📋 Eligible Entities - Small and medium-sized enterprises (SMEs) incorporated and operating in Canada - Sole proprietors and self-employed individuals registered for business purposes - Startups with innovative technology or service solutions - Technology companies across all sectors (cleantech, healthcare, digital, etc.) - Businesses must demonstrate Canadian ownership or control - Eligible applicants must have the capacity to develop and test prototypes - Non-profits and crown corporations are not eligible ### 💰 Funding Details - Grant amount: Up to $250,000 per project (Phase 1 - Prototype Development) - Matching requirement: 50% cost-sharing by the applicant (cash or in-kind contributions) - Total project value: Typically $500,000 when combined with government contribution - Repayability: Non-repayable grant (provided milestones are met) - Additional phase opportunity: Phase 2 commercialization funding available (up to $2 million) upon successful Phase 1 validation - Funding structure: Direct grants; no loan component ### 🛠️ Approved Expenses - Personnel costs: Salaries for R&D team, engineers, product developers - Technology and equipment: Tools, software, prototyping hardware, testing devices - Prototype development: Design, build, and iteration of solution prototypes - Testing and validation: Lab costs, third-party testing, performance analysis - Intellectual property: Patent research, filing, and protection costs - Professional services: Engineering consultants, technical advisors, regulatory experts - Market research: User testing, validation studies, commercialization planning - Travel: Essential travel for prototype testing and government stakeholder meetings - Indirect costs: Up to 15% of direct costs for administration ### ⚠️ Conditions & Milestones - Challenge alignment: Solution must directly address an identified government challenge - Timeline: Phase 1 projects typically 6-12 months in duration - Milestone reporting: Regular progress reports required (typically quarterly) - Prototype delivery: Functional prototype or proof-of-
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