Introduction
This document is to assist you in completing the application form under the Commercialization Support for
Business Program (CSB). This is a general guide and the information is being updated on an ongoing basis.
Because of the unique nature of each project the guide cannot take every potential scenario into consideration.
The CSB Program targets Manitoba entrepreneurs and businesses seeking to develop and commercialize
innovative products, processes, and expand into new markets outside of Manitoba. The objectives of the
program are to:





Commercialize innovative products or processes;
Leverage private sector investment;
Create economic growth
Create jobs
Grow exports
The CSB provides financial assistance to cost share eligible expenses on a 50/50 basis. The Government of
Manitoba’s total contribution will not exceed 50 per cent of approved costs. Total government support from all
levels of government (federal, provincial, municipal), including tax rebates, cannot exceed 50 per cent of total
costs. Depending on the nature of the project, companies which qualify for assistance under other Manitoba
financial assistance programs are required to apply under those programs first.
Eligibility
Eligible recipients are:



Individuals (sole proprietors)
Business Entities – For-profit Canadian Controlled Private Corporations, business co-operatives,
partnerships, joint-ventures (both corporate or individual), that had:
o For the immediately preceding calendar year, less than 50 full-time equivalent employees: or
o Gross revenue of the corporation and its affiliates (determined on a consolidated basis, where
applicable) for the most recently completed fiscal period is less than $15,000,000.
At least 25% of the full-time equivalent employees of the corporation and its affiliates reside in
Manitoba.
Ineligible recipients are:


Not-for-profit organizations;
Business Entities, or Individuals principally engaged in:
 Real estate, local retail, restaurant, hospitality, natural resource exploration, primary farming,
fishing, trapping, or logging activities;
 Professional practice which is regulated by a governing body of the profession;
1
Commercialization Support for Business Program Guidelines


Insurance or financial services, or
Crown corporations, municipalities, towns and cities, consulting based companies.
Funding
The CSB Program provides cost shared assistance through three streams.
1. Product Development (up to $50,000) – The purpose of the stream is to assist Business Entities or
Individuals developing their product or process. Funding will be disbursed based on the achievement
of agreed upon outcomes stated in the application. The project outcomes for Stream 1 include:
registration of intellectual property, obtaining product certification, completion of a working prototype or
finished good and delivery of a market validated study that includes third party verification of the core
results. This stream does not support basic research and development activities, and applicants must
demonstrate that the concept is feasible prior to applying to this stream.
To prove feasibility of the market, the entrepreneur/management team should make extensive use of
secondary research about the market from standard industry publications and analyst reports. These
are typically available from the major brokerage houses and major players in the overall market. This
research can also involve industry specific reports prepared by third party consulting firms that are
available for sale. Primary research using a convenience sample of identified potential customers can
also be used, especially if the underlying concept is based on the work experience of the lead
entrepreneur. Applicants should refer to the Market Validation Guidelines for more detail.
Applicants may also refer to an example of a completed application form for Stream 1.
2. Commercialization ($50,000 - $250,000) – The purpose of the stream is to assist Business Entities
commercialize their product or process and move towards becoming a fast growth, scalable venture.
Business entities must apply to and achieve the outcomes of Stream 1 of the Program in order to be
eligible to apply to Stream 2. Business entities applying under this stream must demonstrate the
opportunity exists via a thorough market validation study and include a business plan. Entities must
also demonstrate they have a functional beta version of the product. The project outcomes for Stream
2 include: beta trials, completion of a finished good, production of a marketing and sales plan for the
product launch, or activities as recommended by the Advisory Council. Applicants under Stream 2
must be working full time on their venture.
3. Market Access Program (up to $30,000) – The purpose of the stream is to assist Business Entities to
design marketing materials and engage in activities that will enable them to enter new markets outside
of Manitoba. This stream has two components: Trade Show Assistance and Marketing Materials
Design.
Trade Show Assistance
This component supports companies who want to participate in trade show events outside of Manitoba.
Companies may receive assistance to attend up to two trade shows in one fiscal year (based on the
Department’s year end of March 31), but not to attend the same trade show more than twice. Financial
2
Commercialization Support for Business Program Guidelines
assistance for each show is up to a maximum of $10,000 per show. The application should be submitted as
early as possible but a complete application must be received no later than four weeks prior to the show.
Applicants wanting to apply under this component need to provide:




Event information – name, location, date;
Purpose of participation in the event;
Products to be promoted at the event;
Breakdown of the costs for the event including quotes
Eligible expenses that may be covered at 50%:








Two economy class airfares for company employees
Trade show space
Onsite translator
Rentals of equipment for booth (furniture)
Electrical hook-up for the booth
Tents (for outside shows)
Reimbursement of gasoline expenses, when it is shown to be less expensive than flying
Renting turnkey booths (where a company obtains a booth that includes lights, power, walls,
etc)
Ineligible expenses:









Company labour at the booth
Accommodations
Ground transportation
Per diems / food / meal costs
Costs of goods or samples
Costs of shipping
Costs of extra baggage
Sponsorship
Conference Registration
Marketing Materials Design:
This component supports companies who want to engage 3rd party consultants to design marketing
materials to assist the company to enter new markets outside of Manitoba. Financial assistance targets
design costs covering 50%, up to a maximum of $10,000 per new market and fiscal year. Each request
under this component needs to include:


The 3rd party proposal or statement of work, outlining the work being done with breakdown of
activities identifying design costs of the marketing materials. The proposal must be on
vendor’s letterhead containing full contact details.
Purpose and scope of the proposed marketing project with start and finish dates.
Eligible expenses that may be covered at 50%:


One time third party booth development
Translation of marketing materials
3
Commercialization Support for Business Program Guidelines

Design of digital marketing materials
Ineligible expenses:







Branding activities
Advertising
Printing of marketing materials
Costs of marketing giveaways and samples
B2B Consultants
Web page development and upgrades
Marketing strategy development
Ineligible Costs – Streams 1 & 2
Costs and activities not associated with the project or reaching agreed upon milestones will be ineligible
for reimbursement. These are:










Advertising
Land and buildings
Equipment
Inventory
Research and Development
Travel and entertainment expenses
Financing charges and taxes
Website development
Business plans
Activities relating to productivity improvements
Application Evaluation
To be considered for funding, eligible applicants must:



Meet the definition of a sole proprietor or business entity;
Demonstrate the presence of an unaddressed market problem via market research and how the product
or process solves that problem; see the Market Validation Guidelines.
Demonstrate their proposal meets one or more of the following Program objectives of being innovative:
o Something that is new and disruptive in the market place (not currently manufactured in
Manitoba);
o The process of turning new ideas into new products, processes, or markets that create
commercially viable opportunities;
o Improvement to a product or process that the market did not anticipate;
o The introduction of a product or service into a new market;
o New ways of doing things that add value to the user.
If determined eligible to enter the Program, all applicants, regardless of stream, are required to submit the
necessary information, as per the requirements of each funding stream. Merit of each proposal will be based
on the following criteria:
4
Commercialization Support for Business Program Guidelines



Meeting one or more of the above Program objectives;
Evidence of financial capacity to cover the proposed activity costs;
Soundness of the business case
Financial Capacity:
At the time of application, applicants must demonstrate their ability to fund the project. In addition to providing
the company year to date financial statements (income statement and balance sheet), applicants will need to
provide information to support their ability to fund their project. This may include; company or personal bank
records, letters from financial institution confirming loans, lines of credit, or other forms of proof of financial
position.
Application Process:
The program provides one time support to companies under 1, 2 & 3 up to the maximum of each stream. Total
funding is capped at $250,000 per company. For example if a company received $30,000 under Stream 1, it
may only receive $220,000 under Stream 2.
Each request will be evaluated against Program criteria. Only complete applications will be considered.
Incomplete applications will be returned to the email address from which the application was submitted. A
complete application must contain the information required in the application form. The applicant will be
notified by email of the Department’s receipt of the complete application. The date of the email will serve as the
beginning date of the application review.
Submit only one application indicating which funding stream(s) you are applying for. Stream 3 is a standalone
stream and may be applied to separately, or in conjunction with Stream 1 or 2. You must apply to and achieve
the outcomes of Stream 1 of the Program in order to apply to Stream 2. Applicants will be notified regarding
the status of their application within 3 business weeks of the submission of a completed application.
Completed applications must be emailed to [email protected].
Funding Disbursements:
Reimbursement is based on invoices and proof of payment in full (cancelled cheques, credit card statements,
bank statements, etc.) incurred in accordance with the terms of the Contribution Agreement. Information on
the reimbursement process will be included in the Contribution Agreement. Reimbursement under the
Program is not retroactive. Applicants whose projects are approved will be able to claim expenses back to the
date of receipt of their completed application.
Applications under Stream 2 will be evaluated for scalability by an Advisory Council and in some cases these
contributions may be repayable as per the Innovation Act.
Funding recipients under Stream 3 will be provided with a trade show outcome questionnaire at the time of
funding approval. The questionnaire can be found here as a word document. The questionnaire must be
submitted with the reimbursement documentation mentioned above for the claim to be processed. Funding
5
Commercialization Support for Business Program Guidelines
recipients need to also provide pictures of their booth at the tradeshow and provide a copy of the marketing
materials developed with the funding assistance under the CSB Program.
Reporting:
Recipients of funding under Streams 1, 2 & 3 will be contacted annually for a period of five years as part of a
longitudinal project review. The review will be in the form of telephone or in-person interviews to follow up the
project and measure overall company growth by using such methods as financial statement reviews and
collection of company issued T4’s. Details on what information will be collected will be outlined in the Funding
Contribution Agreement.
6
Commercialization Support for Business Program Guidelines