Case Study
Rural innovation reimagined:
How DMZ Innisfil is powering entrepreneurship in small-town Ontario
5 min read
•
July 3, 2025
TL:DR
In 2020, DMZ and the Town of Innisfil created a groundbreaking rural incubator that has become a strong model for small-town innovation.
- Challenge • How to effectively support entrepreneurs in a rural setting, with limited access to startup resources.
- The solution • A tailored, place-based innovation hub – co-designed with municipal leaders.
- DMZ’s role • Built and implemented an incubator that integrates local priorities, supporting 80+ businesses to date.
- Impact • 412 jobs created, $31.3M in funding facilitated, 600+ event attendees.
- Legacy • A sustainable model for rural entrepreneurship, which is now being successfully replicated across Ontario.
The challenge
Without targeted support that addresses their unique regional context, rural founders risk being left behind in Canada's rapidly evolving innovation economy. Their remote location and smaller professional networks create hurdles that urban founders can more easily overcome.
- Rural entrepreneurs are substantially less likely to secure startup funding or join accelerator programs – with fewer than 10% of Canada's business incubators operating in rural areas (Canadian Centre for Policy Alternatives, 2021).
- Rural startups struggle with market access limitations and often lack industry-specific mentorship (OECD, 2022).
Our solution
DMZ Innisfil emerged from a strategic partnership between DMZ's experts and Innisfil's Economic Development team. Together, they designed a rural incubator that extends beyond traditional tech startups to address the diverse business landscape of the region.
- DMZ Innisfil has created a cohesive support system for entrepreneurs through mentorship, specialized workshops, and crucial access to funding networks.
- The incubator stands out by championing community-specific priorities – particularly tourism innovation and agri-tech development – and leveraging partnerships with local institutions like the Innisfil ideaLAB & Library and Nottawasaga Futures.
Our approach
- Co-Design: DMZ worked alongside municipal leaders to identify core local economic priorities. Together, they built a rural-first incubator model addressing business needs unique to Innisfil and similar communities.
- Targeted Programming: Delivering sector-focused support tailored to key local industries including agriculture, manufacturing, hospitality, and tourism – offering workshops and mentorship for businesses at every stage of development.
- Community Integration: By forging strategic partnerships with regional stakeholders and institutions, the program has extended its reach throughout the area – enhancing accessibility and relevance for rural entrepreneurs, regardless of their location.
- Inclusive Growth: Providing dedicated resources for entrepreneurs who traditionally face additional barriers, including newcomers and business owners from underrepresented communities – fostering a more diverse and resilient local business ecosystem.
- Sustainability Planning: The team built in long-term sustainability from the start – developing plans for online curriculum, international exposure, and revenue diversification through grants and sponsorships.
Impact Stats
$31.3M
in funding facilitated.
412
local jobs created.
600+
attendees at community workshops and events.
84
businesses supported in 4 years
Legacy and long-term growth:
A model for rural innovation
The success of DMZ Innisfil has had ripple effects far beyond the community. Today, the model is being adapted for new communities like Caledon, serving as a blueprint for how municipal governments can drive innovation from the ground up — with support from expert partners like DMZ.DMZ Innisfil continues to evolve, advancing into online learning courses, international expansion, and new funding strategies to ensure rural founders have every opportunity to succeed.
DMZ: Your partner for building thriving startup communities
DMZ helps organizations across Canada to create custom entrepreneurship programs, rooted in local strengths and global best practices.
- Strong experience in rural and municipal innovation.
- Holistic approach from assessment to execution.
- Programs built for sustainability and measurable outcomes.
- Trusted by governments and ecosystem builders across Canada and beyond.