Food Product Development Assistance
Food Product Development Assistance is available to Prince Edward Island businesses to access professional and technical assistance in creating or improving a new food product or process. This assistance can be used to develop and test new and improved products and processes, and other technical development-related activities.
Funding through this program is intended to support the engagement of expertise as the business moves its product or process from the earliest stage of development through to commercialization.
Who is eligible for Food Product Development Assistance?
To be an eligible applicant, a business must be located in Prince Edward Island and:
- be registered to do business and actively operating in Prince Edward Island; and
- be a food development, manufacturing or processing business;
A business that has a defaulted outstanding debt obligation on file in the Province’s Central Default Registry is not eligible for Innovation PEI assistance.
What activities and costs are supported?
An eligible business can access support for commercialization activities related to:
- new product and prototype developments, technical feasibility determinations, or new process developments;
- test-market production, rental contract with processing facilities for test-market production runs;
- technical assessment of processing lines and packaging equipment;
- shelf-life determinations, food safety assessments, sensory analysis, supplier sourcing; or
- technical workshops and technical training of plant personnel.
What is the level of assistance is available?
The program contributes 50 per cent of project costs to a maximum contribution of $50,000 per business.
Multiple projects may be submitted by one business; however, the maximum approval amount to one business in a twelve month period will not exceed $50,000.
Approved projects that have not started by the end of a twelve month period will expire and a new application will need to be submitted and approved.
The combined project funding from all non-repayable government sources cannot exceed 75 per cent of eligible costs.
What criteria are used to evaluate funding applications?
Eligible businesses that submit complete applications will be reviewed on a first-come, first-serve basis. An application is considered to be complete and received when all required information has been submitted to Innovation PEI.
Not all projects meeting the minimum criteria will receive funding. Applications will also be evaluated using the following considerations:
- level of assistance from other government programs offered or available;
- availability of program funds;
- potential for long‐term viability;
- import substitution;
- qualifications and track records of manager(s);
- export sales;
- employment creation; and
- environmental impact.
The project must provide economic benefit to the province of Prince Edward Island.
If the application is approved, Innovation PEI will require acceptance of a letter of offer stating the terms and conditions of approval. When accepted, the letter of offer shall constitute a contract between Innovation PEI and the applicant(s).
How do I apply?
Innovation PEI encourages potential applicants to consult with an Innovation PEI Business Development Officer for guidance on the suitability of the project and the application process. If the project is not a good candidate for Food Product Development Assistance, the Business Development Officer may recommend alternative funding programs.
An application must be submitted before any financial or legal commitment is made on the project.
What do I need to apply?
To complete the application, be prepared to provide detailed business information and supporting documents including:
- outline the history and provide a description of the business;
- existing businesses will need detailed Financial Statements for the previous two years;
- new businesses will need a completed business plan;
- description of the proposed project or activity in relation to the products and/or services delivered by the business;
- a detailed description of the economic benefits to the organization and to Prince Edward Island;
- detailed information on the estimated costs of the proposed project or activity (cost estimates should be supported by written quotations);
- source of funds for the project (for example, lending institutions, banks, government loans and/or grants);
- explanation of the business's current market position and projected market, outlining any increases in market share; and
- a list of all shareholders and key management personnel.