How to Apply for
IRAP Innovation Funding
The Short Answer: Strategic guide for accessing IRAP innovation funding and technical advisory services.
"Am I Eligible?" Micro-Quiz
Take 10 seconds to answer these questions and instantly see if you meet the baseline criteria for this funding.
How does the IRAP Application Process work?
It Starts with a Call
Unlike other grants, you cannot just fill out a form online. IRAP is a relationship-based program. You must call 1-877-994-4727 to register and get assigned an Industrial Technology Advisor (ITA).
1. The "Gatekeeper" Call
Call the toll-free number. They will ask basic questions about your business (revenue, employees, technology) to see if you qualify for an ITA.
2. ITA Meeting
If registered, an ITA will visit you (or meet virtually). They are assessing your technology, your finances, and YOU. This is the pitch.
3. Invite to Apply
If the ITA likes your project, they will "invite" you to submit a formal proposal. You will work with them to draft it.
4. Contribution Agreement
Once approved, you sign a contract. You then submit monthly claims for reimbursement.
💡Ready to Secure Your Funding?
Need help with your IRAP application? Our specialists connect you with the right ITA and prepare your proposal.
Who is eligible for IRAP Funding?
IRAP supports small and medium-sized businesses (SMEs) in Canada that want to develop and commercialize technologies.
- Incorporated: Must be a for-profit corporation in Canada.
- Size: Less than 500 employees (usually 1-50 range).
- Innovation: You must be developing new technology, not just buying it.
- Financials: Must have revenue or funding to pay your 20% share.
What costs does IRAP cover?
Project Salaries (80%)
Covers 80% of wages for internal technical staff working on the project.
Contractor Fees (50%)
Covers 50% of Canadian sub-contractors for specialized tasks.
The Secret Weapon: Your ITA
Your Industrial Technology Advisor (ITA) is more than just a gatekeeper. They are your champion.
They Coach You
They help you write the proposal so it passes internal review.
They Connect You
They introduce you to potential partners, customers, and other funding sources.
Frequently Asked Questions
Is IRAP funding tax-free?
No. IRAP contributions are considered taxable income or reduce your SR&ED expenditure pool. Consult your accountant.
Can I stack IRAP with SR&ED?
Yes! But you cannot "double dip." You must subtract the IRAP coverage from your SR&ED claim for those specific costs. Most companies use both.
Do I have to pay it back?
No. IRAP is a non-repayable contribution. It is not a loan.
Common Questions About IRAP
1. Can I stack this with SR&ED?
Yes, but you cannot "double dip." If IRAP pays 80% of a salary, you can only claim SR&ED credits on the remaining 20% (plus overhead). Most tech companies use both programs to maximize their non-dilutive funding.
2. Do I have to pay it back?
No. IRAP is a contribution, not a loan. As long as you spend the money on the approved project activities and submit your monthly claims, it is yours to keep.
3. How fast can I get approved?
It depends on your ITA (Industrial Technology Advisor). If they like your project, approval can happen in as little as 4 weeks. However, the initial engagement to find an ITA can sometimes take months due to high demand.
4. Does it cover marketing costs?
Generally, no. IRAP is strictly for technical R&D. It covers salaries of engineers and developers, not sales staff or ad spend. For marketing support, look at the Canada Digital Adoption Program (CDAP).
5. Can I hire foreign contractors?
IRAP prefers to fund Canadian costs. However, if you can prove that the specific expertise does not exist in Canada, they may approve a foreign contractor. You need a strong justification.
6. What happens if the project fails?
IRAP funds the activity of research, not the guarantee of success. If you do the work but technical challenges prevent comprehensive success, you still get paid.
Explore Related Funding
Official IRAP Resources
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