What Can CanExport SMEs Fund? Comprehensive Guide to Eligible Expenses
The CanExport SMEs program is designed to assist Canadian small and medium-sized enterprises (SMEs) in expanding their market reach by funding export activities in new international markets. By providing up to $50,000 to cover half of your export-related expenses, CanExport SMEs empowers businesses to venture into global arenas where they have little to no sales presence. This guide outlines the eligible expenses for which you can apply under CanExport SMEs, enabling you to strategically plan your international expansion.
Program Funding Overview
CanExport SMEs offers financial support to help Canadian SMEs tackle the costs associated with expanding into new international markets. Eligible businesses can receive funding of up to $50,000 per project, covering 50% of export-related expenses. This initiative is managed by the Trade Commissioner Service and is a part of the Government of Canada’s efforts to boost Canadian trade and diversify export markets.
Funding Amounts & Rates
Maximum funding per project: $50,000
Coverage: Up to 50% of eligible expenses
Project timeline: Expenses must be incurred between April 1, 2025, and March 31, 2026
Eligible Expenses
The CanExport SMEs program covers a wide range of expenses associated with entering new international markets. Here is a breakdown of what can be funded:
Travel and Participation Costs
Travel expenses for visiting foreign markets
Costs to participate in trade missions, trade shows, conferences, and networking events
Market Intelligence
Custom market research and intelligence reports
Studies and analysis to understand international market conditions
Intellectual Property Protection
Fees for applying for intellectual property protection in international markets
Legal and Business Advice
Expert legal consultations
Business advisory services to facilitate international expansion
Marketing and Promotional Materials
Translation, adaptation, or creation of marketing materials tailored to target markets
Costs associated with adapting contractual agreements and applying for supplier diversity certifications
Ineligible Expenses
While the program covers a broad spectrum of costs, some expenses are not eligible for funding. These include:
Routine operational expenses (e.g., salaries, rent, utilities)
Capital expenditures for equipment or facilities
Domestic marketing activities
Expense Documentation Requirements
To successfully claim expenses under the CanExport SMEs program, businesses must provide detailed documentation, including:
Invoices and receipts for all claimed expenses
Proof of payments made
Detailed reports on market research and attendance at trade events
Examples of Funded Projects
CanExport SMEs has supported various projects across sectors, including:
A Quebec-based company securing intellectual property rights in Europe
A Canadian tech firm participating in major trade shows in Asia to launch new products
Funding Disbursement & Claiming Process
Funding is typically disbursed as reimbursements upon submission and approval of claimed expenses. Ensure all documentation is complete and submitted via the program’s online portal.
Stacking Rules
Businesses can combine CanExport SMEs funding with other federal or provincial programs, provided the total public funding does not exceed 75% of the total project costs.
Real-World Budgeting Tips
To maximize your funding potential:
Plan and document all eligible expenses meticulously
Consider potential ineligible costs and budget for them separately
Utilize the program’s guidelines to ensure alignment with funding rules
Conclusion
Understanding what CanExport SMEs can fund is crucial for planning a successful international expansion. This program offers substantial support for Canadian SMEs looking to enter new markets. By leveraging this funding, you can reduce financial risks while exploring global opportunities. For more detailed guidance, refer to the CanExport SMEs Applicant's Guide.
