3.1 Access to Capital: Follow the Entrepreneurs
The Access to Capital Framework highlights the structural frictions—limited availability, delayed timing, and uneven access pathways—that constrain entrepreneurs and emerging fund managers across Canada. These barriers disproportionately affect underrepresented groups and underserved regions. The proposed policy recommendations directly address these access gaps by expanding capital pools and enabling broader participation through national syndication and harmonized incentives – thereby accelerating time to funding. Availability of Capital: Canadian founders and emerging fund managers face significant shortfalls in risk capital, limiting their runway and competitiveness. This is compounded by systemic barriers experienced by women, racialized and other equity-deserving groups. Pathways to Capital: Funding is sporadic and fragmented, making it difficult for entrepreneurs outside major hubs or without established networks to connect with capital providers. More pathways create more opportunities, correcting unfavourable power imbalances. Time to Capital: Delays in accessing capital often misalign with the time-sensitive nature of startup growth—particularly in capital-intensive sectors. This challenge also affects both emerging and established venture fund managers, who face prolonged fundraising cycles and limited engagement from institutional investors.
Figure 4: Access to Capital Framework. Illustrates how access to capital is determined by availability of capital, timing to raise capital, and pathways to diverse sources of capital.
Availability
Access
Time
Pathways
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