Canada Digital Adoption Program

To qualify for the Canada Digital Adoption Program (CDAP), a small business must meet the following criteria: -The business must be a for-profit entity, including for-profit social enterprises and co-operatives. -The business must be registered or incorporated. -The business must be consumer-facing, meaning it sells goods or services directly to end consumers. Businesses that focus primarily on wholesale trade, sell only to other businesses, engage in drop shipping, or online reselling are not considered consumer-facing. -The business must have at least one employee on payroll that is not the owner or a contractor (full time or part time, but for at least three months prior to application) or have had at least $30,000 in annual revenue in the most recent tax year. -The business must commit to maintaining a digital adoption strategy for six months after participation in the program. -The business must consent to participating in follow-up surveys, sharing information with the Government of Canada (ISED and Statistics Canada), and having the name of the business published as a recipient of funding. Please note that corporate chains, franchises, registered charities, representatives of multi-level marketing companies, brokerage firms and their agents (real estate, investment, insurance, etc.), businesses that engage in online reselling or drop-shipping businesses reliant on third-party suppliers, and wholesale or distribution businesses and manufacturers (unless their business model includes direct sales to the end consumer) are not eligible for the program. The eligible costs must show a direct tie-in to implementing a new e-commerce store in your proposed spending plan. Anything that is not tied to directly selling products or services online will not be an eligible expense. Non-arms length transactions between a successful grant recipient and their chosen service provider will be ineligible. A non-arms length transaction is defined as a transaction made between related parties as described in Section 251 of the Income Tax Act.

The Canada Digital Adoption Program (CDAP) is a comprehensive initiative designed to facilitate the digital transformation of small businesses in Canada, contributing to economic development. Here's how the program works: 1- Adoption Plan: Businesses start by creating a digital adoption plan, outlining how they intend to leverage digital solutions to enhance their operations and online presence. 2- Access to Resources: Once the plan is in place, businesses gain access to a wealth of resources, including tools, guidance, and expert advice from e-commerce advisors. These resources are designed to help businesses navigate the digital landscape and take advantage of e-commerce opportunities. 3- Application and Approval: Businesses then apply for the CDAP program. If approved, they become grant recipients, receiving up to $2,400 for a Small Business Starter or E-commerce Starter website, or up to $15,000 for the Business Technology Grant. 4- Implementation: With the grant, businesses can implement their digital adoption plan, enhancing their e-commerce capabilities, and growing their business. This could involve setting up an e-commerce platform, optimizing their website for search engines, or implementing inventory management systems. 5- Inclusion and Growth: The CDAP program promotes inclusion, ensuring businesses of all sizes can participate in the digital economy. By adopting digital technologies, businesses can reach more customers, increase sales, and grow. 6- Ongoing Support: Even after the initial implementation, businesses continue to receive support from e-commerce advisors. They also gain access to the 'Social Spike Advantage', a suite of resources designed to help businesses maintain their digital momentum. 7- Evaluation: Finally, businesses are required to maintain their digital adoption strategy for at least six months after participation in the program. They must also participate in follow-up surveys, sharing information about their experience with the CDAP program. In essence, the CDAP program is a comprehensive pathway to digital transformation, providing the funding, resources, and support businesses need to adopt digital technologies and thrive in the digital age.