Nowadays most everything is done online; computers; smart phones; it’s easy, convenient and fight a few clicks or taps you have the world at your fingertips. It is no wonder small business owners are turning to the web to start a small business. Getting government funding for an online business is now something that is available through the Canadian government as well.

That’s right. Government funding to help you start your small business online.

Well why not. An online business makes money, reaches people, online businesses create jobs, support the economy, it’s employees and owners pay taxes – giving back to the government. Make a lot of sense.

So are you thinking of getting yourself into an online business?

There are many options to consider. But it’s not all that easy.

Just like getting into a brick and mortar business, an online business has it’s pros and cons; as well startup expenses and operating expenses.

Costs of a typical online business startup

Depending on the type of business you are thinking of getting into, the costs can range from under $100 to well over $50,000. The typical costs an online business startup may have to consider include:

• Domain registration
• Website hosting (server)
• Logo Design
• Website Design
• Internet Marketing Costs
• Website Security

Costs of small business depend on a number of factors. Depending on the scale of the online business, it’s audience and the type of industry you are targeting the costs associated with marketing, servers and hosting may greatly increase.

This is one of those things where getting government funding for an online business is a must.

What does government funding for an online business cover?

Just like any business; an online business is the same in terms of startup costs and operational costs.

An online business still requires startup costs; help purchasing tools and equipment; paying for marketing and advertising; help hiring and training staff; money for research and development, import and export capabilities; operational cash flow and more.

If you are to add an offline portion to an online business, your costs just go straight up, so government funding is definitely one of the options you should really consider.

How to get government funding?

Getting government funding isn’t too difficult but it does require some work on your behalf.

Even though the internet has been around for ages now; it’s the normal – but many funding agencies an investors are still a bit careful when it comes to providing funding for online small businesses.

Why?

Well the web is so easy to access that anybody can really create an online business. The web market is so fluid and so rapidly changing that one day you may be at the top and the next day all the way down. It’s a risk.

Unlike a brick and mortar business where you are in for $50,000 before you open your door; you can have an online business for under $5,000. This appears as “not enough to lose” for the owner of the business shall it turn sour; where the funding agency or private investor is left stranded.

So to get government funding for the above mentioned needs, having a well developed website, a well developed online presence on social media with a marketing plan and a very detailed business plan when you apply for government funding is the best option.

Learn from the experts here at CanadaStartups.org what it takes to start your online business, how we can help you develop your business plan and find funding programs. Take action now!