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NRC IRAP Funding 2026: How It Works, With Award Data

By GrantsightsUpdated 11 official sourcesHow we checkCorrections

Quick Answer: NRC IRAP (the National Research Council's Industrial Research Assistance Program) funds part of the cost of R&D and technology projects at incorporated, for-profit Canadian firms with up to 500 employees.

Full answer and how we checked it

There's no deadline and no open call: you phone NRC, get matched to an industrial technology advisor, and funding follows only if the advisor backs a project. In Grantsights analysis of federal disclosure data, NRC disclosed 2,812 contributions to firms in 2025-26 with a median of $75,000. According to the NRC's 2024-25 Departmental Results Report, 3,136 of the 9,187 firms IRAP worked with received funding.

This guide is for: founders, CEOs and technical leads at incorporated Canadian small and medium-sized businesses building a new technology product, process or service, who want to know how NRC IRAP funding really works and what to expect.

Data note: Grantsights checked every eligibility rule, contact step and program figure below against nrc.canada.ca and canada.ca on October 29, 2026. The award tables are Grantsights analysis of the Government of Canada's Proactive Disclosure - Grants and Contributions (opens in a new tab) dataset, pulled through the Open Government Portal's API on October 29, 2026 (the dataset was last updated that day). We downloaded all 79,708 National Research Council records, kept the latest amendment of each agreement (65,866 agreements), and selected the 29,935 IRAP agreements. Years are federal fiscal years (April to March) of the quarter in which NRC disclosed the agreement; 2026-27 covers the first quarter only. "Contributions to firms" includes agreements labelled IRAP, IRAP Contributions to Firms, AI Assist and Clean Technology, and excludes Contributions to Organizations and the Youth Employment Program, which are shown separately. Amounts are the agreed maximum contribution, not money paid out. All amounts are in Canadian dollars.

Grantsights' own tools cover US funding only. What we cover outside the US

In this guide (10 sections)

A note before you read: Grantsights' grant search and reports cover United States funding only, so there's no Canadian product on this page. Everything below comes from NRC's own pages and reports and from the federal government's published agreement records. If you'd want a Canadian version of our tools, tell us you're in Canada.

NRC IRAP Funding by the Numbers

According to the Government of Canada's grants and contributions disclosures, NRC disclosed 2,812 IRAP contributions to firms worth $590.4 million in fiscal 2025-26, the most in the five years Grantsights analyzed, with a median of $75,000. The total rose 21% from 2024-25, and the number of agreements of $1 million or more rose from 20 in 2021-22 to 87.

Fiscal year (disclosed)Contributions to firmsTotal valueMedianAgreements of $1 million+
2021-222,281$412.6 million$80,00020
2022-232,431$444.1 million$75,00036
2023-241,918$375.6 million$75,00033
2024-252,406$488.5 million$75,00074
2025-262,812$590.4 million$75,00087
2026-27 (Q1 only)564$85.1 million$84,5643

Grantsights analysis of 29,935 IRAP agreements in the Proactive Disclosure - Grants and Contributions data, latest amendment per agreement.

The 2,812 agreements in 2025-26 went to 2,275 different recipients. Across the five years from 2021-22 to 2025-26, 11,848 firm contributions went to 6,211 differently named recipients, and 2,899 of those recipients signed more than one agreement. IRAP is a relationship program: many firms come back for a second or third project once they have an advisor.

The NRC's own figures tell the same story from the other side. According to its 2024-25 Departmental Results Report (opens in a new tab), IRAP worked with 9,187 firms, provided $393.1 million to 3,136 SMEs, and delivered 28,129 advisory services in 2024-25. NRC's 2025-26 Departmental Plan supplementary tables plan $512.6 million in IRAP contributions for 2025-26 and $508.8 million for 2026-27, falling to $476.0 million in 2027-28.

How Big IRAP Contributions Really Are

58% of IRAP contributions to firms in 2025-26 were $75,000 or less, according to Grantsights analysis of the disclosure data, and 759 of 2,812 (27%) were exactly $75,000. A small number of large projects carry much of the money: the 87 agreements of $1 million or more were 3% of agreements but $192.6 million, about a third of the total.

Agreement size (2025-26)AgreementsShareTotal value
Under $50,00040614%$10.1 million
$50,000 to $74,99945416%$27.6 million
Exactly $75,00075927%$56.9 million
$75,001 to $149,99931011%$33.8 million
$150,000 to $499,99964323%$167.1 million
$500,000 to $999,9991535%$102.2 million
$1 million and over873%$192.6 million

Grantsights analysis of 2,812 IRAP contributions to firms disclosed in fiscal 2025-26. 13 agreements recorded a value of $1 or less and are counted in the first band.

NRC's 2022 evaluation of IRAP (opens in a new tab) described three funding streams: an accelerated review process (ARP) for small projects, then below $50,000; regular IRAP for awards between $50,000 and $1 million; and large value contributions from $1 million up to $10 million. The current data suggests the small-project ceiling has moved. In 2025-26, 271 agreement titles start with "ARP", and none of them, in any year from 2023-24 on, is above $75,000. NRC doesn't publish the current threshold, so ask your advisor.

Project terms are short for most firms. The median 2025-26 agreement ran 284 days from start to end date, and 77% ran a year or less. Agreements of $1 million or more had a median term of about two years (728 days).

Recent examples from the records. Case in point at the large end: WOLF Advanced Technology Canada Inc. in Aurora, Ontario has a $10,000,000 agreement for embedded GPU computing modules for rugged platforms, and GHGSat Incorporated in Montreal has $7,200,000 for next-generation methane-detection satellite technology. In the middle, MindBridge Analytics Inc. in Ottawa has a $297,000 agreement for experimentation in AI accounting and audit automation. At the typical size, for example, Waterford Energy Services Inc. in Halifax received a $75,000 agreement for a containerized hydrogen production feasibility study, and Gestion VFC inc. in Victoriaville, Quebec has $75,000 to optimize sorting centre operations.

Who Can Get IRAP Funding

The NRC's Financial support for technology innovation (opens in a new tab) page sets the minimum requirements. Your business must:

  • be incorporated, for-profit and operating in Canada,
  • employ up to 500 people (full-time equivalent),
  • develop and commercialize technology-driven products or services, and
  • be ready to create economic benefits in Canada, such as new jobs or more capacity to innovate.

Not eligible: unlimited or limited liability corporations (ULCs or LLCs), sole proprietorships, partnerships and cooperatives.

What you'll need: a CRA business number, a business plan, recent financial statements, details of your ownership structure, and résumés or profiles for your management and technical team.

What IRAP won't fund: day-to-day operating costs, non-technical or purely commercial activities, work done outside Canada, and research with limited commercialization potential.

NRC says its advisors assess the technical side of the project; the business, management and financial capacity of the firm; the likelihood of achieving results; and the commercialization plan and market potential, with benefits to Canada. Meeting the minimum requirements is only the first step.

How to Get IRAP Funding, Step by Step

NRC's contact centre number, 1-877-994-4727, is the front door. NRC's funding page lists no intake window, deadline or online application form for regular IRAP funding.

  1. A senior executive calls 1-877-994-4727. The bilingual contact centre decides whether you're ready to meet a client engagement advisor (CEA).
  2. The CEA reviews your business and may refer you to an industrial technology advisor (ITA).
  3. The ITA assesses your readiness and works out which IRAP supports fit. NRC says this relationship usually starts with advice and referrals before any funding. According to NRC's March 12, 2026 briefing to the House of Commons Standing Committee on Science and Research, IRAP has 275 advisors nationally.
  4. If there's a fit, you're invited to submit a proposal. NRC says being invited to submit a proposal doesn't guarantee funding.
  5. You sign a contribution agreement and claim costs under its terms.

Already an IRAP client? Talk to your ITA directly; that's also the route NRC gives for its newer streams.

IRAP's Special Streams in 2026

IRAP runs several targeted streams alongside regular project funding. All of them go through the same advisor relationship.

StreamWhat it fundsLatest figures
Defence Industry Assist (DI Assist)Defence and dual-use technology at SMEs, from market understanding to validating near-complete technology$241 million announced January 2026; NRC says over $135 million invested in 860 SMEs and 540+ projects by October 14, 2026
AI AssistAI projects at SMEs, funded from Budget 2024$100 million over 5 years from Budget 2024; 146 agreements labelled AI Assist in 2024-25 and 71 in 2025-26, median $75,000
Clean TechnologyNew clean technologies with a measurable environmental benefit57 agreements in 2024-25 (median $800,000) and 5 in 2025-26
Youth Employment ProgramPart of a graduate's salary for 6 to 12 months722 agreements in 2025-26, median $30,000
Large Value ContributionsProjects over $1 million, up to $10 millionNRC reports $76 million to 72 SMEs in 2024-25

Program details from NRC pages; the 146, 71, 57, 5 and 722 agreement counts are Grantsights analysis of federal disclosure data by program label.

DI Assist. According to NRC's defence and dual-use technologies (opens in a new tab) page, projects must support Canadian Armed Forces capability needs, align with Canada's Defence Industrial Strategy and have a clear path to commercialization. NRC's October 14, 2026 news release says 79% of supported businesses have fewer than 50 employees. The disclosure data already shows the shift: 253 contributions to firms in 2025-26 mention defence or dual use in the title or description, worth $46.4 million by Grantsights' keyword count.

Clean technology. NRC's clean technology (opens in a new tab) page adds requirements beyond the basic ones: paid full-time employees besides the founders, a validated proof of concept, measurable environmental impacts and a path to commercialization.

Youth Employment Program. NRC's funding to hire young graduates (opens in a new tab) page says the graduate must be 15 to 30 at the start, a Canadian citizen, permanent resident or person granted refugee status, and a first-time participant in a Youth Employment and Skills Strategy work placement for graduates. The business covers benefits and overhead. NRC says decisions come within two weeks and claims are monthly.

What NRC's IRAP Pages Don't Tell You

The program pages read like an open door. The reports and the agreement data show four things worth knowing before you call.

1. Most firms IRAP works with don't get money in a given year. NRC's 2024-25 figures show 3,136 funded firms out of 9,187, about 34%. NRC's March 2026 committee briefing describes the other 6,051 as advisory-only clients. Treat the first conversations as an assessment, and don't build a payroll plan around IRAP money until an agreement is signed. Don't apply expecting a cheque on the first call; apply when you can show a technical problem, a team and a market.

2. The typical first project is small and short. With a median of $75,000 and a median term of about nine months, IRAP's usual first contribution pays for a defined slice of work, not a product's whole development. Large agreements are rare: the 2022 evaluation found only 40 clients had a large value contribution over its five-year review period, and 87 of 2,812 agreements reached $1 million in 2025-26.

3. Software and AI now dominate. Grantsights analysis of the 2025-26 agreements found 513 contributions to firms with "AI" or "artificial intelligence" in the title, worth $114.1 million, about 18% of all firm agreements. By industry code, manufacturing firms (NAICS 31 to 33) signed 1,081 agreements worth $216.9 million, information and cultural industries (NAICS 51) 746 worth $151.6 million, and professional, scientific and technical services (NAICS 54) 578 worth $119.2 million.

4. IRAP money reduces your SR&ED claim. According to the CRA's Assistance and Contract Payments Policy (opens in a new tab), qualified SR&ED expenditures are reduced by government assistance, which includes grants, subsidies and forgivable loans. A common mistake is to budget the full 35% SR&ED tax credit on salaries IRAP already paid for. Model the two together.

There's also a compliance side. NRC's March 2026 briefing reports that IRAP audit recoveries ran between 0.34% and 1.75% of audited amounts from 2020 to 2024, with audits ongoing for 2024 to 2026. Keep time sheets and invoices that tie each claimed cost to the approved project.

Where IRAP Money Goes by Province

Ontario firms received the most IRAP money in 2025-26, $190.8 million across 736 contributions, according to the Government of Canada's disclosure records as analyzed by Grantsights. Quebec had almost as many agreements but smaller ones on average, and Saskatchewan's median was well above the national $75,000.

Province or territory (2025-26)Contributions to firmsTotal valueMedian
Ontario736$190.8 million$75,000
Quebec726$124.0 million$75,000
British Columbia510$115.0 million$85,000
Alberta321$65.0 million$75,000
Nova Scotia124$20.4 million$75,000
Newfoundland and Labrador111$21.7 million$75,000
Manitoba99$21.1 million$75,000
New Brunswick81$9.9 million$75,000
Saskatchewan59$12.7 million$135,000
Prince Edward Island35$7.8 million$75,000
Territories (Yukon, NWT, Nunavut)10$2.2 millionn/a

Grantsights analysis of 2,812 IRAP contributions to firms disclosed in fiscal 2025-26, by recipient province.

The four Atlantic provinces together signed 351 agreements worth $59.8 million, more than Alberta's 321. NRC doesn't publish regional IRAP budgets, so these totals reflect where funded firms are, not a set allocation.

Who Shouldn't Start With IRAP

IRAP is strong for incorporated technology firms with a defined technical problem and staff to work on it. It's the wrong first call if:

  • You're not incorporated or you operate as a partnership or co-op. Incorporate first, or look at the options in our guide to Futurpreneur and startup funding in Canada.
  • You need money for marketing, sales or day-to-day operations. IRAP won't pay for those. Our guide to small business grants in Canada covers export, hiring and digital programs.
  • You need cash in the next month. The advice-first process takes time, and the SR&ED tax credit pays after year end, so neither fixes a short-term cash gap.
  • You only want a summer student. Canada Summer Jobs is simpler for summer roles, while IRAP's Youth Employment Program is for 6- to 12-month graduate placements.

If you're in Ontario, our guide to small business grants in Ontario lists provincial programs that can sit alongside an IRAP project, subject to the stacking rules in your agreement.

Where to Go Next

If you're an incorporated tech SME with a technical problem you can describe in two sentences, IRAP is worth it, and the best next step is a call to 1-877-994-4727 with your business number, latest financial statements and a short project outline ready. Expect advice first and a modest first project, probably near $75,000, and build the relationship from there. Firms with defence or dual-use technology should raise DI Assist on that first call; NRC reports more than $135 million committed through it since January 2026.

Sources Checked

All pages read and data downloaded on October 29, 2026.

Frequently Asked Questions

How do I apply for NRC IRAP funding?

There's no application form or deadline. According to the NRC, a senior executive of an eligible business calls 1-877-994-4727. The contact centre decides whether you're ready to meet a client engagement advisor, who may refer you to an industrial technology advisor (ITA). The ITA assesses your business and, if there's a fit, works with you on a project proposal. NRC says the relationship usually starts with advice and referrals before any funding, and that being invited to submit a proposal doesn't guarantee funding.

Who is eligible for NRC IRAP?

The NRC's minimum requirements are that the business is incorporated, for-profit and operating in Canada, employs up to 500 people (full-time equivalent), develops and commercializes technology-driven products or services, and is ready to create economic benefits in Canada. Unlimited and limited liability corporations (ULCs and LLCs), sole proprietorships, partnerships and cooperatives aren't eligible.

How much funding does IRAP give?

It varies widely. In Grantsights analysis of the Government of Canada's grants and contributions disclosures, NRC reported 2,812 IRAP contributions to firms in fiscal 2025-26 worth $590.4 million. The median was $75,000, 58% were $75,000 or less, and 87 were $1 million or more, up to $10 million. The NRC says its Large Value Contribution program offers up to $10 million.

Is IRAP funding a grant or a loan?

Neither, strictly. IRAP pays contributions under a signed agreement that reimburse part of an approved project's costs. NRC's transfer payment reporting says the program can make non-repayable contributions under appropriate circumstances where the benefits to Canada would be significant. Read the repayment terms in your own agreement before you sign.

Can a startup or sole proprietor get IRAP funding?

A sole proprietor can't; the business must be incorporated. A young incorporated startup can be eligible, but the NRC assesses technical capability, management and financial capacity, and commercialization plans, and its clean technology stream asks for paid full-time employees besides the founders. Pre-revenue founders should expect advice before money.

What is the IRAP Youth Employment Program?

It cost-shares part of the salary of a post-secondary graduate aged 15 to 30 hired by a for-profit SME with 500 or fewer full-time equivalents, for a 6- to 12-month placement of at least 30 hours a week. NRC says decisions come within two weeks. In Grantsights analysis of the federal disclosures, the median Youth Employment Program agreement in 2025-26 was $30,000.

Can I get IRAP and SR&ED for the same project?

Yes, but the IRAP money reduces your SR&ED claim. The CRA's Assistance and Contract Payments Policy says qualified SR&ED expenditures are reduced by government assistance, which includes grants, subsidies and forgivable loans. Plan the two together so you don't count the same salary dollars twice.

Last updated October 29, 2026. Published by Grantsights from public sources. See our editorial policy, how we build and check guides, corrections and how we make money.