“Small businesses have shown incredible resilience over the last two years as they faced unprecedented challenges from the pandemic,” Trudeau said. “Supporting them has been – and will continue to be – a top priority for our government. That’s why we’re launching the Canada Digital Adoption Program to empower small businesses with the digital tools they need while helping them create good jobs, particularly for young Canadians.”
The Canada Digital Adoption Program (CDAP) is a new program that was announced by the Government of Canada. CDAP aims to help “Canadians get digital.” On March 3, the Canadian government announced a four-year investment of $4 billion to help up to 160,000 small and medium-sized enterprises expand their online presence and modernize or embrace digital technologies.
The program will provide free internet, devices, and training to Canadians who have an income of less than $30,000 per year. Applications are now open, so be sure to apply if you meet the eligibility criteria!
The Canada Digital Adoption Program (CDAP) is a program worth $4 billion that was announced by the Government of Canada. CDAP aims to help “Canadians get digital.” The CDAP will provide Canadians with not only free internet but also free devices and training. In order to be eligible for this program, you must have an income of less than $30,000 per year. Applications are now open, so be sure to apply if you meet the eligibility criteria!
The Canada Digital Adoption Program is a great opportunity for Canadians who are struggling to get online. This program will provide free internet, devices, and training, which will help Canadians get connected and improve their quality of life. If you are eligible for this program, be sure to apply!
Background of this Announcement
The Canada Digital Adoption Program (CDAP) was created to assist small and medium-sized businesses (SMEs) in realizing their full potential via the use of digital technologies. The $4 billion programs, announced in Budget 2021, includes a $1.4 billion investment from the Government of Canada in grants and advisory services to SMEs, as well as up to $2.6 billion in loans from the Business Development Bank of Canada to help businesses cover the costs of implementing new digital technologies.
CDAP Comprises Two Separate Funding Components
Expanding Your Online Business
Grow Your Business Online awards will assist smaller, consumer-facing firms, such as those in the service industry, in adopting e-commerce technologies. This $2,400 micro-grant is open to for-profit businesses, including co-ops and social enterprises. Businesses must be registered or incorporated, and they must employ at least one person. Grow Your Business Online awards will help up to 90,000 small enterprises.
A network of service providers was developed to assist small enterprises with their e-commerce plans. Small businesses will receive advice from these business assistance organizations on how to best build their internet presence. They will also provide the $2,400 micro-grant indicated earlier to offset expenditures associated with e-commerce adoption. These groups will also form a network of adolescent e-commerce consultants to assist small firms in implementing new digital tools. A total of 11,200 young people will be placed. The $2,400 micro-grant can be used to pay the price of website construction, search engine optimization, e-commerce platform subscription fees, and social media advertising, among other things.
Boost Your Organization’s Technology
Boost Your Business Technology funding is available to SMEs who wish to boost their productivity and become more competitive in the digital marketplace. Eligible enterprises must employ between 1 and 499 people and generate between $500,000 and $100 million in yearly revenue. Boost Your Business technology investment will help up to 70,000 SMEs.
Businesses interested in this investment may be aiming to implement new customer relationship software, digital inventory management systems, network security software, and other technologies like artificial intelligence, machine learning, and robotics that can boost their bottom line.
SMEs can take a free digital needs assessment to better understand their digital readiness in order to apply for Boost Your Business Technology funding. They can apply for a grant to cover 90% of the cost of designing a digital adoption plan, up to a maximum of $15,000. A list of experienced digital consulting service providers is available to assist SMEs in developing their strategies. Eligible SMEs will be able to search the Digital Advisor Marketplace for the perfect advisor for their firm based on a variety of parameters such as industrial sector, area of competence, language, and geographic location.
SMEs will be able to apply for an interest-free loan of up to $100,000 from the Business Development Bank of Canada to help them implement their digital adoption plan and acquire new technologies.
We’ve partnered with Magnet, a not-for-profit organization dedicated to connecting businesses with young Canadians looking for work, to employ up to 16,800 students and young Canadians to support businesses looking to adopt digital tools and technologies as part of the Boost Your Business Technology funding. Eligible SMEs can also apply for a $7,300 salary subsidy to keep a post-secondary student or recent post-secondary graduate on staff as part of a youth placement opportunity. The youth work placement is intended to provide further assistance to SMEs who are undergoing digital transformation. The Magnet will match students or recent graduates educated to promote digital transformation with SMEs to assist them with their digital adoption goals, using its social innovation platform.
Recent Updates on CDAP
· The CDAP, which was announced in Budget 2021, is estimated to support up to 160,000 small businesses and thousands of employments, including roughly 30,000 job placements for young Canadians to get vital work experience while assisting businesses to grow.
· The CDAP provides $1.4 billion in grants and advisory services to SMEs, as well as up to $2.6 billion in loans from the Business Development Bank of Canada (BDC) to help SMEs fund digital transformation programs.
· Small enterprises can apply for Grow Your Business Online financing, which includes microgrants of up to $2,400 and the assistance of young e-commerce advisors to help them set up digital storefronts and e-commerce capabilities.
· Grants covering 90% of expenditures up to $15,000 are available through the Boost Your Business Technology program, which also includes access to advisory services to help design a digital adoption plan, zero-interest BDC loans, and student placement possibilities.
· SMEs interested in applying for a CDAP grant or loan can complete a few brief questions online to assist in determining the appropriate funding option for their needs.
· During the pandemic, retail e-commerce has exploded. Retail e-commerce surged by more than 110 percent year over year in May 2020 compared to May 2019, according to Statistics Canada statistics.
Why Was This Program Launched?
Small companies are the lifeblood of the Canadian economy and the beating heart of our communities. The Government of Canada is working to help small businesses adjust to the digital economy and the long-term effects of the COVID-19 pandemic as they continue to expand, develop, and create excellent employment.
The Canada Digital Adoption Program (CDAP) was launched today by Prime Minister Justin Trudeau to assist Canadian small and medium-sized businesses in growing their online presence and upgrading or adopting digital technologies. This $4 billion investment over four years would assist up to 160,000 small businesses and create good middle-class employment across Canada, including thousands of positions for young Canadians.
Small and medium-sized businesses (SMEs) in Canada will be able to assess their digital readiness and apply for grants and loans online as part of the CDAP. This money will assist them in taking advantage of e-commerce opportunities, modernizing or embracing digital technologies, and digitizing their operations in order to stay competitive and satisfy the needs of their customers in the digital world. Businesses can apply for funding through the Grow Your Business Online or Boost Your Business Technology streams, depending on their size, specialized needs, and ambitions. As we recover from the epidemic, accelerating the digital revolution will help Canadian businesses stay competitive while also creating jobs and growing the economy.