IRAP Funding: Subsidize your technological development with the Industrial Research Assistance Program

With NRC IRAP, Canada Funds the Development and Commercialization of Technology and Innovative Products

The Industrial Research Assistance Program (IRAP) from the National Research Council of Canada (NRC) provides financial support to eligible Canadian small and medium-sized businesses wishing to boost their research and development efforts. This funding program offers direct grants of up to $500,000 (average $94,000) to support the development and commercialization of innovative products and services.

Once an agreement is signed with the NRC, the IRAP program refunds up to 80% of salaries and 50% of subcontractor costs related to eligible R&D activities. Grant money is disbursed monthly based on reported project milestones and expenses incurred. A reporting system must be in place, and the NRC may conduct audits to ensure compliance.

This non-repayable financial assistance excludes eligible expenses incurred during upstream planning or post-commercialization phases. The economic impact of these grants is significant, especially for innovative Canadian businesses planning to scale.

IRAP grants enable firms to pursue growth and profit by developing and commercializing innovative products. The program empowers entrepreneurs to access government grants and increase revenue through technology-driven innovation. The NRC also provides a wide network of industrial technology advisors throughout Canada who offer advisory services in addition to funding.

IRAP Eligibility Criteria

To qualify, your firm must demonstrate a strong R&D project with clearly defined technology guidance and a structured business innovation plan. A detailed project proposal should include technical uncertainties, a robust development plan, a commercialization plan, and projections for growth and profit.

Applicants must also show that the product is likely to commercialize within 18 to 24 months. Unlike other R&D funding programs, IRAP focuses on profit by developing tangible results and measurable impact on the Canadian economy.

Three NRC professionals are assigned to each project: a technology advisor, a business advisor, and a coordinator. Meetings with these advisors are key milestones and should be strategically prepared.

If your project includes original software or other technologies, you may be eligible for both IRAP and the SR&ED tax credits with an integrated R&D funding strategy tailored to your business objectives and corporate tax considerations.

The NRC handles many such files each fiscal year, but budgets are limited, so proper preparation and timing are critical.

How Emergex Can Assist in Your IRAP Application

Avoid wasting time and money. Emergex evaluates your eligibility for the IRAP program before any investment is made. Our advisors assess if your project aligns with this leading innovation assistance program run by the NRC.

We help you:

1. Avoid wasting effort and costs: We assess your project from a technological perspective and determine your likelihood of qualifying before you commit resources to NRC meetings.
2. Position your project strategically: We align your work with NRC IRAP priorities, showing how your solution contributes to industrial research and enriches the knowledge base to maximize approval chances.
3. Cover all the bases: We assist in creating compelling documentation, coach you for meetings with NRC technology advisors, and guide you through the required reporting processes during project monitoring.
4. Optimize program combinations: Emergex builds tailored strategies combining government grants and R&D funding streams such as SR&ED, MITACS, NSERC, and others to maximize ROI and accelerate development and commercialization.

Emergex’s expertise allows companies across Canada, including Ontario, to secure up to $10 million in funding through well-planned efforts.

Programs Combination

If your R&D funding comes from both NRC IRAP and SR&ED, claims must be coordinated. SR&ED can cover complementary costs, but IRAP funding must be subtracted to avoid overlaps. When executed strategically, applying to both programs can generate higher revenues.

Emergex helps you develop an integrated approach to successfully applying for your optimal mix of grants and tax credits. From developing innovative products to maximizing business innovation and commercializing technology, we help you plan and pursue growth effectively.

For a free evaluation of your optimal grants and tax credits combination, contact us now.