For incorporated companies driving technological innovation but unable to secure funding under the Canada Emergency Wage Subsidy (CEWS), there is a lifeline called the Innovation Assistance Program (IAP). This wage subsidy initiative is specifically designed to support small to medium-sized profit-oriented businesses in Canada that focus on developing and commercializing innovative, technology-driven products, services, or processes. In this blog post, we’ll explore the eligibility criteria and application process for the IAP.
Innovation Assistance Program: Eligibility Criteria for IAP
To qualify for the Innovation Assistance Program, companies must meet the following criteria:
- Ineligible for CEWS: Companies that cannot avail the Canada Emergency Wage Subsidy due to the revenue drop criteria.
- Incorporated and Profit-Oriented: The business must be an incorporated, profit-oriented small or medium-sized enterprise in Canada.
- Employee Count: Companies should have 500 or fewer full-time equivalent employees.
- Pursuing Technology-Driven Innovation: The core focus of the company’s operations must be the development and commercialization of innovative, technology-driven products, services, or processes within Canada.
- Financial Strain: Businesses should lack sufficient financial resources to sustain operations from April 1, 2020, to June 23, 2020, inclusive.
- Canada Revenue Agency Business Number: A valid CRA business number is mandatory.
- Incorporation Date: The company must be incorporated by no later than March 1, 2020.
Application Process and Timeline
Eligible companies are urged to apply for the IAP as soon as possible before the deadline of April 29, 2020, at 11:59 pm EDT. The application process involves providing basic business information and answering eight operational questions, which may require some time and thoughtful responses.
Notification and Outcome
Companies that apply for the IAP can expect to be notified of their qualification status as early as May 11, 2020. Successful applicants will receive wage subsidies for up to 12 weeks, offering much-needed financial support during this challenging period.
The Innovation Assistance Program (IAP) provides a vital lifeline for technology-driven companies that do not qualify for the Canada Emergency Wage Subsidy. If your business aligns with the eligibility criteria and has the potential for technological innovation, don’t miss this opportunity to secure support and continue your growth journey. Apply before the deadline and ensure your company remains resilient during these unprecedented times.