If your business is in a rural or small community, traditional bank financing can be hard to get—especially when you want to expand or modernize. Community Futures loans are designed to fill that gap. Delivered through local, non-profit organizations, these loans help small businesses that want to grow, upgrade equipment, or improve operations in rural Canada.
Community Futures is a federal economic development program delivered by local organizations. In Atlantic Canada, these organizations are called Community Business Development Corporations (CBDCs). In other regions, they operate under the Community Futures name. Their role is to support job creation and business growth in rural communities.
Community Futures does not provide grants for expansion or modernization. Support is mainly:
Eligibility varies by local office, but most Community Futures loans are available to:
Both startups and existing businesses can apply, especially if the project helps create jobs or supports long-term sustainability.
Community Futures loans are flexible. Many businesses use them for practical, growth-focused changes.
Funding amounts are not fixed. Loan sizes depend on your project, your financials, and the policies of your local CBDC or Community Futures office. Many offer smaller, patient loans that can work with bank financing rather than replace it.
Tools like GrantHub’s eligibility matcher can help you filter programs by province and business type in seconds, including loan and grant options that work well with Community Futures financing.
Each local office sets its own process, but most Community Futures loan applications follow similar steps.
Contact your local Community Futures or CBDC office
Offices only fund businesses within their service area. In Atlantic Canada, you can find your local CBDC through cbdc.ca.
Prepare a solid business plan
Your plan should clearly explain:
Meet with a business development officer
They review your plan, ask questions, and may suggest changes to help your application.
Loan review and approval
Decisions are made locally, not by a bank head office. This often allows for more flexibility.
Ongoing support
Many offices provide coaching and advisory support after funding is approved.
Thinking Community Futures offers grants
These are loans, not grants. You must repay them, but terms are often more flexible than banks.
Applying outside your service area
Each office only funds businesses in its region. Applying to the wrong one wastes time.
Weak financial projections
Even community-based lenders need to see how you will repay the loan. Overly optimistic numbers raise red flags.
Waiting too long to ask for help
Local advisors can make your application stronger. Don’t submit a rushed plan without feedback.
Q: Is Community Futures funding a grant or a loan?
It is mainly a loan. Some offices also offer loan guarantees or limited equity financing, but support for expansion and modernization is not grant-based.
Q: How much can I borrow through Community Futures?
There is no single cap. Loan amounts vary by office, project size, and risk. Your local office will explain typical ranges during your first meeting.
Q: Can startups use Community Futures loans to modernize later?
Yes. Startups can apply, and many return for more financing as they grow. Ongoing advisory support is often available.
Q: Are Community Futures loans taxable?
No. Loans are not considered taxable income. However, interest and repayments are business expenses. Always check with your accountant.
Q: Can I combine Community Futures loans with grants?
Yes, in many cases. Community Futures loans are often used alongside provincial or federal grants to fully fund a project.
GrantHub tracks hundreds of active grant and loan programs across Canada—check which ones match your business profile.
Community Futures loans can be a practical way to expand or modernize your business when bank financing isn’t enough. The key is knowing what your local office looks for and pairing the loan with other funding if needed. GrantHub helps you find grants and financing programs that can work with Community Futures, so you can build a complete funding plan with confidence.
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