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Funding Guide

Funding Your App in Canada

A plain-English look at the programs Canadian businesses ask us about.

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Can the Government Pay for My App?

This guide is general information, not tax, legal or funding advice. Programs, rules and deadlines shift often. Always check the official source, and talk to an accountant or the program itself before you count on any funding. Last reviewed September 27, 2026.

It's the first question many Canadian founders ask, and the honest answer is: sometimes, in part, and usually not for a plain app build.

Canada has good programs for businesses doing real research, building new technology or growing fast. A standard booking app, online store or company app usually doesn't qualify on its own. But if your app involves a real technical problem, a new product or new hires, some of your costs may be covered.

Three things to know before you start:

  • Most funding pays you back after you spend. You usually pay the bills first and claim later, so plan your cash flow around the full cost.
  • Rules are strict and paperwork matters. Good records from day one make a big difference.
  • Individuals rarely qualify. Most programs are for incorporated businesses, not people with an idea.

SR&ED Tax Credits

The Scientific Research and Experimental Development program, known as SR&ED, is Canada's largest federal program for business R&D. It's run by the Canada Revenue Agency as a tax credit.

What it can cover: work that tries to solve a real technical problem, where the answer isn't known in advance and has to be found through testing. For software, that might mean building a new algorithm, making a system do something existing tools can't, or solving a hard performance or data problem.

What it usually doesn't cover: routine development using known methods. Building screens, adding standard features, or connecting to a well-documented service is normal work, even when it's hard work.

How much: Canadian-controlled private corporations can earn a higher, refundable credit on qualifying spending, up to a yearly limit. Most other corporations earn a lower, non-refundable credit. The limits were raised in recent federal budgets, so check the CRA for current figures.

NRC IRAP

The National Research Council's Industrial Research Assistance Program, known as NRC IRAP, helps small and medium-sized businesses grow through new technology. It offers three kinds of help:

  • Advice from Industrial Technology Advisors, who know the funding and tech scene in your region.
  • Funding for technology projects, often as a share of project costs.
  • Connections to research partners and experts.

IRAP is meant for incorporated, for-profit businesses with 500 or fewer employees that are working on something new. The first step is usually a conversation with an advisor, not an application form.

Hiring Help for Your Team

If your app means hiring, some programs share the cost of new staff:

  • NRC IRAP's Youth Employment Program helps eligible businesses hire post-secondary graduates aged 15 to 30 for tech and innovation roles.
  • Canada Summer Jobs funds summer jobs for young people aged 15 to 30.

These help with your own hires. They don't pay an outside team like ours.

Regional Development Agencies

The federal government runs regional agencies that fund businesses growing, scaling up or bringing new products to market in their part of the country:

  • FedDev Ontario for southern Ontario.
  • FedNor for Northern Ontario.
  • PacifiCan for British Columbia.
  • PrairiesCan for Alberta, Saskatchewan and Manitoba.
  • ACOA, the Atlantic Canada Opportunities Agency, for New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador.

Each agency sets its own priorities and intake dates, and most look for businesses with a clear growth plan.

Provincial Programs

Most provinces also have their own agencies or funds for new products and tech companies. Here are the main ones, with more detail on our province pages:

What This Means for Your Budget

Treat funding as a bonus, not the plan. Budget for the full cost of your app, then see what you can get back.

For most first apps, that means starting lean. A clickable prototype runs $13,500 to $21,000 CAD, and a lean MVP runs $21,000 to $42,000. A smaller first version is easier to pay for, faster to launch, and gives you real results to show funders and investors later. See our MVP development page for how we keep first versions lean.

How We Help

We don't apply for funding on your behalf, and we can't promise you'll qualify. What we can do is make the process easier:

  • Clear scope and written plans. Funders want to see what you're building and why. Our project plans spell that out.
  • Good records. We can track the technical work on your project in a way your accountant can use.
  • Honest advice. If your project looks like routine development, we'll say so, so you don't plan around money that won't come.

If you're working with an SR&ED consultant or an IRAP advisor, we're happy to talk with them directly.

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App Funding FAQs

Are there app development grants for individuals in Canada?

Very few. Most federal and provincial programs require an incorporated business. If you're an individual with an app idea, the usual path is to incorporate, start lean with a prototype or MVP, and look at funding as the business grows.

Can SR&ED pay for my whole app?

No. SR&ED is a tax credit on qualifying R&D work, not a grant for a full project. Only the parts of your project that involve real technical research can count, and you claim after you spend.

Do you apply for funding for me?

No. We're app developers, not funding consultants. We'll give you clear plans and records that help your application, and we'll work with your accountant or advisor.

Official Sources

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