Fredericton area economic development agency IGNITE has announced new funding from the Atlantic Canada Opportunities Agency to support the launch of the second cohort of its MERGE program at startup hub Planet Hatch.

The MERGE program connects municipal needs and startup solutions, creating opportunities for new startups to validate their businesses while offering cost-effective solutions to community challenges, the group said in a statement.

Ignite launched MERGE early last year after receiving initial funding from ACOA. Startups that participate receive mentorship, business support, and project funding of up to $25,000.

The new $529,375 contribution will allow the work to develop.

“In our second year of MERGE, we’re expanding both the number of startups and our municipal partners, creating even more opportunities for companies to bring their solutions to market,” said Andrew Lockhart, Director of Entrepreneurial and Economic Growth.

The first cohort brought together five startups and five municipalities to complete projects that addressed challenges such as accessible and sustainable transportation, recreational tourism, water source identification, and blue trail enhancement.

The second cohort will feature four pre-selected community projects, along with two open-to-pitch opportunities where startups can present their ideas to municipalities, the group said.

Throughout the cohort period, startups will have access to Planet Hatch’s full range of programming and support services.