If your business is developing new technology or improving an existing product, the Industrial Research Assistance Program IRAP is one of the most important federal funding programs to know. Delivered by the National Research Council of Canada (NRC), IRAP provides non-repayable contributions and advisory support to help small and medium-sized businesses bring innovations to market. In 2024, the federal government reaffirmed IRAP as a core innovation program with continued funding through 2025–2026.
The Industrial Research Assistance Program IRAP supports Canadian SMEs working on technology-driven research and development (R&D) projects. Unlike tax credits, IRAP funding is provided upfront and paired with hands-on guidance from NRC Industrial Technology Advisors (ITAs).
IRAP support typically includes:
IRAP is often used by companies in software, advanced manufacturing, cleantech, life sciences, and AI.
To qualify for the Industrial Research Assistance Program IRAP, your business must meet all core eligibility criteria:
IRAP does not fund basic research, marketing activities, or routine product updates. Projects must involve measurable technological advancement.
IRAP funding amounts vary by company stage and project scope, but the program is known for meaningful support.
Early-stage SMEs often receive smaller contributions, while scaling companies with strong R&D roadmaps may receive multi-year support.
Funding is paid as a non-repayable contribution, not a loan.
IRAP also delivers the Youth Employment Program, which helps SMEs hire young talent to support innovation projects.
Key details for 2025:
Many companies use YEP as a starting point before applying for larger IRAP R&D funding.
IRAP is competitive. NRC advisors assess more than just the idea.
Successful applications clearly show:
Tools like GrantHub’s eligibility matcher can help you filter IRAP alongside other innovation programs by industry and province in seconds.
IRAP is often combined with or compared to other federal supports, such as:
IRAP stands out because it provides front-end funding and advisory support, not just reimbursement.
Applying too early
If your technology is still an idea with no development plan, IRAP may redirect you to other programs first.
Treating IRAP like a grant-only program
Advisory services are a core part of IRAP. Ignoring this weakens your application.
Underestimating project management requirements
IRAP requires progress tracking, milestones, and regular reporting.
Assuming automatic renewal
Funding is approved per project phase. Each extension requires reassessment.
Q: Is the Industrial Research Assistance Program IRAP repayable?
No. IRAP provides non-repayable contribution funding, not loans, as long as project terms are met.
Q: Can startups apply for IRAP?
Yes, if they are incorporated, for-profit, and have the capacity to execute an R&D project. Many startups begin with smaller IRAP contributions.
Q: Does IRAP fund software development?
Yes. Software, AI, and digital technologies are commonly funded when there is clear technical risk and innovation.
Q: How long does IRAP approval take?
Timelines vary, but initial engagement with an NRC advisor often takes several weeks, followed by project assessment and contracting.
Q: Can IRAP be combined with other grants?
Yes. IRAP is often stacked with provincial programs or wage supports, as long as total government assistance limits are respected.
The Industrial Research Assistance Program IRAP remains one of Canada’s most valuable innovation funding programs for SMEs in 2025–2026. The right project structure and timing make a major difference.
GrantHub tracks 2,500+ active grant programs across Canada — including IRAP, Mitacs, and export funding — so you can quickly see which ones fit your business profile and growth stage.
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