Harper Government Invests in Regional Diversification in Eastern Ontario

KINGSTON, ONTARIO--(Marketwired - June 18, 2015) - Federal Economic Development Agency for Southern Ontario (FedDev Ontario)

Today, FedDev Ontario Minister Gary Goodyear announced a contribution of $3 million to the Eastern Ontario Community Futures Development Corporation Network (EOCFDC Network) to support the stability and growth of small- and medium-sized enterprises in eastern Ontario.

With this investment, the EOCFDC Network is establishing a $6-million investment fund to strengthen regional diversification efforts across eastern Ontario. The federal contribution is leveraging $3 million in matching funding from the network of 15 eastern Ontario Community Futures Development Corporations (CFDCs).

The project will provide a critical source of capital to support the transfer of businesses to a new generation of entrepreneurs, as well as serve other regional diversification needs in rural eastern Ontario.

Through this fund, the Network expects to support 25 small-and medium-sized enterprises by providing access to capital for business development, transfers and other business retention and expansion activities.

The federal contribution, through the Investing in Regional Diversification (IRD) initiative, is aimed at supporting the long-term development of stronger, more diverse economies in southern Ontario communities. IRD leverages unique regional assets and local expertise to attract new investment and opportunities for economic growth and development.

Quick Facts

• The EOCFDC Network plays a leadership role in coordinating regional economic development activities amongst its members and the businesses and communities it serves.
• The EOCFDC Network anticipates that 12 new partnerships will be formed; creating up to 35 permanent and 10 temporary full-time equivalent jobs during the project.
• Small-and medium-sized enterprises will be eligible to apply for a loan of $350,000 for activities that include business succession planning, new market and product development, productivity improvements and other diversification activities that support business and employment growth.

Quotes

"Our Government is committed to providing the right resources to small-and medium-sized enterprises to inject additional capital into the Region and enhance a Community Futures Development Corporation's (CFDC's) capability to meet short term loan demands. Today's announcement will facilitate the flow of capital across the region, help match supply with demand and strengthen diversification efforts."

-The Honourable Gary Goodyear, Minister of State for FedDev Ontario

"Many eastern Ontario communities continue to face challenges resulting from structural adjustments in the economy and recovery from the recent recession. This contribution from FedDev Ontario enhances the capacity of our 15 member CFDCs to address these challenges by supporting small business growth, expansion and succession planning. We appreciate the continued support from FedDev Ontario to front-line organizations like Community Futures, who work collaboratively in their communities to strengthen regional diversification and support economic stability."

-Christine Dukelow, Chairperson, EOCFDC Network Board

Associated Links

Investing in Regional Diversification

EOCFDC Network

Subscribe to our news updates and follow us on Twitter @FedDevOntario