How much funding can be received?

Funds up to 50% of admissible expenses, capped at $500000 per project.

What is the deadline to apply?

The program is accepting continuous intake

Who are the financial supporters of the Innovation Program — Stream 1 – Support for innovation projects?

Innovation Program — Stream 1 – Support for innovation projects is funded by Investissement Québec (IQ)

What are Innovation Program — Stream 1 – Support for innovation projects's eligibility criterias?

The applicant must be an enterprise or a grouping of enterprises legally constituted under Quebec or Canadian law with an operating establishment in Quebec. Social economy enterprises, as defined by the Law on the Social Economy, are eligible. The applicant must not be listed on the Register of companies ineligible for public contracts (RENA).

Innovation Program — Stream 1 – Support for innovation projects

Last Update: July 22, 2025

QC, Canada

Innovation grant for Quebec's economic advancement

Innovation Program — Stream 1 – Support for innovation projects at a glance

Eligible Funding

Max. $500,000
Up to 50% of project cost

Timeline

Open Date : April 16, 2022
Closing date : March 31, 2024

Financing Type

Grant and Funding

Eligible Industries

All industries

Grant Providers

Investissement Québec (IQ)

Program status

Closed

Overview of the Innovation Program — Stream 1 – Support for innovation projects program

The Innovation Program aims to support businesses and business groups with projects that involve developing new products, processes, or significantly improving existing ones, with the goal of enhancing productivity and competitiveness. The program offers non-repayable financial assistance of up to $350,000 per project or up to $500,000 per business for projects conducted between March 16, 2022, and March 31, 2024.

Financing terms and conditions

This grant offers flexible financing modalities to support innovation projects, providing financial assistance tailored to the specific needs of enterprises, especially small and medium-sized enterprises (SMEs).

A contribution non-repayable financial assistance ranging between 30% and 50% of the eligible expenses.
The maximum cumulative amount of governmental assistance varies between 50% and 75% for each project.
The total grant amount allowed per business is capped at between $100,000 and $350,000, with a program maximum of $500,000 from March 16, 2022, to March 31, 2024.
Private cash contributions must comprise at least 25% of eligible expenditures, reduced to 20% for social economy enterprises.
The aid financial maximum and cumulative governmental assistance maximum are increased to 80% for social economy enterprises.
Financial assistance for a project involves continued processing of requests, evaluating documents within budgetary constraints of the program.
Eligible expenditures should be incurred after the application submission date to qualify for funding.
The assistance cannot be combined with other financial aid programs from the Ministry of Economy and Innovation (MEI) or Investissement Québec (IQ).

Eligible projects & activities

The support for innovation projects grant aims to bolster creativity and advancement in businesses through various stages of innovation processes. Funded activities span from planning to showcasing technological implementations in real-world scenarios.

Conducting preliminary studies and planning activities necessary for project implementation, including international collaboration and market studies.
Validating innovative concepts prior to development.
Developing or improving products or processes through design, engineering, and prototyping.
Testing and validating products or processes with prototype testing, pilot production trials, and controlled demonstrations.
Formulating commercialization plans and preparing for product certification or intellectual property protection.
Executing real-world demonstrations of products or processes to ensure scalability and effectiveness.
Establishing technology showcases where products or processes are demonstrated in real-world operations, with potential for customer visits.

Examples of admissible projects:

$ 300,000

Enhancing AI for predictive healthcare solutions

$ 350,000

Testing energy-efficient solar panels for urban roofs

$ 350,000

Developing a new biodegradable packaging solution

Eligibility criteria of the Innovation Program — Stream 1 – Support for innovation projects program

Eligibility for this grant is determined by specific requirements related to the applicant's profile and the execution of the project within Quebec.

Applicants must be enterprises or groups of enterprises from any sector, legally incorporated under Quebec or Canadian law, with operational establishments in Quebec.
Enterprises must be intended for the production of goods and services or internal research and development activities in Quebec.
Social economy enterprises must be defined by the Social Economy Act and should confirm their eligibility with the Ministry of Economy and Innovation prior to application.
Enterprises listed in the Register of Ineligible Enterprises for Government Contracts (RENA) are not eligible, including subcontractors listed in RENA expected to carry out work within the project.
Enterprises that have failed to honor obligations with the Ministry of Economy and Innovation or Investissement Québec in the last two years after being duly warned are ineligible.
State-owned enterprises or those controlled directly or indirectly by municipal, provincial, or federal governments are not eligible.
Enterprises under the protection of the Companies' Creditors Arrangement Act or Bankruptcy and Insolvency Act are not eligible.
Holding companies are not eligible.
Enterprises with ethical concerns that could tarnish the image of the Quebec government are not eligible.
Enterprises engaged in activities such as the production or distribution of weapons, fossil fuel-related exploration, gambling, violent games, combat sports involving living beings, sexual exploitation activities, tobacco or drug-related services (exceptions for cannabis and industrial hemp-related interventions), and activities primarily involving religious, political, or rights defense that are protected by the Canadian Charter of Rights and Freedoms are not eligible.

Who is eligible?

The eligible applicants for this grant program include enterprises or groupings of enterprises across various sectors legally constituted under Quebec or Canadian laws and having an operational establishment in Quebec. Moreover, social economy enterprises as defined by the Social Economy Act can also apply, subject to specific pre-application validation requirements.

Businesses of any industry legally incorporated under the laws of Quebec or Canada with operations in Quebec.
Social economy enterprises, provided they comply with processes established by the Ministry of Economy and Innovation prior to application submission.
Projects must be undertaken by a standalone business, a coalition of businesses, or in collaboration with public research centers.
Applicants listed in the Register of businesses ineligible for public contracts are excluded.
Enterprises that failed to meet obligations in previous financial aids from the Quebec government within the past two years may not apply.
State-run entities or those controlled by municipal, provincial, or federal governments are not eligible.
Companies under protection of the Company Creditors Arrangement Act or Bankruptcy and Insolvency Act are ineligible.
Holdings companies and those engaged in business practices that could negatively impact the integrity of the Quebec government are prohibited from applying.
Businesses involved in certain sectors like weapon production, fossil fuel extraction, or prohibited ethical activities (e.g., gambling, violence, or exploitation) are also not eligible.

Who is not eligible

This grant excludes certain companies and industries due to their compliance status, control structure, or main activity. The restrictions aim to ensure that funds are directed toward companies that align with the program's goals of fostering innovation and sustainable economic growth in Quebec.

Companies registered on the "Registre des entreprises non admissibles aux contrats publics (RENA)."
Companies controlled directly or indirectly by a government or government-controlled entity.
Companies under protection by the "Loi sur les arrangements avec les créanciers des compagnies" or the "Loi sur la faillite et l’insolvabilité."
Holding companies.
Companies involved in unethical practices damaging to the Quebec government's image.
Companies involved in the following sectors:
Production or distribution of weapons.
Fossil fuel industries, excluding activities aiming at carbon reduction.
Gambling and games of chance, violent games, combat sports, racing.
Sexual exploitation industries (e.g., erotic bars, escort agencies).
Production and sale of tobacco or drugs, with exceptions for cannabis and industrial hemp.
Activities protected by the "Charte canadienne des droits et libertés" (e.g., religion, politics).

Eligible expenses

The grant covers specific expenses that are reasonable and essential for the completion of the project.

Professional fees for specialized services, including those detailed in the service offer of an eligible public research center.
Subcontracting services.
Direct labor costs assigned to the project, including social benefits and mandatory contributions, as well as project management fees.
Travel and accommodation expenses related to the implementation of the project, in line with current government standards, including for potential clients attending demonstrations or visiting a technical showcase.
Direct costs of materials and inventory.
Direct costs of equipment, calculated based on the project's duration relative to the equipment's useful life.
Equipment rental charges.
Acquisition costs for studies or other documentation.
Animal facility and platform expenses.
Costs for preparing an intellectual property protection strategy, obtaining intellectual property protection, and acquiring intellectual property rights or licenses, including patent agent fees.
Certification or accreditation necessary for commercialization.
Participation costs in exhibitions and trade shows to present the product or process and attract potential clients to the technical showcase.
In cases of projects submitted by a non-profit organization for a group of companies, financial aid can cover up to 7% of admissible project expenses for the following:
Project setup costs by a non-profit organization.
Project management fees by a non-profit organization.

Eligible geographic areas

The Innovation Program — Stream 1 is specifically designed for companies with an operational establishment in the Quebec region of Canada. The program aims to bolster economic growth and innovation within the province.

Bas-St-Laurent
Gaspésie-Iles-de-la-Madeleine
Saguenay-Lac-Saint-Jean
Côte-Nord
Capitale Nationale
Mauricie
Estrie
Centre-du-Québec
Montréal
Outaouais
Laval
Abitibi-Témiscamingue
Nord du Québec
Lanaudière
Laurentides
Chaudière-Appalaches
Montérégie

Eligibility criteria of the Innovation Program — Stream 1 – Support for innovation projects program

The evaluation and selection of projects for this grant are based on specific criteria to ensure alignment with the grant’s objectives.

The innovative nature of the project, focusing on significant improvements or new developments in products or processes.
The project’s potential advantages compared to existing market solutions at a national or international level.
The presence of technological or business risks or uncertainties inherent in the project.
Efforts required or undertaken in research and development associated with the project.
The commercial potential if the product or process is intended for sale.
The necessity of financial assistance for the project's execution.
The alignment of the project with the company's business model.
The organization’s capacity to complete the project, including financial and human resources.
The anticipated economic impacts or other significant outcomes from the project, such as regional economic benefits or future investments.

How to apply to the Innovation Program — Stream 1 – Support for innovation projects program

Reading the Guide

Read the complete Guide to Application Presentation.

Preparation of the request

Fill out the Innovation Program form, section 1 – Application for financial assistance.
Attach all required documents as outlined in section 7 of the presentation guide.
Ensure to obtain the necessary financial statements and supporting documents, such as the partnership agreement if applicable.
Prepare the marketing plan or business plan if required.

Signature

Ensure that the form and other mandatory documents are signed by an authorized person.

Submission of the request

Submit the completed request electronically or by mail to the appropriate regional office of Investissement Québec.
Use the address or email corresponding to your submission region according to the table provided in the guide.

Additional information

Here are some additional relevant details for this grant:

The funding provided is in the form of a non-repayable contribution.
Private contributions must make up at least 25% of eligible expenses, or 20% for social economy enterprises.
Applications are reviewed continuously, but funding is subject to budget availability.
The project duration cannot exceed five years, with a preference for timelines under three years.
Government aid cannot be combined with aid from other Ministry of Economy and Innovation programs or Investissement Québec.
The grant includes contributions from ministries or government organizations at the federal, provincial, and municipal levels.
Recipients must notify the minister immediately if they receive additional financial aid for the project.
Demand for aid is processed by Investissement Québec's administrative units.

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