similarly and the total hardware expenses must not exceed $1,000.

INELIGIBLE

Please note that any transactions deemed to be non-arm’s length between a successful grant recipient and their chosen service provider are ineligible.

A non-arm’s length transaction is a transaction made between related persons as described in Section 251 of the Income Tax Act, which defines related persons as individuals connected by blood relationship, marriage, or adoption, and any situation involving different degrees of control by these persons or corporations.

  • Costs of connectivity
  • Costs related to the shipping of goods purchased through the e-commerce platform
  • Purchases made prior to grant approval
  • Office software (e.g. Microsoft Office, iWork, Google Workspace, etc.)
  • Renewal of digital services such as domain name, software subscription etc.
    • This includes existing e-commerce subscriptions
  • Signage and printing
  • Logo redesign and rebranding
  • Business owner’s salary or current employee salary for executing the project
  • Costs of land, building or vehicle purchase
  • Costs of intangible assets such a goodwill, whether capitalized or expensed
  • Depreciation or amortization expenses
  • Interest on invested capital, bonds, or debentures
  • Bond discount
  • Monthly mortgage, loan and/or rent payments
  • Refinancing of an existing debt
  • Losses on investments, bad debts, and any other debts
  • Fines or penalties
  • Costs related to litigation
  • Fees for administrators including payments to any member or officer of the Recipient’s Board of Directors
  • Opportunity costs
  • Hospitality and entertainment costs
  • Franchise fees and/or franchise license costs
  • Lobbyist fees
  • New capital expenditure
  • Consulting fees for submission of CDAP application or any costs not related to the acquisition or set up of technology solution
  • Costs related to sales that are not consumer facing (such as wholesale software) or a drop shipping site

FAQS

A consumer-facing business is one that sells products or services directly to end consumers. It may have a brick-and-mortar presence as well as an online presence.

A business that sells to other businesses or engages in wholesale trade may be considered a consumer-facing business if it also sells directly to end consumers. For example, a painting supply store that sells paints to professional painters could be eligible for the program if they open an online store to sell paints directly to consumers. Another example, a farmer selling produce mainly to grocery stores could be eligible for the program if they started to sell directly to consumers through an online platform that enables consumers to order/reserve and prepay for products for pick up at a road side stand.

Businesses that are not considered consumer-facing are those that focus primarily on wholesale trade or sell only to other businesses. Businesses that engage in dropshipping or online reselling are also not considered consumer-facing.

Yes. Consumer-facing businesses are those that provide the majority of their services directly to consumers. Most will have a brick-and-mortar presence where consumers can access their goods and services. Some will also have a virtual ‘front door’ through their online presence which also provides services to consumers.

You need at least 1 employee, part-time or full-time, that has been working for at least 3 months at your business. Owners and business partners do not count as employees. Freelance or contract are also not considered employees.

If you do not have an employee, then businesses with at least $30,000 in annual revenue in the most recent tax year (2021), will qualify for the grant.

Yes, it can be either one or the other. The key is that the business must be legitimate, operate according to existing rules and regulations, and registered to operate (CRA business number, operating/business license).

The micro-grant can be used to pay a contractor only if the contractor operates an independent business (registered and/or incorporated) that provides digital-adoption services. The grant cannot be used to pay an employee’s salary.

It will be a reimbursement. The recipient must provide paid receipts to be reimbursed.

One of the following:

  • Master business license
  • Article of incorporation
  • GST return from CRA
  • Proof Of Payroll Source Deductions paid (PD7A and paystub) for upload (mandatory)

It is preferred that you provide a government document that confirms it’s a business. If you only provide a GST/HST number, then this number will be verified via the GST/HST registry.

We are currently oversubscribed and are NOT accepting new applications.
If you'd like to be added to a waitlist, please contact [email protected]

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