Nunavut small business incentives go untapped

A number of incentives offered to entrepreneurs in Nunavut are going unused, despite a push for more small businesses in the territory.

MonicaEll-Kanayuk, the territory'sminister of Economic Development and Transportation, told a small crowd at aneconomic development conference inIqaluit Mondaythatshe sees a lot of room for growth in small businesses in the territory.

"I think we'll be like the rest of Canada, we're a little bit slower here but I think we do catch up at times and I see Nunavut growing to have more businesses here," she said.

Ell pointed out that according to Statistics Canada, for every thousand people in Canadathere are about 32 businesses.In Nunavut, there are only 13 businesses per thousand residents.

Money left on the table

However, anumber of services and grants offered to help people start more small businesses in theterritory are going unused.

Nunavut's Department of Family Services administers theNunavutEntrepreneurship Incentive offeringone-time funding of $5,000 for up to 13 eligible entrepreneurs peryear. Theincentive offersfinancial support for smallbusinesses,covering costs ranging from childcare toutility,phone and internet bills.

Applicants are required to provide a business plan, licence and a letter of confirmation. Since September 2014, only one applicant has successfully received the grant.

Meanwhile, Nunavut's Department of Economic Development and Transportation offers small businesses and entrepreneurs up to 80 per cent of costs covering pilot projects. A spokesperson from the departmentsaid she knew of only two projects that have successfully taken advantage of it.

In two years, a program offered through theNational Research Council offeringfree training and supportthrough the Industrial Research Assistance Program in Innovation has seen little inquiry.

The program, called the Concierge Service offers support in research and innovation to small and medium businesses.