Digital Main Street Grants: Which Program Is Right for Your Business?

By GrantHub Research Team · · Lire en français

Digital Main Street Grants: Which Program Is Right for Your Business?

If you’re a small business owner looking to improve your online presence, the Digital Main Street grants are often the first place to look. Two programs come up most often — ShopHERE and the Digital Transformation Grant — but they serve very different needs. Choosing the wrong one can cost you time or leave funding on the table.

Digital Main Street is a Canada-wide initiative supported by federal, provincial, and municipal partners to help main street businesses adopt digital tools.


ShopHERE vs Digital Transformation: What’s the Difference?

Both programs fall under the Digital Main Street umbrella, but they target businesses at different stages of digital adoption.

ShopHERE Grant: Best for Getting Online Fast

The ShopHERE program is designed for businesses that don’t yet have a strong digital presence.

What it supports

  • A new e-commerce or basic business website
  • Digital onboarding support, often delivered through local partners
  • In many cases, work completed by a student or approved service provider

Funding amount

  • Typically up to $2,500 to cover website development and setup costs

Who it’s for

  • Brick-and-mortar businesses
  • Independent retailers, restaurants, and personal service businesses
  • Businesses with little or no existing online sales capability

Key eligibility notes

  • Must be a small business operating in Canada
  • Physical storefront is often required
  • Availability depends on province or municipality

ShopHERE is ideal if your main goal is to get online quickly with minimal complexity.


Digital Transformation Grant: Best for Scaling Your Digital Tools

The Digital Transformation Grant is for businesses that already have some digital presence and want to go further.

What it supports

  • E-commerce upgrades
  • Customer relationship management (CRM) systems
  • Digital inventory, booking, or payment systems
  • Cybersecurity and data tools
  • Digital marketing platforms

Funding amount

  • A grant of up to $15,000 for eligible digital adoption costs
  • In past intakes, this grant was paired with access to a low-interest loan through federal partners

Who it’s for

  • Small and medium-sized businesses
  • Companies ready to invest in more advanced digital systems
  • Businesses with the capacity to manage a larger project

Key eligibility notes

  • Must complete a digital needs assessment
  • Requires a clear digital transformation plan
  • Eligible expenses must be tied to productivity or growth outcomes

This program is better suited for businesses looking to modernize operations, not just build a website.


Quick Comparison: ShopHERE vs Digital Transformation

FeatureShopHEREDigital Transformation
Funding sizeUp to $2,500Up to $15,000
Best forNew websitesAdvanced digital tools
Project sizeSmall, definedLarger, multi-tool
Planning requiredMinimalDetailed digital plan
Business stageEarly digitalGrowing or scaling

If you’re not sure which program is open in your region, tools like GrantHub’s eligibility matcher can help you filter programs by province, industry, and business size.


Common Mistakes to Avoid

  1. Applying for the wrong program stage
    If you already sell online, ShopHERE is usually too limited. Funders expect the Digital Transformation Grant to support more complex upgrades.

  2. Ignoring regional availability
    Digital Main Street programs are delivered locally. Not every intake is open in every province or city at the same time.

  3. Including ineligible expenses
    Hardware, ongoing subscription fees, or marketing-only projects may not qualify unless clearly tied to digital adoption outcomes.

  4. Starting work before approval
    Costs incurred before formal approval are often not reimbursed.


Frequently Asked Questions

Q: Can I apply for both ShopHERE and the Digital Transformation Grant?
In most cases, no. These programs are designed for different stages of digital maturity. Businesses usually move from ShopHERE to Digital Transformation over time, not simultaneously.

Q: Do I need a consultant to apply?
ShopHERE often includes built-in support. The Digital Transformation Grant may require outside vendors, but you can prepare the application yourself if you meet the planning requirements.

Q: Are home-based businesses eligible?
Eligibility depends on local program rules. ShopHERE often prioritizes brick-and-mortar locations, while Digital Transformation eligibility can be broader.

Q: Are these grants taxable income?
Grant funding is generally considered taxable income in Canada. Confirm with your accountant how it applies to your business.

Q: How long does approval take?
Timelines vary by intake and region. Expect several weeks from application to decision for most Digital Main Street programs.


Next Steps

Choosing between Digital Main Street ShopHERE and the Digital Transformation Grant comes down to how advanced your digital operations are today. If you’re just getting started, ShopHERE is usually the right fit. If you’re ready to scale, the Digital Transformation Grant offers more flexibility and funding.

If you want to track new Digital Main Street intakes or compare other small business grants, GrantHub keeps an updated list of programs across Canada so you can see what’s available in your region.

See also:

  • What Business Expenses Are Eligible Across Canadian Grants and Loans?
  • How to stack grants and loans without violating funding rules
  • Innovation Vouchers vs Traditional Grants for Alberta Startups

Was this article helpful?

Rate it so we can improve our content.

Canada Proactive Disclosure Data

400,000+ Companies Like Yours Have Received Billions in Grants

The Canadian government has funded over 400,000 businesses through 1.27 million grants and contributions. Check your eligibility in 60 seconds.