The COVID-19 pandemic has transformed the way we do business. Nowadays, to ensure its long-term survival, any company or organization must not only have a presence on the Web, but also be equipped with the tools it needs to be productive.
If you’re still reluctant to embark on this new economy because the project intimidates you, that’s perfectly normal. That’s why our company exists: we accompany small and medium-sized businesses step by step in this great adventure of new technologies and information technologies, enabling them to increase their productivity, competitiveness and performance. Of course, this transformation comes at a price. However, there are a number of programs, grants and credits available
Provincial tax credits and programs
Investment and innovation tax credit (C3i)
On March 25, Quebec Finance Minister Éric Girard announced in his 2021-2022 budget that he was doubling the investment and innovation tax credit to encourage SMEs in all sectors to innovate and embrace the digital shift. This measure, designed in particular to promote the local economy, will benefit more than 10,000 Quebec SMEs.
Tax credit rate
20% for investments made in the metropolitan communities of Montreal and Quebec City (high economic vitality);
40% for investments made in regions with low economic vitality
30% for investments made in another territory or region (intermediate zone).
Click here for more details.
e-business development tax credit
This tax measure is designed to consolidate the development of information technology (IT) throughout Quebec. It enables specialized companies engaged in innovative, high value-added activities, mainly in the fields of computer systems design and software publishing, to obtain a tax credit of up to $25,000 per eligible employee. This credit is also designed to maintain and create IT jobs, while supporting the growth of Quebec businesses in all sectors that wish to improve their efficiency and productivity by integrating IT developed by specialized companies into their business processes.
Tax credit rate
Refundable credit of 24%, not to exceed $20,000 per employee per year;
Non-refundable credit of 6%, not to exceed $5,000 per employee per year.
Credit calculated on the basis of salary and company eligibility, up to an annual salary of $83,333 per eligible employee.
Find out if your company is eligible for the tax credit by clicking here.
ESSOR program
The ESSOR program, jointly administered by Investissement Québec and the Ministère de l’Économie et de l’Innovation (MEI), supports investment projects carried out in Québec with a view to increasing competitiveness and productivity, supporting digital projects, creating jobs and promoting sustainable development. The following types of assistance are available: repayable contribution, loan guarantee, equity investment and non-repayable contribution.
Financing features
Financial assistance of up to 15% to 25% of eligible expenses, depending on the nature of the project and the sector of activity. The maximum term of financing is 10 years, and it is possible to delay repayment of the principal.
The following types of help are available:
Repayable contribution (preferably at any time);
Loan guarantee (repayment guarantee of up to 70% of the net loss incurred by the financial institution granting you the financial assistance)
Equity investment (under certain conditions);
Non-repayable contribution (granted on an exceptional basis and with justification).
Click here for full details of this program.
Industry 4.0
The two-part Industry 4.0 audit program is designed to encourage as many Quebec companies as possible to make the digital shift. First, a digital diagnosis and plan are carried out, followed by a structured approach to selecting solutions and planning change management in relation to prioritized digital projects.
Financial assistance
Component 1: Drawing up a diagnosis and a digital plan
Maximum amount of assistance: $20,000
May not exceed 6 months from date of authorization to submission of report.
Component 2: Implementation plan
Maximum amount of assistance: $10,000
May not exceed 6 months from the date of authorization until submission of the corresponding report.
For each component of the Industry 4.0 audit program, financial assistance is granted only once for the duration of the program.
For more information, click here.
The CQCD’s digital turnaround
The Conseil québécois du commerce de détail (CQCD) helps retailers migrate smoothly to transactional online sales.
Assistance features
This measure does not offer money, but rather coaching, mentoring and webinars to facilitate the digital shift of retail businesses.
For full details, click here.
SMEs in action
Aimed at for-profit organizations, the PME en action program is designed to boost the productivity of Quebec businesses, to improve their competitiveness and accelerate their growth.
Financial assistance
Non-repayable contribution of up to 40% of eligible project expenses, to a maximum of $50,000 per project.
The cumulative rate of government financial assistance for a project cannot exceed 50% of total project expenses.
All program information is available by clicking here.
Export Program (PEX)
The PEX program is designed for Quebec companies wishing to be better prepared to export or to strengthen their export capacity, and to consolidate and diversify their markets outside Quebec.
Features of financial assistance
Non-repayable contribution of up to 40% of eligible expenses, to a maximum of $80,000 over a maximum 12-month period.
The cumulative rate of government financial assistance for a project cannot exceed 50% of total project expenses.
Assistance for travel and accommodation expenses outside Quebec for company employees, granted as a lump sum, up to 10 trips per person per year. A trip corresponds to a round trip from Quebec, regardless of the length of stay and stopovers.
For more information, click here.
Productivity innovation
Chaperoned by Investissement Québec, the Productivity Innovation program is designed to boost the competitiveness and accelerate the growth of Québec businesses by focusing on innovation in all its forms, and on technologies and processes such as automation, digitization, robotization and artificial intelligence applications.
Financial assistance
Term loan of $50,000 or more to finance 100% of the project, with a capital repayment moratorium of up to 48 months.
To find out if your company is eligible, please click here.
Emploi Québec’s workforce training measure
This program was set up to support the skills development of people at risk of losing their jobs. It also helps maintain existing expertise within Quebec companies.
Financial assistance
Assistance can cover up to 50% of eligible expenses for the training measure.
To benefit from this measure or to find out more, click here.
Other financial assistance programs and services offered by Culture et Communications Québec
For a list of these programs and services, please visit the ministry’s website by clicking here.
BAnQ
The Bibliothèque et Archives nationales du Québec directory lists more than 2,000 financial assistance programs offered by provincial and federal governments, associations and foundations for organizations and businesses.
Click here to access the directory.
130 million budget for the digital transition
On March 29, the Minister of the Economy, Pierre Fitzgibbon, announced a budget envelope of $130 million to support SMEs in their digital transformation. The two strategic partners in charge of this support are Inno-centre, whose initiative aims to evaluate and develop business strategies and approaches to digital transformation, and Groupe BIM, which primarily supports companies operating in the construction sector. By March 31, 2022, Quebec has committed to paying half of the bill.
Federal tax credits and programs
Regional Economic Growth through Innovation (CERI)
Through its CERI program, Canada Economic Development for Quebec Regions supports Quebec businesses in adopting, adapting and commercializing technologies to improve their productivity, accelerate their growth and enhance their competitiveness in all markets.
Types of assistance
Repayable contribution covering up to 50% of eligible costs for SMEs.
Non-repayable contribution covering up to 90% of eligible costs for not-for-profit projects.
For more details on the program application process, click here.
Financial support, loans and access to credit linked to COVID-19
The federal government is supporting companies facing challenges due to the COVID-19 pandemic. There are a number of support measures in place that can propel your company through the digital shift.
For a complete list of federal business programs, click here.
https://staging.aikitech.ca/wp-content/uploads/2020/07/pexels-olya-kobruseva-7247408-684×1024-1-1.jpg will support you every step of the way.
Our team of IT management and programming experts offers a turnkey service to help Quebec SMEs make the digital shift. Contact us now so that we can assess your company’s needs: Contact us
