Use case

Funding the match for a government grant: how to size it and what to watch.

Many programs require you to fund your share and claim theirs later.

✓ Checking what you qualify for does not affect your credit score.

How do you fund your share of a government grant?

Short answer: Most cost-shared programs pay their portion after you spend, so you need your own share plus the program's share until the claim is paid. Size funding to that peak gap, tie repayment to the claim schedule and keep receipts and reports ready so claims are paid on time.

Key facts

Programs usually reimburse after spending
You fund both shares until the claim pays
Tie repayment to the claim schedule
Good records speed reimbursement

What this looks like

Many programs require you to fund your share and claim theirs later.

Cost-shared programs pay a portion of eligible costs after you spend. The business needs cash for the full cost until reimbursed.

How to size it

Size the request to your share plus the program's share until reimbursement, not the full project.

Illustrative arithmetic

A manufacturer with an approved productivity grant depositing about $110,000 a month asks for $35,000 for its share of new equipment. At a 1.2 factor the payback is $42,000, a cost of $7,000. Over roughly 6 months that is about $333 per business day, or close to 6% of monthly deposits.

Total payback: $42,000.
Cost: $7,000.
Payment: about $333 per business day, close to 6% of monthly deposits.

Every figure on this page is illustrative arithmetic in Canadian dollars. It is not an offer, a quote or a promise of approval.

Which structure tends to fit

A short advance can bridge the timing; repay from normal revenue and the reimbursement.

Where it goes wrong

Assuming reimbursement timing
Ineligible costs
Stacking rules

Before you apply

Read the program terms
Map the claim schedule
Confirm stacking rules

Typical starting points

Monthly revenueTypically from around $20,000 a month in deposits for Canadian files. The exact line varies by funder and by file.

Time in businessTypically about 12 months. Newer businesses can be reviewed, but the options narrow.

Account healthLimited low-balance or negative days. Funders read the last few months of bank statements for this.

CreditScores from 500 are considered. A score of 600 or higher opens more options and better offers.

DocumentsA signed application and recent business bank statements, typically the last four months.

Existing advancesFiles with an existing advance can be reviewed, including second position.

Approved first

Only bridge a program payment that has been approved in writing.

Before you commit

Keep the program agreement, claim schedule and receipts in one folder. Claims move faster when documents are complete, and a faster reimbursement means a shorter, cheaper bridge.

Talk it through

Merchant Fund Express reviews Canadian businesses in every province and territory. If you would like a specific answer for your business rather than general guidance, send a signed application and your last four months of business bank statements, or call (305) 384-8391 first to ask a question.

Sources and review

Reviewed by the Merchant Fund Express team on October 12, 2026. Official pages checked as of that date.

Common questions

How much should I ask for?

Ask for the amount you can name in dollars and tie to a quote, invoice or schedule. A smaller, specific request is easier to approve and cheaper to repay.

Which structure is best?

It depends on whether the need is a one-time purchase or a recurring gap. See the comparison pages for the trade-offs.

How fast can I get it?

Decisions are often the same day on a complete file, and funding can follow the next business day.