01/14/2022 | Press release | Distributed by Public on 01/14/2022 15:29
Over $5.4 million investment to support 800 businesses and 170 partnerships across the region
January 14, 2022 - Toronto, Ontario
Start-up businesses and entrepreneurs are vital to our communities and our economy, yet many find challenges raising the capital they need to grow and scale their businesses. These challenges have only been increased by the economic impact of COVID-19. With many start-ups needing support, angel investor networks work to mobilize angel capital for entrepreneurs and prepare angel investors to help businesses recover, grow and build a profitable future.
That is why today, the Honourable Helena Jaczek, Minister responsible for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario), announced a non-repayable contribution of over $5.4 million for a collaboration between the National Angel Capital Organization (NACO) and Angel Investors Ontario (AIO) to support entrepreneurs and early-stage businesses and strengthen angel investment in southern Ontario.
This collaboration will leverage NACO and AIO's services and resources for angel groups and investors to increase the amount of capital available to the region's innovative start-up businesses. NACO will provide funding for up to 20 southern Ontario angel groups to support their ability to attract and retain investors. NACO and AIO will also deliver training, workshops and events, aimed at enhancing investment readiness of entrepreneurs.
In addition, they will provide programming to increase the participation of equity seeking groups, including women, newcomers, LGBTQ2 people, Indigenous peoples, and racialized groups both in the angel investor community and for the founders who receive angel support.
This project will help ensure up to 800 early-stage businesses have access to the risk capital they need to unleash their growth potential and scale their businesses in communities across the region. The support provided will also help individual angel groups to grow their membership by at least 30 percent and increase angel investment activity by 30 percent. This, in turn, supports more businesses, grows our economy and creates good jobs for Canadians.