Artificial Intelligence (AI) is becoming a key driver of competitiveness and innovation for businesses. Whether you're an SME undergoing digital transformation or a growing startup, numerous grant and funding programs are available to support your AI projects.
This guide covers:
- Types of available grants
- Key programs in Quebec and Canada
- Eligible sectors
- Steps to apply
- A FAQ addressing your main questions
Types of grants and funding available for AI projects
Non-repayable grants
Non-repayable grants are financial aids provided without the obligation of repayment, often linked to innovation, research and development (R&D), or digital transformation.
Support for technological innovation or applied R&D
- For developing, prototyping, and validating AI concepts.
- Targets experimentation or proof-of-concept projects.
- Suitable for projects with technical uncertainties, such as new AI applications in business domains.
Support for digital technology integration
- For companies implementing AI solutions in operations (production, management, logistics, etc.) or commercial software.
- May include technology audits or demonstrators.
- Aims to directly integrate AI into operations.
Funding for collaborative projects with research centres
- Non-repayable aid for companies conducting AI projects with universities, CCTTs, or specialized centres.
- Encourages private-academic partnerships.
- Suitable for projects with technological uncertainties or at the preliminary vision stage without a concrete action plan.
- For example, a short engagement with a CCTT can help identify various AI application avenues.
Scholarships or credits from incubators and accelerators
- Initial support for tech startups, often in the form of scholarships, coaching access, or service credits.
- Non-dilutive, often combined with strategic support.
- Aims to provide AI support to accelerate integration into tech solutions.
- For instance, Scale AI offers up to $120,000 in AI support grants through various incubators.
Wage subsidies or AI talent integration
- For hiring AI specialists, interns, postdoctoral researchers, etc.
- Objective: promote knowledge transfer within companies.
- For example, NRC IRAP offers such programs.
Training or skill development in AI
- To develop internal AI skills (training, certifications, etc.).
- For example, AI training to facilitate the integration of generative AI technologies into operations.
- Services Québec and Scale AI offer grants covering a portion of AI training costs for teams.
Innovation competitions or calls for projects
- Competitive funding awarded to companies submitting innovative AI projects (e.g., public challenges, hackathons, MEIE calls for projects).
- Targets ambitious projects often involving multiple companies with common needs.
Repayable or partially repayable funding programs
These programs provide financial support in the form of loans, repayable advances, or grants conditional on certain performances.
Preferential or interest-free loans for tech projects
- Funding for purchasing or developing AI equipment and solutions.
- Sometimes combined with grants.
- For example, BDC offers this type of financing.
Conditional repayable advances
- Often repayable only if the project generates revenue or achieves certain results.
- For instance, some aids from Investissement Québec or MEIE offer repayable advances, reimbursed only if the project meets specific performance or revenue objectives.
R&D tax credits (SR&ED)
- Allow recovery of a significant portion of expenses related to research, software development, or AI experimentation.
- Applicable at both federal and provincial levels (differences between Quebec and the rest of Canada).
Mixed financing (Grant + loan)
- Some programs combine repayable loans with a non-repayable portion, depending on the project's or company's profile.
Government-guaranteed commercial loan programs
- Offered by banks or financial institutions with government support (e.g., for SMEs' digital transformation).
Tax credits for technology integration or training
- Some provinces offer tax incentives for purchasing technologies or developing AI-related skills.
Municipal or regional programs specific to certain sectors or territories
Cities or RCMs also offer AI funding. These initiatives are often lesser-known but can provide significant leverage to initiate a project or access nearby specialized resources.
City programs (e.g., Montreal, Quebec City, Sherbrooke)
Some cities offer specific support for AI or digital transformation (scholarships, competitions, consulting service credits, etc.).
- For example, Quebec City offers substantial innovation funding through the Growth Support Voucher, providing up to $25,000 in grants for a $50,000 project.
RCM or CLD initiatives (Local Development Centres)
Investment aid, support for implementing tech projects in specific regions.
- For example, Économie du savoir offers this type of funding.
Local economic development organizations (ex. PME MTL, Entreprendre Sherbrooke, Québec International)
Offer support, tech diagnostics, and sometimes funding for AI-related projects.
Private investors (Tech venture capital)
Private investors are not grants or government aid but a complementary financing method.
Tech venture capital / private investors
- Can finance the development or scaling of an AI project.
- Attractive for innovative startups with high growth potential.
- Often used alongside public grants to accelerate commercialization
Angel investors specializing in deeptech or AI
- Provide funding, mentorship, and industry connections.
- Often interested in real-world AI applications in sectors like healthcare, finance, or logistics.
Growth equity firms or institutional funds
- May support later-stage companies by helping with scaling, internationalization, or industrialization of AI solutions.
AI grants: Key programs in Quebec
Innovation program (MEIE)
- Non-repayable or repayable support depending on the nature of the project, backed by the Government of Quebec.
- Covers development, validation, prototyping, or commercialization of a technology.
- Primarily targets innovative SMEs.
- Projects involving AI, automation, or digital transformation are eligible.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
| All industries | Up to 75 000$ Up to 60% of total project costs |
Innovation |
ESSOR program
- Funding to increase business productivity through innovation.
- May include AI for modernizing operations or processes.
- Offers grants or loans depending on the stream.
- Also targets the purchase of equipment or digital transformation.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to 50 000$ Up to 50% of total project costs |
Innovation Digital transformation |
AI-Related SR&ED tax credits
- Refundable or non-refundable tax credits (federal and Quebec).
- Based on eligible expenses in scientific research or experimental development (SR&ED).
- AI qualifies if the project involves technical experimentation.
- Widely used by tech and manufacturing firms.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
| All industries | Up to 50% of project costs | Innovation Technology |
Tax credit for the development of e-business (CDAE)
- Refundable tax credit offered by Revenu Québec.
- Covers up to 30% of eligible salaries in software development.
- Targets digital businesses developing or integrating AI solutions (automation, personalization, data analysis).
- Requires rigorous structuring of activities and technical documentation.
- Ideal for maximizing returns on intelligent digital platform or tool development.
- Advisory support is recommended for eligibility and compliance.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
| Information technology industry | Up to 25,000$ per eligible employee Up to 30% tax credit |
Artificial intelligence Innovation Technology |
PARTENAR-IA Entreprise
- Financial support for collaborative AI projects between businesses and research centres.
- Covers up to 50% of eligible costs.
- Objective: encourage co-innovation and technology transfer.
- Targets both SMEs and large enterprises.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to 1 500 000$ per project Up to 50% of total project costs |
Artificial intelligence |
Québec strategy to support research and investment in innovation (SQRI2)
- A broad framework supporting several areas of innovation, including AI.
- Funds collaborative research, talent acquisition, and deployment of AI solutions.
- Indirect funding mechanisms through various ministries or organizations.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to 600 000$ Up to 80% of total project costs |
Innovation |
NovaScience program call for projects
- Supports the development of scientific and technological talent.
- Grants for internships, hiring recent graduates, or AI-related training.
- Helps integrate new talent into innovative SMEs and non-profits.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to 200 000$ Up to 80% of total project costs |
Artificial intelligence Innovation Technology |
AI grants: National and federal programs in Canada
Strategic innovation fund (SIF)
- Supports high-impact innovation projects, including artificial intelligence.
- Targets large businesses or structuring projects in strategic sectors.
- Aims to foster growth, commercialization, and technological transformation.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to 50% of total project costs | Innovation Technology |
Industrial research assistance program (NRC IRAP)
- Provides direct financial support to innovative SMEs.
- Funds technology development, including AI-related projects.
- Includes technical support and salary contributions for AI personnel.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
| Professional, scientific, and technical services | Up to 75% of total project costs | Innovation Technology |
Scale AI
- Canada’s AI supercluster focused on supply chain innovation.
- Offers substantial grants for collaborative projects between businesses and researchers.
- Covers a portion of salaries, R&D costs, and AI technology tools.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to $50,000 Up to 50% of total project costs |
Artificial intelligence Innovation Technology |
Scale AI Talent
- Supports training and upskilling initiatives in artificial intelligence.
- Provides funding to companies training their employees on AI tools and concepts.
- Covers internal programs or partnerships with educational institutions.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
| Professional, scientific, and technical services | Minimum Funding: $5,000 | Artificial intelligence |
Next Generation Manufacturing Canada (NGen)
- Supports the adoption of advanced technologies, including AI, in manufacturing.
- Grants available for collaborative and innovative industrial projects.
- Aims to boost Canadian manufacturing productivity and competitiveness.
| Eligible Industries | Eligible Funding | Project Type |
|---|---|---|
|
Up to $150,000 Up to 50% of total project costs |
Technology Digital transformation |
Which companies can benefit from AI grants?
Eligible business types
SMEs, startups, scaling companies, and large enterprises.
Eligible sectors
ICT, healthcare, manufacturing, professional services, agriculture, and more.
Why invest in artificial intelligence today?
In a context marked by productivity pressure, labour shortages, and rapid digital transformation, AI is a key lever for staying competitive. It enables you to optimize processes, innovate in your products and services, and make faster, better-informed decisions. Investing in AI is also a way to secure long-term technological investment.
For both SMEs and large enterprises, AI opens the door to tangible new opportunities:
- automating low-value tasks
- enhancing customer experience
- predictive analytics
- service personalization
- operational efficiency gains
AI has broad applications across sectors: ICT, manufacturing, professional services, healthcare, agriculture, logistics... No matter your industry, artificial intelligence can create lasting impact.
In summary
Investing in artificial intelligence means betting on transformation, innovation, and added value in a fast-evolving world. It also means seizing today’s opportunities to build tomorrow’s solutions.
Turn your AI projects into real opportunities
AI grants offer more than financial support: they help companies bring innovative ideas to life, accelerate their digital transformation, and reduce the risks associated with technological experimentation. By leveraging these funding programs, you can integrate AI into your operations while maintaining control over your resources and priorities.
Identifying the right opportunities, structuring a solid project, and collaborating with the right partners... every step counts in making AI a real driver of growth.
Ready to get started?
We offer tailored support to help you identify the right programs for your needs and guide you through the application process.
AI Grants – FAQ
Yes, several programs are specifically designed for SMEs, including non-repayable grants, tax credits, or support for integrating AI talent. Programs like IRAP-NRC and the Innovation Program (MEIE) are good examples.
Yes. Priority sectors vary by program, but typically include information technology, manufacturing, healthcare, agri-food, professional services, and the environment. Sectors like logistics and finance may also qualify depending on the project.
Criteria vary by program but generally include:
- Having a business establishment in Quebec or Canada
- Presenting a project focused on innovation or digital transformation
- Demonstrating the capacity to carry out the project (team, budget, structure)
- Partnering with eligible organizations (e.g., research centres, universities)
Review program guidelines, conduct a tech maturity assessment, or consult with an innovation advisor (e.g., PME MTL, NRC, Baseline). Projects that involve experimentation, automation, or clear value creation are often eligible.
Yes, under certain conditions. Some programs allow stacking, but all funding sources must be clearly disclosed. Double-dipping (claiming the same expense through multiple programs) must be avoided.
It depends on the program. Some offer $25,000 to $100,000 for pilot projects, while others go up to several million dollars for large-scale or collaborative initiatives (e.g., Scale AI, Strategic Innovation Fund).
Most grants are disbursed in instalments, based on milestones, deliverables, or incurred expenses. Progress reports and supporting documentation are usually required to release the funds.
Yes, some programs (e.g., Scale AI Talent, NovaScience, Services Québec) cover costs related to AI training, upskilling, or certification for your workforce.
Here are the key steps:
- Identify the program best suited to your project
- Prepare a clear application with goals, budget, and timeline
- Gather required documents (project plan, financials, letters of support)
- Submit your application through the program's portal
- Follow up and respond to any additional information requests
Requirements may vary, but commonly include:
- Application form
- Project description
- Detailed budget
- Evidence of partnerships (if applicable)
- Recent financial statements
- Deployment plan or technology roadmap
Typically between 4 and 12 weeks, depending on the program. Some competitions or calls for projects may take longer, especially those involving review committees or multi-step evaluation processes.
Companies are generally required to:
- Use funds as outlined in the approved project
- Submit technical and financial reports
- Keep all supporting documentation
- Accept potential audits or evaluations
- Acknowledge program support in communications, as required
How to apply for an AI grant?
Key steps to a successful application
Identify the right funding program.
Take the time to meet with the funding body to confirm your eligibility and learn best practices to avoid errors and wasted time.
Prepare a solid application package:
➔ Preparing a strong application can take between 10 and 40 hours depending on the program and your experience.
Common mistakes to avoid