Who Can Apply?
The arts organization seeks funding partners with an associated charitable foundation. Both the organization and the foundation must meet eligibility criteria to apply. Larger arts organizations, such as the Stratford Festival or Toronto Symphony Orchestra, have their own dedicated foundations. In other cases, community foundations are relied upon. The foundation receives and invests the funds, the arts organization benefits from the investment income.
To be eligible for funding(27):
Incorporated under relevant federal, provincial or territorial legislation as a not-for- profit arts organization, governed by a board of directors, with appropriate oversight of financial operations and annual financial statements
Core mission is to create, produce or present professional works, or train professional artists
Within the last five fiscal years has received funds from Canada Council for the Arts, or Department of Canadian Heritage, i.e., the Canada Arts Presentation Fund, the Canada Arts Training Fund or the Fathers of Confederation Buildings TrustIf not a grantee of any of these funds within the last five fiscal years, the organization must demonstrate its capacity to operate at a professional level
|Associated Foundation||A publicly registered charitable foundation, as described in subsection 149.1(1) of the Income Tax Act, with a mandate to accumulate, administer and invest capital assets for the purpose of providing part or all the annual income to the beneficiary arts organization|
Two key additional criteria for the arts organization include:
- a minimum of three years in operation prior to the application with audited financial statements
- a specific level of financial stability, including a commitment to its long-term viability
The financial stability of the organization is determined based on the calculation of its net assets ratio. The total of unrestricted net assets is divided by the total operating revenues, provided by the financial statements for the fiscal year to calculate the net assets ratio.
A negative net assets ratio greater than 15% makes the organization ineligible to apply.
27. Canadian Heritage, Government of Canada, Application Guidelines – Endowment Incentives Component