innovÉÉ — INNOV-R — SME

• The project must demonstrate a strong potential for reducing greenhouse gas emissions in Quebec, with a minimum potential of 100,000 tonnes of CO2 equivalent reduced or avoided during the first ten years after commercialization.
• The application must be submitted by a small or medium enterprise (SME) established in Quebec, engaged in internal production or research and development (R&D) activities within the province.
• The project must be developed in collaboration with another Quebec-based company or a public research institution in Quebec.
• The project must involve the development of a new product or process, or a significant improvement to an existing product or process.
• The project must present a necessary level of innovation, providing a distinct advantage over existing market solutions and within its sector nationally or internationally.
• The project must include a technological or business risk or uncertainty for the SME.
• The project must demonstrate commercial potential or significant deployment potential if the product or process is intended for sale.
• The project must have a punctual nature.

Who is eligible?

• Small and medium-sized enterprises (SMEs) established in Quebec.
• Companies involved in research and development (R&D) within Quebec.
• Public enterprises or institutions of research based in Quebec.
• Businesses demonstrating a strong potential to reduce greenhouse gas emissions.
• Companies aiming to develop new products, processes, or improve existing ones with significant innovation.
• Organizations engaged in collaborative projects with other Quebec-based enterprises or research institutions.
• Entities capable of demonstrating significant commercial or deployment potential for their innovative solutions.

Who is not eligible

• Companies registered on the Register of Ineligible Enterprises for Public Contracts (RENA), including subcontractors involved in the project.
• Companies that have not fulfilled obligations related to previous financial aid from the MEIE or Investissement Québec within two years preceding the application.
• Companies under protection from creditors or bankruptcy laws.
• Holding companies.
• Companies with ethical behavior that may harm the image of integrity of the Quebec government.

Eligible expenses

• Professional fees for specialized services, including subcontracting services.
• Direct labor costs assigned to the project, including social benefits and contributions to mandatory plans.
• Travel and subsistence expenses related to the project's execution, compliant with current government management policies.
• Direct costs of materials and inventory.
• Direct costs of equipment, calculated based on the project's duration versus the equipment's useful life.
• Equipment rental fees.
• Costs for acquiring studies or other documentation.
• Platform fees.
• Costs for preparing an intellectual property protection strategy, obtaining IP protection, acquiring IP rights or licenses, including patent application fees such as agent fees.
• Costs for obtaining necessary homologation or certification for commercialization.
• Management fees representing up to 5% of the project's eligible expenses, collected by the industrial cluster.
• Fees incurred for conducting the final external audit of the project (end of the project, conditional for obtaining the 20% retention).

Eligible geographic areas

• Companies established in Quebec, Canada.

• Degree of innovation of the solution developed.
• Quality of the project team's execution, partnership, and project management.
• Commercial potential or deployment potential of the solution developed.
• Ability of the SME to successfully carry out the project, in terms of financial and human resources.
• Social, environmental, economic or other benefits for Quebec.
• Ability of the solution to reduce GHG emissions in Quebec during the first ten (10) years of commercialization.
• Quantification of GHG emissions reduced or avoided, in CO2 equivalent tons/year in Quebec.
• Cost per ton of CO2 equivalent reduced or avoided in Quebec.
• Risks associated with the deployment of the solution.

• 5% of the project's budget must be allocated for program management fees, which are collected by InnovÉÉ.
• Public organizations can participate as partners but are limited to a maximum of 10% of the total project expenses.
• The INNOV-R PME initiative is part of Quebec’s broader Green Economy Plan 2030, aimed at significant GHG reductions.
• The funding is administered by the Ministry of Economy, Innovation, and Energy (MEIE) and sourced from the Electrification and Climate Change Fund (FECC).