Harper Government Supports Growth of New Tech Companies in Northumberland

News Release

July 28, 2015 – Cobourg, Ontario – Federal Economic Development Agency for Southern Ontario (FedDev Ontario)

Technology startups and innovation-driven enterprises will benefit from new funding, mentoring and support thanks to an investment announced today by FedDev Ontario Minister Gary Goodyear and Member of Parliament for Northumberland–Quinte West Rick Norlock.

The Harper Government is providing funding of up to $1.1 million, which will enable the Northumberland CFDC to expand their acceleration services with the launch of N1M. This initiative will further support startup technology companies in the region, provide N1M companies with strategy services and skills training along with performance-based, non-repayable contributions matching the entrepreneur's investment in their company. N1M is designed to give idea and validation stage startups a significant early boost.

Northumberland CFDC is working at the local level to develop a unique exurban startup ecosystem (one that includes partners such as Northumberland Manufacturers' Association, the Gaming and Entrepreneurship Lab at IDEAHUB, and Spark Centre, Northumberland's Regional Innovation Centre). N1M will expand efforts to encourage and accelerate innovation and entrepreneurship as a pathway to future prosperity, job creation and economic diversification.

The CFDC successfully piloted this initiative in 2012, through which it accelerated the launch of 22 technology companies with high-growth potential and created 53 new jobs in southern Ontario.

This non-repayable contribution is through FedDev Ontario's Investing in Business Innovation initiative, which is aimed at strengthening the innovation ecosystem in southern Ontario by supporting new entrepreneurs, early-stage businesses and angel investors.

Quick Facts

The Harper Government's investment in the N1M program is expected to support 25 high-potential early-stage businesses primarily in Northumberland, which will create 23 new jobs and maintain 48 jobs. Through this project, the Northumberland CFDC is leveraging $750,000 in matching seed funding from participating startups and will help the companies attract $960,000 in future private-sector investments.
The N1M program is expected to enhance economic activity in high-growth sectors, such as information and communication technology, game development, and advanced manufacturing.
Northumberland CFDC is a member of the Canadian Venture Capital and Private Equity Association and an industry partner of both the National Angel Capital Organization and the Network of Angel Organization–Ontario.
In 2012, the federal government, through FedDev Ontario, provided up to $529,200 to support the initial pilot project.
Since its creation in August 2009, FedDev Ontario has invested more than $1.4 billion, resulting in partnerships with over 12,000 organizations and more than $2 billion in additional leveraged investments to support businesses, organizations and communities.

Quotes

"Our Government recognizes the importance of supporting start-up businesses in the early stages and providing them with the skills necessary to become successful entrepreneurs. Supporting small businesses at this stage will help create jobs and economic prosperity in the region."
– The Honourable Gary Goodyear, Minister of State for FedDev Ontario

"This investment in the Northumberland Community Futures Development Corporation is great news for the region. It will help entrepreneurs develop and bring to market new and innovative products, which in turn will support the growth of the technology sector."
– Rick Norlock, Member of Parliament for Northumberland–Quinte West

"We are excited to build on our record of providing startups with valuable early-stage resources to position them for future investment and a successful commercial launch. We are grateful for the support we have received today from the Government of Canada in support of our vision."
– Wendy Curtis, Executive Director, Northumberland CFDC

Associated Links

Contacts

Erica Furtado
Director of Communications
Office of the Honourable Gary Goodyear
613-943-7599

Media Relations
FedDev Ontario
416-954-6652
FedDevOntarioMediaRelations-RelationsMedias@feddevontario.gc.ca

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Date modified:: 2015-07-28

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Harper Government Supports Growth of New Tech Companies in Northumberland

News Release

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