What is the difference between government grants and government loans?

There is a wide array of important difference between government grants and government loans which you must understand before you apply for either. Government grants are special one-time only payments given to small business owners within Canada that meet specific criteria decided upon by the government. These payments never need be repaid but they may come with specific conditions about what the money is spent on. Government loans, on the other hand, are specific funding arrangements that must be paid back but are often available at vastly reduced rates compared with bank loans. These differences should not be overlooked as this could have a massive impact on the kind of outcome which your small business achieves through these funding arrangements.

Get your small business funded through government grants, loans and private investor programs. To get access to our Funding Database which has over 1,500 funding programs, become a member today.

You can also take advantage of the Small Business Startup Assessment Tool below and see the tools and resources you need to succeed at launching your business. It takes just a minute and will also tell you if there may be any funding programs available.