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PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development - QC - Canada

PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development

Last Update: July 22, 2025
QC, Canada
Supports operating costs for regional sectoral economic development organizations

At a glance

Eligible Funding
  • Max. $800,000
  • Up to 100% of project cost
Timeline
  • Unspecified
Financing Type
Grant and Funding
Eligible Industries
  • Manufacturing
  • Professional, scientific and technical services
  • Educational services
  • Other services (except public administration)
  • Public administration
Program status
Open

Overview

The Economic Development Organization Operating Support Program (PAFODE) — Component 2 provides non-repayable funding of up to $800,000 per year to eligible organizations supporting strategic sectors and regional economic development in Quebec. The program aims to cover operating costs for activities such as strategic coordination, regional business support, and knowledge transfer among industrial clusters and innovation zones.

Financing terms and conditions

  • Non-repayable contribution covering up to 100% of eligible expenses for centers of excellence, regional clusters, and zones of innovation.
  • Maximum funding per year: $100,000 for clusters (with up to $30,000 in additional funding), $360,000 for centers of excellence, interregional clusters, industrial clusters, and innovation centers, and $800,000 for zones of innovation.
  • Maximum of 80% coverage of eligible expenses for industrial clusters, centers, and zones of innovation.
  • Eligible expenses incurred must not exceed a continuous period of 36 months.

Activities funded

  • Coordination and implementation of strategic plans for sectors of excellence, industry clusters, and innovation zones.
  • Regional business support services for companies in strategic sectors.
  • Facilitation of partnerships, alliances, and networking between businesses, economic development organizations, research centres, and educational institutions.
  • Knowledge transfer and dissemination of strategic information to businesses.

Eligibility

  • The applicant must be a non-profit organization, a CEGEP, a collegial technology transfer center, or a university in Quebec.
  • Cities, municipalities, regional county municipalities (MRCs), and similar organizations are eligible.
  • The organization’s activities must support strategic sectors or regional economic development.
  • The applicant must not be a for-profit business with an establishment in Quebec.
  • The applicant must have fulfilled past financial obligations to the Quebec government or Investissement Québec for at least two years.

Who is eligible?

  • Non-profit organizations
  • Cégeps
  • College technology transfer centers
  • Quebec universities
  • Cities, municipalities, and regional county municipalities (MRCs)
  • Organizations with similar activities and non-profits incorporated under the Cities and Towns Act

Who is not eligible

  • State-owned enterprises or companies controlled directly or indirectly by a government (municipal, provincial, or federal), a municipal entity, or a business majority-owned by a state-owned enterprise.
  • For-profit companies with establishments in Quebec.
  • Organizations in a situation of bankruptcy or insolvency.

Eligible expenses

  • Administrative costs.
  • Salaries and remuneration.
  • Operating expenses.

Eligible geographic areas

  • Quebec

Selection criteria

  • Coherence between the organization's mission, the program objectives, and government priorities.
  • Track record of the organization in achieving set targets.
  • Quality of the action plan and performance indicators, including the alignment between proposed activities, available resources, and target outcomes.
  • Capacity of the organization to fulfill its mandate successfully, particularly regarding financial and human resources.
  • Relevance of the organization's contribution to the needs of Quebec's industry and its businesses.
  • Quality of the supporting documentation provided.
  • Adoption and implementation of eco-responsible practices (such as recycling or a sustainable development action plan).

How to apply

1

Download and prepare the form

  • Download the financial assistance application form (PDF)
  • Save the form to your computer before opening it
  • Do not fill out the form in your web browser
  • Use Adobe Reader version 10 or above
  • Do not modify the PDF document
2

Complete form and assemble documents

  • Complete the application form for financial assistance
  • Gather supporting documents: financial statements, detailed projected budget, strategic plan and annual action plan, latest annual activity report, service offers and partnerships, equality in employment declaration, francization certificate, and any other required documents (e.g., sustainable development plan)
3

Review and finalize application

  • Ensure all information on the form and supporting documents is accurate and complete
  • Have the application form signed
  • Verify that all required documents are attached
4

Submit the application by email

  • Email the completed and signed application form along with all required documents
  • Use the subject line: "Soutien au fonctionnement des organismes en appui aux secteurs stratégiques et au développement économique des régions"
  • Send before March 31, 2026, to PAPDE_PAFODE@economie.gouv.qc.ca
5

Wait for application review and results

  • Wait for the analysis of your application based on criteria such as alignment with program objectives, performance history, quality of action plan and indicators, and relevance to Quebec’s industry needs
  • Await result notification

Additional information

  • Applicants must submit supporting documents such as financial statements, strategic planning documents, and any relevant certifications with their application.
  • All documentation must be submitted electronically, ensuring the subject line specifies "Soutien au fonctionnement des organismes en appui aux secteurs stratégiques et au développement économique des régions."
  • Forms should be downloaded and filled with Adobe Reader (version 10 or above) and not completed directly in a web browser.
  • The program was last updated on March 26, 2024.

Contacts

PAPDE_PAFODE@economie.gouv.qc.ca
1 866 691-5666
QC, Canada
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Frequently Asked Questions about the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development Program

Here are answers to the most common questions about the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development. 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.

What is the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development?

How much funding can be received?

What expenses are eligible under PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development?

What is the deadline to apply?

Is the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development a grant, loan, or tax credit?

Who are the financial supporters of the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development?

Who is eligible for the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development program?

Who can I contact for more information about the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development?

Where is the PAFODE — Component 2 : Operating support for organizations supporting strategic sectors and regional economic development available?

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