Canadian SMEs affected by tariffs may have more than one type of support available in 2026. The central message of helloDarwin’s September 16 webinar was that the right response is rarely a single grant application. Businesses should first stabilize operations, then invest or pivot, and finally diversify revenue into markets that reduce future exposure.
Francis Desrochers, President and Co-founder of helloDarwin, moderated the session with Robin Ghosh and Antoine Giroir from helloDarwin’s funding team. Together, they examined the Regional Tariff Response Initiative (RTRI), customs relief, export-development programs and a real approved application. Their advice was aimed at owners and finance leaders who need to connect tariff impacts with a credible investment plan.
Key takeaways for tariff-affected SMEs
Treat tariffs as both an immediate cash-flow problem and a longer-term competitiveness risk.
Quantify direct and indirect impacts using the same evidence you would present to a board, bank or investor.
Use RTRI liquidity support to protect viable operations and RTRI pivot support to improve productivity, resilience or market access.
Consider customs relief, export grants, tax credits and interest-free financing as parts of one funding strategy.
Build the business case before a program deadline forces the company to rush its evidence, budget and supplier quotes.
A three-stage response: stabilize, invest and diversify
A practical tariff response follows three stages. Stage one is stabilization: protect payroll, working capital and the operating capacity needed to remain viable. Stage two is investment: improve productivity, bring production or suppliers closer to Canada, automate processes, add equipment or otherwise reduce exposure to future disruptions. Stage three is diversification: develop additional Canadian or international markets so the company is not dependent on one customer base or trade corridor.
This sequence matters because export activity alone cannot solve an urgent liquidity shortfall, while short-term relief alone does not create a more resilient business. A project becomes stronger when it explains how immediate support protects the company long enough to complete a measurable pivot and generate new revenue.
How RTRI can support liquidity and business pivots
RTRI is delivered through Canada’s regional development agencies. It offers two complementary paths. Liquidity assistance is intended for viable tariff-affected businesses that need temporary support to maintain Canadian operations and employment. Current regional guidance describes non-repayable assistance based primarily on eligible payroll and demonstrated need, for up to 12 months and a maximum of $2 million.
Pivot projects support incremental investments that improve productivity, competitiveness, supply-chain resilience or market diversification. Current guidance generally allows a non-repayable contribution of up to $1 million for qualifying projects, while larger commercial projects may be considered for interest-free repayable support. An eligible business may combine liquidity and a non-repayable pivot project for an aggregate contribution of up to $3 million, without funding the same cost twice.
Revenue thresholds, eligible costs, timing and contribution terms can vary by region and project. The program maximum is not the objective: the right request is the amount the company can justify with a viable project and clear outcomes.
Review the current official RTRI application guide and helloDarwin’s RTRI program overview before relying on a figure or committing project costs.
What evidence makes a tariff application credible
Saying that tariffs have hurt the company is not enough. A strong file shows where the effect appears and connects that evidence to the proposed response. Direct impacts may include higher costs for imported inputs, tariffs applied to exported products, lost orders or compressed margins. Indirect impacts may include delayed expansion, customer hesitation, a market that has become uneconomic or slower projected growth.
Useful evidence can include twelve months of revenue and payroll data, cash-flow forecasts, supplier invoices, tariff classifications, margin changes, workforce plans, customer emails, market studies and board material. A client’s internal presentation about a potential workforce reduction contained exactly the financial logic needed to document the liquidity problem. Evidence already used and trusted by management is often stronger than a vague narrative built around a grant form.
The narrative still matters, but it must be anchored in numbers. Applicants should explain what will change, how much it will cost, what capacity or employment will be protected, and what measurable result the investment should produce.
Customs relief can complement grants
Customs measures can complement grants. Under the Duty Drawback Program, certain duties paid on imported goods may be refunded after the goods are exported, whether in the same condition or after being used in production. Tariff-remission processes may also provide relief in defined circumstances, including when a required input cannot reasonably be sourced elsewhere.
Eligibility depends on the goods, their origin, their use and the supporting customs records. Businesses should review the official duty drawback process and obtain customs advice before assuming a refund is available. Evidence gathered for a remission or drawback review may also help document an RTRI application’s tariff impact.
Funding market diversification after the immediate pressure
Once the company has protected its operating base, the next question is where new revenue can come from. CanExport SMEs can share eligible costs for developing new international markets, including market research, travel, trade shows and specialized services. Funding can reach $50,000 and normally covers up to 50% of eligible project costs. A market plan should identify the intended countries, activities, partners and expected commercial results rather than list every market the program permits.
The 2026–27 CanExport SMEs intake closed on August 31, 2026. Companies should use the interval before the next intake to validate markets, obtain quotes and sequence future expenses. Program start-date rules differ: an expense incurred too early may become ineligible even when the activity itself fits.
Monitor the official CanExport SMEs page and consult helloDarwin’s CanExport SMEs guide when planning the next application window.
Agriculture, agri-food and seafood SMEs have a dedicated market-diversification option under AgriMarketing. Current guidance normally provides a non-repayable contribution of less than $100,000, up to 70% of eligible costs, for projects lasting up to 18 months. Provincial programs may provide additional support, while the Canada Strong Diversification Fund is designed mainly for much larger tariff-affected investments and capital-maintenance needs.
See the current AgriMarketing market-diversification stream and the Canada Strong Diversification Fund for their distinct eligibility and project-size requirements.
Find the right tariff-response funding
Tell us how tariffs are affecting your operations and what you need to invest in. helloDarwin can assess the grants, tax credits and financing that may fit.
What the approved RTRI case demonstrates
An approved RTRI case involved an anonymized fertilizer, crop-input and seed retailer. A key Russian fertilizer input faced a tariff of up to 30%. The company did not meet a simple test based on having at least 25% of sales in tariff-affected markets, but the application demonstrated a material impact on an essential input. That evidence created another path to eligibility.
The broader investment was approximately $3.64 million and included site preparation, renovations and operating-capability improvements. The company requested $1 million through RTRI and received approval for $900,000. The result shows that a program maximum is not an automatic award: agencies can remove costs that do not fit and approve the portion of the project they consider eligible and well supported.
It also shows why timing matters. The application moved quickly because some regional envelopes were becoming constrained. Businesses should not submit a weak file simply to be early, but they should have financial evidence, quotes, project phases and decision-makers ready before funding pressure creates an avoidable delay.
Build a funding portfolio, not a one-program plan
At helloDarwin, we begin by validating whether a real funding opportunity exists. We can then map the business’s projects across grants, tax credits, customs measures and repayable support; develop the evidence and narrative; prepare applications; coordinate with program officers; and support claims after approval.
One equipment purchase can affect several parts of the business. It may increase production capacity, require employee training, support a new product and make a new export market viable. Those components can point to different grants, tax credits or interest-free loans. The task is to divide the investment into defensible work packages, respect stacking and cost-sharing rules, and avoid claiming the same expense twice.
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