
NGen — Cluster Building Project
Last Update: July 22, 2025
ON, Canada
Funding to enhance SMEs capabilities and growth
At a glance
Eligible Funding
- Max. $150,000
- Up to 50% of project cost
Timeline
- Receipt of requests is now closed
Financing Type
Partnering and Collaboration
Grant and Funding
Eligible Industries
- Manufacturing
Funds Providers
Program status
Closed
Overview
The NGen Cluster Building Project provides up to $150,000 in funding to support collaborative initiatives among Canadian SMEs aimed at accelerating the adoption and scale-up of advanced manufacturing technologies. Eligible activities include workforce development, market expansion, training, and the implementation of best practices and digital processes within manufacturing clusters.
Financing terms and conditions
- Maximum eligible project value is $150,000.
- NGen will reimburse up to 50% of eligible project costs, not exceeding $75,000.
- Capital and equipment expenses are limited to the lesser of 10% of the total project value or $15,000.
- Only expenses incurred for Canadian subcontractors are reimbursable.
- A one-time, non-refundable project administration fee of 2.5% of the total project cost must be paid at project launch.
Activities funded
- Creation or enhancement of advanced manufacturing clusters through collaboration among Canadian SMEs.
- Development and implementation of advanced manufacturing technologies, best practices, and digital workflows.
- Initiatives focused on workforce development, skills enhancement, and advanced training for cluster members.
- Projects aimed at expanding market opportunities and fostering commercial growth for participating SMEs.
- Collaborative efforts to establish industry benchmarks, technology development roadmaps, and sustainable, long-term business plans for manufacturing clusters.
Examples of admissible projects:
$ 82,500
Implementing a new ERP system for supply chain management at Fresh Joe's Produce
$ 110,000
Upgrading machinery for advanced manufacturing capabilities at Maple Leaf Inc
$ 140,000
Launching a robotic automation line for manufacturing at Stellar Manufacturing
$ 70,000
Developing a digital inventory management system for farmer cooperatives
$ 75,000
Launching an eco-friendly packaging line in collaboration with Sustainable Solutions Inc
$ 60,000
Establishing a community makerspace with advanced 3D printing facilities
Eligibility
- The applicant must be an SME (fewer than 500 employees) or a not-for-profit organization, incorporated in Canada.
- Applicants must be members of NGen (Next Generation Manufacturing Canada) at the time of application.
- The project must involve the creation or support of a cluster consisting of at least five Canadian for-profit SMEs who are members of NGen.
- The primary purpose of the project must be to enhance collaboration among Canadian SMEs in advanced manufacturing through activities such as technology adoption, workforce development, training, or market expansion.
- Applicants must be able to demonstrate the capacity and commitment to complete the project within the required timelines and agree to NGen’s financial due diligence processes.
Who is eligible?
- Canadian for-profit small and medium-sized enterprises (SMEs) engaged in advanced manufacturing
- Membership-based manufacturing clusters consisting of at least five Canadian for-profit SMEs
- Industry associations incorporated in Canada and primarily funded by private sector contributions
- Not-for-profit organizations that facilitate and fund research and development, provided over 50% of their funding comes from private-sector organizations
Who is not eligible
- Publicly funded not-for-profit organizations, post-secondary institutions, federal Crown corporations, and government departments or agencies are not eligible to receive funding directly.
- International organizations (offshore companies and research organizations without an incorporated presence in Canada) cannot receive Supercluster funding for their project activities.
Eligible expenses
- Staffing costs directly associated with cluster building activities.
- Office costs related to the project.
- Legal costs incurred for the collaboration.
- Travel expenses linked to project activities.
- Costs for joint assessments, studies, and reports conducted collaboratively.
- Expenses for Canadian subcontractors supporting project activities.
- Capital and equipment purchases, provided these do not exceed the lesser of 10% of the total project value or $15,000.
Eligible geographic areas
- Companies incorporated in Canada
Selection criteria
- Clarity and significance of the opportunity addressed by the project, including key objectives and expected impacts.
- Quality and feasibility of the overall project and risk management plan, with clear milestones and deliverables.
- Transformative potential of the project and ability to drive meaningful change in advanced manufacturing for cluster members.
- Economic benefits anticipated for members and the broader ecosystem, including potential for business growth and job creation.
- Capability and experience of the project team to deliver the proposed benefits, including governance and resource allocation.
How to apply
1
Read the guidance documents for Cluster Building funding.
Contact project@ngen.ca for questions or advice on your application.
2
Download the document templates to support your project application.
3
Fill out the application documents according to the downloaded templates.
Additional information
- A one-time, non-refundable project administration fee equal to 2.5% of the total project cost is required at launch.
- All partner organizations in the consortium must be identified in the proposal, whether contracting or non-contracting members.
- The financial due diligence will include a Business Credit Report or similar review for all contracting partners.
- The project must be completed within twelve months of contract initiation.
Contacts
capacity@ngen.ca
ON, Canada
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Frequently Asked Questions about the NGen — Cluster Building Project Program
Here are answers to the most common questions about the NGen — Cluster Building Project. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.
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