CanExport SMEs 2026-2027: Applicant’s guide

The CanExport SMEs (small and medium-sized enterprises) program, offered by Canada’s Trade Commissioner Service (TCS), helps eligible Canadian SMEs expand into new international markets by sharing the costs of international business development activities. Funding is limited and awarded competitively; meeting eligibility requirements does not guarantee funding. 

CanExport SMEs application window

Applications will be accepted from 12:00pm (ET) on February 4, 2026 until 12:00pm (ET) on May 29, 2026 for the 2026-2027 year.

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CanExport SMEs 2025-26: by the numbers

In fiscal year 2025-26, the CanExport SMEs program received close to 4,000 applications, approving around 40% of eligible applicants and supporting over 1,500 Canadian businesses.
 
Delivered by Global Affairs Canada in partnership with National Research Council's Industrial Research Assistance Program (NRC IRAP), this funding program helps companies expand exports and diversify into new markets.

TCS services are free. Additional federal support can be found via the Business Benefits Finder.  
 
Looking for last year’s application guide? Review the 2025-2026 Applicant's guide

1. Who can apply

1.1 Eligible companies

To be eligible, your small or medium-sized enterprise must:

  • be established in Canada
  • be for-profit
  • be an incorporated legal entity, limited liability partnership (LLP), or cooperative in Canada
  • have an active Canada Revenue Agency (CRA) business number
    • "active" means a corporation that is not dissolved, amalgamated with another corporation or continued into another jurisdiction (more information can be found on Corporations Canada)
  • have between 3 and 500 full-time employees
  • have between $300,000 and $100 million in annual revenue declared in Canada during its last complete tax reporting year (or during the last 12 months for monthly and quarterly filers)

1.2 Ineligible companies

All other forms of business relationships and structures are not eligible. This includes:

  • sole proprietorships
  • limited partnerships (LP)
  • third-party representatives, including:
    • entities representing the interests of a third party, such as agents, promoters, sales representatives, and consultants
    • trading houses and export brokers (unless for the agriculture and agri-food sector)
    • distributors
    • wholesalers acting as an intermediary
  • franchisees (only the franchisor is eligible)

The CanExport SMEs program reserves the right to refuse applications from corporate entities that cannot demonstrate meaningful economic ties to Canada, even if they meet the above-stated eligibility criteria. For example, your application should clearly and specifically explain how your product or service is of Canadian origin, and if not, how the export of your product or service under your proposed CanExport SMEs project brings value to Canada (e.g. components of the product manufactured in Canada).

2. Before you apply

  • CanExport SMEs is competitive and funding is limited.
  • Applications that do not meet eligibility requirements are automatically rejected and are not assessed.

Before applying, find out if you qualify to confirm that your Canadian business meets the program’s eligibility and minimum requirements.   

2.1. Legal signing authority and CRA business number rules

Companies are identified by their Canada Revenue Agency (CRA) business number.

To apply for funding, the applicant company must designate an individual representing the company who holds legal signing authority to enter into a legally binding agreement with the Government of Canada. 

This individual's contact details must be registered in the company's online account profile and cannot be that of a consultant.

A company cannot apply on behalf of another entity with a different CRA business number. 

For example:

  • parent company cannot submit an application on behalf of its subsidiary
  • consultant cannot submit an application on behalf of a client

In addition, the applicant must legally own the goods and services intended for export.

3. How funding works

Total allocated funds for the 2026-2027 fiscal year

For the 2026‑27 fiscal year, approximately $31 million CAD in total funding is available. Of this amount, about $3.1 million CAD is allocated to projects targeting the U.S.

3.1 Funding amounts and cost sharing

Businesses must describe the activities they want to fund through the CanExport SMEs program. These activities together make up a "project".

Applicants must request between $10,000 and $50,000 CAD in CanExport SMEs funding per project.

Because the program funds up to 50% of eligible costs, the total project value must fall between $20,000 and $100,000 CAD.

Cost-sharing structure:

  • 50% funded by the applicant
  • 50% funded by CanExport SMEs

In-kind contributions are not allowed – all contributions must be financial.

3.2 Demonstrating meaningful economic ties to Canada

Once you determine that your business is eligible for funding through the CanExport SMEs program, in order to prepare a strong application, you must demonstrate that your project has strong economic ties to Canada.  
 
Applications that do not clearly show these ties may be declined.  
 
You must clearly explain how your product or service is of Canadian origin. If it isn’t entirely Canadian, describe how your export activities add value to Canada, such as through Canadian-based manufacturing, value-added processing, intellectual property or high-value jobs. 

3.3 One active project and annual funding limits

  • A company may have only 1 active CanExport SMEs project at any given time.
  • A company may have an active project with another CanExport program.
  • Companies can receive a maximum of $99,999 in total CanExport funding per Government of Canada fiscal year. This limit applies across all CanExport programs, not just the CanExport SMEs program.
  • A group of related Canadian companies may apply concurrently to the program, provided their products and services are completely distinct from one another. Related companies include but are not limited to parent company and subsidiaries, franchises, sister companies, and affiliates.
  • Applicants must comply with funding limits as described in the relevant program guidelines.

3.4 Program integrity and disclosure of pre-existing relationships

Program integrity is essential to the CanExport SMEs program. Funding decisions are based on an impartial review of the information provided by applicants. The details submitted in the application form allow the program to identify the businesses that best align with program objectives and to ensure that funding is allocated fairly across Canada.  

Applicants must disclose and pre-existing relationships or affiliations relevant to the proposed project (including consultants, service providers, foreign partners or related businesses involved in the proposed activities.) Failure to disclose may result in rejection or termination of an agreement.  
 
To safeguard program integrity, CanExport SMEs may verify and validate information provided in an application at any stage of the assessment or funding process.

3.5 Grants vs. contributions

CanExport SMEs provides 2 types of funding: contributions and grants. The program determines which type of funding is offered to each applicant.

  • Contribution funding is reimbursed after expenses are incurred. Applicants must:
    • be able to fully fund project activities upfront
    • ensure activities are completed, invoiced, and paid before submitting a claim
    • provide detailed reporting to support reimbursement
  • Grant funding is provided in full, per fiscal year after the funding agreement is signed. Recipients:
    • do not submit claims 
    • must report on results achieved

3.6 Project periods, fiscal years and when costs are eligible

  • CanExport SMEs supports projects of up to 12 months, aligned with the Government of Canada fiscal year, April 1 to March 31. 
  • Costs must be assigned to the fiscal year in which the activity occurs and payment is made
  • Funds cannot be transferred between fiscal years 

Retroactive costs: Not eligible. The program does not cover costs incurred/invoiced/paid before the date the project is submitted in the application (and never earlier than April 1 of the applicable fiscal year) 

3.7 Projects spanning 2 fiscal years (exceptional cases)

In limited and exceptional cases, a project may span two consecutive fiscal years. Projects spanning 2 fiscal years may be considered only when this is necessary due to the timing of the activities.

Example: If you pay to participate in a trade show in 1 fiscal year and then travel to and attend the same trade show in the following fiscal year because the event takes place in that year.

In these cases: 

  • the approved project period must clearly include both fiscal years
  • all funded activities must occur within that approved period
  • costs must be itemized by the fiscal year in which payments are made

Additional rules for multi-year projects: 

  • costs cannot be claimed in a different fiscal year, even if the project spans 2 fiscal years
  • funds approved for 1 fiscal year cannot be used for activities in another fiscal year unless that second year is included in the approved project period
  • expenses should be included in the fiscal year in which they are incurred and paid

3.8 Funding from other government sources

CanExport SMEs enforces the federal stacking limit, which applies when an applicant receives funding from multiple Canadian government sources for the same project activities. Total government assistance cannot exceed 75% of total project costs.

This includes funding from:

  • federal departments and agencies
  • crown corporations
  • provincial, territorial, and municipal governments

Applicants must identify all sources of Canadian government funding for each expenditure listed in their application. The program will adjust its funding amount to ensure compliance with the 75% stacking limit. Failure to disclose all government funding sources may result in the application being rejected, or the termination of an active project and recovery of CanExport SMEs funds

4. Eligible sectors

CanExport SMEs is open to most business sectors. However, several sector-specific considerations apply.

4.1 Defence and dual-use

In line with defence export promotion efforts and the Government’s forthcoming Defence Industrial Strategy, CanExport SMEs will place greater emphasis on projects pursuing opportunities for defence and dual-use technologies, goods and services.

For applications targeting the defence market, please include “Defence” in the project title. 

4.2 Buy Canadian Policy

Applicants are encouraged to align their projects with the Government of Canada’s Buy Canadian Policy, which prioritizes Canadian suppliers, Canadian content, and Canadian‑produced materials in federal procurement and funding programs. This policy aims to strengthen domestic industries and support Canadian workers. 

4.3 Agriculture, agri-food, fish, and seafood

CanExport SMEs no longer supports companies in the agriculture, agri-food (including alcohol and spirits) and agri-products sectors, including fish and seafood. For a detailed overview, please refer to Agriculture and Agri-Food Canada’s sector overview. Interested stakeholders are invited to contact Agriculture and Agri-Food Canada at aafc.agrimarketingagri-marketing.aac@agr.gc.ca for information on opportunities/supports for your business.

Companies operating in the ag tech or food tech sectors continue to be eligible under CanExport SMEs. 

4.4 Recreational cannabis and substance inhalation

CanExport SMEs does not fund projects involving: 

  • recreational cannabis
  • tobacco
  • vaping products 
  • other similar substance inhalation industries

Projects involving medical cannabis must clearly demonstrate:

  • how the products/services are intended for medical use
  • how they comply with Government of Canada policies

CanExport SMEs does not fund projects involving: 

  • recreational cannabis
  • tobacco
  • vaping products 
  • other similar substance inhalation industries

Projects involving medical cannabis must clearly demonstrate:

  • how the products/services are intended for medical use
  • how they comply with Government of Canada policies

4.5 Unabated fossil fuels

Under Canada’s commitment as a signatory to the Statement on International Public Support for the Clean Energy Transition ("Glasgow Statement") CanExport SMEs cannot support projects related to:

  • the extraction, production, transportation, refining or marketing of unabated crude oil, natural gas or thermal coal 
  • unabated fossil fuel power generation activities

4.6 Trade disputes and trade remedies

Applications involving sectors subject to trade disputes or trade remedy investigations in foreign jurisdictions may undergo additional assessment. Depending on the level of risk, such applications may be declined.

5. Eligible target markets

5.1 What “target market” means

A target market is a foreign market where you intend to pursue new business opportunities and is not a continent, geographical area or group of countries. Activities in this application must be directly linked to the target market.  

Tips for selection of target markets: 

  • A strong market development strategy begins with the careful selection of target markets and an understanding of the opportunities and challenges in each. 
  • The TCS Step-by-Step Guide to Exporting—particularly Step 4, which outlines how many markets to focus on—provides useful guidance for developing a focused and realistic strategy. 

5.2 Maximum number of markets and the U.S. rule

Applicants may identify up to 5 target markets per CanExport SMEs project. 

The following rules apply:

  • projects that target the U.S. may not include any other target market
  • projects that target any market other than the U.S. may not include the U.S. as a target market

This requirement reinforces the program’s continued focus on export diversification by ensuring projects concentrate on either U.S. or non‑U.S. opportunities, but not both. This rule applies regardless of the number of markets selected (i.e., even if only 1 market is chosen).

5.3 What counts as a "new" market

A target market is considered new if, in the applicant’s last full tax year (or last 12 months for monthly/quarterly filers):

  • sales in that market were less than $100,000, or
  • if sales exceeded $100,000, they were less than 10% of total combined domestic and  international sales

5.4 Priority on export diversification

For 2026–27, CanExport SMEs places a stronger emphasis on supporting businesses pursuing non‑U.S. markets, in line with the Government of Canada’s renewed focus on trade diversification and the national objective of doubling Canada’s non‑U.S. exports over the next decade.

With roughly three‑quarters of Canada’s merchandise exports going to the U.S., diversifying into a wider range of global markets helps strengthen competitiveness and reduce exposure to market-specific risks.

Canada’s Trade Diversification Strategy encourages growth in dynamic and fast‑growing markets. Modern trade agreements give Canadian companies preferential access to nearly two‑thirds of the global economy, creating strong opportunities to enter new markets.

New federal investments – such as those supporting Canada’s trade corridors and export infrastructure - are designed to expand overseas market access and strengthen Canada’s position as a reliable trading partner.

CanExport SMEs supports these goals by prioritizing projects that help businesses pursue new, non‑U.S. markets, and build long-term export resilience.

Learn more: Diversify your exports with the Trade Commissioner Service

5.5 Alignment with export strategy

Applicants must explain why each market was selected and how it supports their export business case (see How applications are assessed).

5.6 Sanctions and export restrictions

A foreign market cannot be selected as a target market if the applicant’s proposed activities are prohibited or materially limited under any of the conditions below. Such activities are not eligible for CanExport SMEs funding. Applicants are responsible for ensuring that their project complies with all relevant Government of Canada legislation and associated regulations, including, but not limited to:

  1. Sanctions – Canada may impose sanctions under various legislation such as the Special Economic Measures Act, the United Nations Act and the Justice for Victims of corrupt Foreign Officials Act). For information on Canada’s sanctions regime see Canadian sanctions - Information and guidance.  
  2. Export controls – Canada controls the export of specific goods, technologies, and services under the Export and Import Permits Act. Applicants must ensure that any proposed exports comply with Canada’s export controls and obtain required permits, where applicable.
  3. Financial crime considerations – Canada’s Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) defines a sanction evasion offence as well as broader money laundering and terrorist financing obligations. The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) analyzes disclosures and supervises reporting entities for the implementation of an appropriate compliance program to manage financial crime risk.
  4. sister or affiliated company offering the same products/services is already established in the target market, unless the applicant can clearly demonstrate how their products or services are distinct.

5.7 Destinations vs. target markets

A destination is where the activity happens. It can differ from the target market. When they differ, applicants must clearly explain how activities undertaken in the destination support business development in the target market(s).

Example: If you are targeting France but you are attending a major trade show in Germany to meet French buyers, the target market is France and the destination is Germany. 

6. Eligible expenses and activities

Only certain types of business expenses may be supported by CanExport SMEs program funding. These eligible expenses fall within the 8 categories described below.

For an expense to be valid, the project activity:

  • must take place within the project start and completion dates specified in a company's funding agreement, and
  • must fall within an approved category listed in a company's funding agreement and be directly linked to one or more approved target markets

In all cases:

  • payments must be made using a corporate or business bank account or credit card; if personal credit cards are used for travelling expenses, the company must reimburse the employee using a corporate or business bank account
  • the applicant company (identified by its CRA business number) must undertake all project activities, be invoiced for the activities and pay for the activities in order to be eligible for reimbursement under the program. CanExport SMEs will not reimburse expenses paid by any other entity
  • refundable GST, taxes, duties, and other items must be removed from the cost of the eligible expense
  • tips and items paid with reward points must be removed from the cost of the eligible expense

6.1 Linking rule

Applicants must link every activity for which they request funding to a new and eligible target market. We reserve the right to request any evidence in support of costs incurred or paid by your company, including work performed by consultants.

Any activities undertaken, and associated costs incurred, before a project is approved are at the applicant's own risk. CanExport SMEs accepts no responsibility for expenses already incurred if an application is refused.

If an applicant is unsure about eligibility of any expenses, please contact us at canexportsmes@international.gc.ca before undertaking the activity and incurring the expense.

6.2 Funding determination

Funding is determined based on the estimated costs provided in the application. Applicants should provide reasonable cost estimates. High-cost estimates must be thoroughly justified and may affect the approval of the application. 

The CanExport SMEs program reserves the right to approve funding at an amount lower than that requested by the applicant. Funding may be adjusted with respect to activities, target markets, or eligible amounts for a variety of reasons, including alignment with the assessment criteria. The program also reserves the right to refuse or adjust applications containingt cost estimates that are demonstrably false, excessive, unjustified, unreasonable, or insufficiently detailed.

Important: Review further guidance

In addition to the guidance on activities and expenses in Categories A through H, please review the additional guidance regarding consultants and contractors. Guidance on non-eligible expenses is also provided under the descriptions of each individual category.

6.3 Category A: travel for meetings or events with key contacts

CanExport SMEs may support international travel expenses for attending trade events to meet with key contacts from target market(s) and/or conduct market visits.

Applicants are responsible for consulting the Government of Canada’s Travel Advice and Advisories prior to undertaking any project activities involving travel.

We assess the international travel expenses by:

  1. Travel duration: We evaluate travel duration based on the activities' scope and complexity.
    • Applicants must specify the travel dates, travelers, and planned activities for each trip.
    • Per diem expenses are capped at 90 days total per project. Travel is payable only as part of a roundtrip from Canada and can include travel between a project's target market(s) and/or destination(s). Any given trip can be to a maximum of 30 consecutive days.
  2. Number of participants: Travel expenses may be claimed for up to 2 travelers per trip. This funding is limited to Canada-based employees who are 18 years of age or older, are legally employed and are on the company payroll. Funding is determined based on the estimated costs provided in the application. Applicants should provide reasonable cost estimates. High-cost estimates must be justified thoroughly and may affect the approval of the application. Receipts for expenses (e.g. accommodation, air travel) should be retained for 5 years for audit purposes.

Travel-specific definitions

Airfare is a refundable roundtrip in economy or premium economy, departing from Canada to the approved destination, directly or with a layover. Recipients must book travel directly through an airline, a travel agency or travel booking website. The travel must be paid for after the project begins and completed before the project ends. Reward program points are not allowed. Airfare from countries other than Canada may be considered if costs are lower.

Higher class fares are typically not allowed but may be approved if lower than the cost of economy or premium economy on a direct flight.

Ground transportation relates to the use of a ride-share service, taxi, public transportation, or train in the approved target market or destination. Eligible vehicles include personal vehicle, company vehicle, or car rental from a reputable vehicle rental company at reasonable costs. Eligible vehicle related expenses include gas, parking and tolls. 

Per diem consists of a total daily allowance of $600 to support accommodation, meals, and incidentals for each eligible traveler on approved travel. This includes the departure and return days but may not exceed 30 consecutive days. Personal days must be deducted from the number of days claimed.

mandatory visa fee is the cost to obtain a visa required for travel to an approved target market or destination.

Eligible expenses include:

  • airfare
  • seat selection for a flight to an approved target market or destination
  • baggage fees for checked luggage or excess baggage
  • ground transportation in the approved destination
  • travel to and from the traveler's home or office to the airport
  • airport parking
  • per diems
  • costs related to obtaining an electronic travel authority
  • mandatory visa fee

Note: If you purchase a travel package that includes any combination of airfare, accommodation, meals, or rental vehicles you must provide an invoice with a breakdown of each component in your application.

Expenses that are not eligible include:

  • travel and per diem within Canada (other than as noted above)
  • travel expenses incurred in targeted markets or destinations not approved in a funding agreement
  • expenses for employees already residing or based in the target market(s)
  • long-term rentals or leases (e.g. cars, accommodation)
  • travel costs for non-employees (e.g. consultants, interpreters, legal counsel, foreign partners)
  • travel costs to conduct core activities such as post-sale training, logistics, meeting with established partners, setting up a legal entity and acquisition of capital assets (including real estate)
  • reinstatement or refund of reward program points (e.g. Air Miles, Aeroplan)
  • cell phone charges, including international roaming and data plans
  • costs for passports or vaccinations
  • costs related to mileage associated with the use of a personal or company vehicle  rental of premium or luxury vehicles
  • insurance (e.g. travel, medical, rental, or car)
  • hospitality (including bar tabs), entertainment, and gifts

6.4 Category B: Participation in trade events (non-travel related)

We may cover non-travel expenses for participation in international trade events. Trade events are defined as trade fairs, conferences, seminars, international forums or business exhibitions occurring in the approved target market or destination.

Participation must be in-person. Expenses associated with virtual events are no longer eligible for CanExport SMEs funding.

This funding is limited to Canada-based employees who are 18 years of age or older, are legally employed and are on the company payroll.

Eligible costs include:

  • Event attendance by a maximum of 2 eligible travelers per event. To be eligible, the trade event must be named and have confirmed dates.
  • Participating as an exhibitor at a trade event including:
    • registration for space or a booth
    • on-site booth design, assembly, and installation
    • booth rental
    • utilities like electricity and internet access
    • rental of business card scanners or audiovisual equipment
    • liability insurance
    • when membership or sponsorship is required to participate in an event, eligible expenses are limited to the lowest applicable tier/class or the lowest applicable tier/class that includes event visibility (additional documentation is required)
  • Shipping and handling costs for international shipping and transportation of items associated with event participation such as printed information materials, booth pop-ups, and demo products or prototypes, including return shipment to Canada. Demo products and prototypes must be returned to Canada to be eligible for funding (costs for shipping prototypes that are not returned to Canada will not be reimbursed).
  • Business meeting room rental refers to the temporary use of a dedicated, enclosed space specifically intended for professional meetings/discussions. The space is typically equipped with tables, chairs, and may include audiovisual or conferencing equipment. The rental is for business purposes only and excludes personal, social, or recreational use.

Expenses that are not eligible include:

  • participation in a trade event or conference in Canada
  • costs for the creation, hosting, or organization of a private event or workshop by your company in the target market
  • invitations to speak on a keynote or panel
  • attendance at trade events for direct product sales
  • event sponsorship (unless it is a requirement for participation in the event)
  • hospitality costs associated with business meeting room rental
  • items purchased that can be re-used or repurposed

6.5 Category C: Adaptation of marketing tools for target markets

We support certain expenses related to marketing materials and translation that are tailored to target market(s). This includes creating, adapting, or translating content to meet specific market needs. Costs should be reasonable and support the objective of the project proposal. All activities must be carried out by an independent contractor with no affiliation to the applicant company, ensuring all transactions are conducted at arm's length and at fair market value.

Eligible costs include:

  • Creation or translation of new or existing promotional materials that are required to explain or present an applicant's products and services in the target market. Promotional material includes brochures, pamphlets, flyers, banners, posters, post cards, content writing, and copywriting. 
  • Adapting a website is defined as the cost of engaging an independent contractor to translate the existing or new website for use in target markets.
  • Trade show or trade event promotional materials: These include booth graphics, banners, posters, QR-coded items and promotional video. These expenses must be related to a trade show or to meetings with stakeholders.

 Expenses that are not eligible include:

  • advertising, including:
    • the creation, adaptation, and translation of marketing materials (other than the items described above)
    • online advertising, including social media
    • traditional advertising (e.g. print or radio ads) and catalogs
    • creating or adapting an existing corporate or training video
  • in-house activities, such as employee salaries or activities considered core and not specifically designed for the target market(s)
  • giveaway items (pens, mugs, umbrellas, tote bags, t-shirts, etc.)
  • production of samples and demos
  • expenses relating to lobbying, advocacy, public relations, policy development and influence, including fees for influencers and key opinion leaders
  • website application, maintenance, domain purchase, online management software tools, and platform hosting fees
  • marketing and CRM software (SaaS) advertising tools
  • photography
  • fees to access online marketplaces and platforms (e.g. Alibaba, Amazon, TMall)
  • subscriptions and fees to access e-commerce platforms (e.g. BigCommerce, Shopify, 3dcart, WooCommerce, Volusion, PrestaShop, Weebly, SquareSpace, Magento and Wix)
  • search engine optimization (SEO)
  • online store development
  • stock footage and billboards
  • any expenses related to branding, labelling, or package design
  • any expenses related to direct mail campaigns (e.g. cold calling, telemarketing, email campaigns) including newsletters (in print and online)
  • podcasts, webinars and testimonials and costs related to adapting or creating a blog
  • A/B testing
  • crowdfunding projects
  • marketing collateral created for use by an in-market representative

See additional guidance on consultants and contractors.

6.6 Category D: Interpretation services

We may support paying for an interpreter to facilitate in-person interactions with key contacts from target market(s). In your application, indicate the language for which you need interpretation. The interpreter must be an independent contractor, not affiliated with the applicant company in any way, and all transactions must be at arm's-length and at fair market value.

See additional guidance on consultants and contractors.

6.7 Category E: Contractual agreements and supplier diversity certification

CanExport SMEs may support the creation, adaptation and translation of contractual agreements and fees paid for supplier diversity certification in a target market(s).

Eligible costs include:

  • Engaging with an independent contractor to create, adapt and/or translate sales contracts, distribution agreements, nondisclosure agreements, and other similar contractual agreements that are legally binding and that are required to penetrate a target market.
  • Obtaining Supplier Diversity Certification from a recognized body for companies that are owned by exporters from diverse backgrounds including women, Indigenous Peoples, visible minorities, members of the 2SLGBTQI+ community and youth. The applicant must clearly demonstrate that the certification is for use in and is recognized in the target market.

Expenses that are not eligible include:

  • registration or legal fees to incorporate a subsidiary company in a target market
  • any other costs related to contractual agreements, product registration, and certification

See additional guidance on consultants and contractors.

6.8 Category F: Consultants - business, tax, and legal advice

We may support consultants or legal fees for expert advice in international business development, tax, legal or regulatory matters that support the applicant’s entry of their product(s) or service(s) into the target market(s) identified in the project. These activities must be limited exclusively to advice related to international business development, tax, legal, and regulatory issues.

Eligible costs include:

  • Expert advice for legal, tax and international business development matters. Fees paid to an accounting firm, a legal firm, or a business consulting firm for advice relating specifically to legal, tax, or international business development matters for your target market.
  • Expert advice on regulatory issues including fees paid to a consultant or legal firm for advice on matters such as market access and certifications specifically related to your target market (including compliance with rules of origin).

Expenses that are not eligible include:

  • fees related to implementing or managing digital and e-commerce campaigns
  • consultant activities beyond providing advice (e.g. preparing and/or filing tax, legal or regulatory documents)
  • consultant serving as an in-market representative and acting as an extension of the applicant company, executing strategies and managing on-the-ground activities  

See additional guidance on consultants and contractors.

6.9 Category G: Consultants - market research, feasibility studies, identification of key contacts, business-to-business (B2B) facilitation

CanExport SMEs may support the consultant costs for market research and international business development support in your target market(s).

Eligible costs include:

  • export market research, including market-entry strategies
  • feasibility studies for the target market
  • identification of key contacts which involves the work of a lead generator who focuses on generating qualified commercial leads by identifying potential interested companies, initiating first points of contact and preparing relevant contact lists and company profiles
  • facilitation of business-to-business (B2B) meeting programs and matchmaking which involve organizing and facilitating B2B meetings by coordinating logistics, scheduling engagements, and preparing participants, while remaining independent from the organization and providing short‑term strategic support without representing the company in the target market
  • the purchase of information resources relevant to international business development for the duration of your project may be eligible with appropriate justification including:
    • prepared research studies or market evaluations
    • contact lists from reputable sources
    • market research software or subscription for the duration of your project

Expenses that are not eligible include:

  • consultant serving as an in-market representative and acting as an extension of the applicant organization, executing strategies and managing on-the-ground activities in the target market
  • contracts or mandates paid monthly, including ongoing or operational activities.
  • market research software or subscription that includes CRM or marketing component

See additional guidance on consultants and contractors.

6.10 Category H: Intellectual property (IP) protection

We may support expenses related to the protection of IP in your target market.

Eligible costs include:

  • filing a patent or industrial design application
  • application for the registration of a trademark or copyright
  • IP professional services from a consultant and/or legal firm, including the development of an international IP strategy, database search, drafting, and/or filing of formal IP documentation

Expenses that are not eligible include:

  • application fees for certification or protection of IP within Canada
  • product development, production or distribution expenses
  • maintenance and renewal fees for IP protection
  • expert or legal advice related to IP disputes
  • development of a Canadian IP strategy
  • application for insurance of IP

6.11 Additional guidance on eligibility requirements and related expenses for consultants and contractors

The following information provides additional guidance regarding using consultants or contractors in a CanExport SMEs project. This applies to activity categories C, D, E, F, G, and H.

An eligible consultant or contractor must:

  • Be independent and unaffiliated with your company in any way. All transactions must be at arm's-length and at reasonable value.
  • Have specific expertise not otherwise available within your company. They cannot be an in-market representative or employee that is conducting business on your behalf. Expenses are ineligible where there is indication of an employer-employee relationship or an affiliation.
  • Be based in Canada or a target market. With sufficient justification, consultants and contractors based in a foreign market other than the applicant's target markets may be eligible.

Fees for the services of a consultant/contractor, including legal services, may be claimed for achieving the international business development objectives of a CanExport SMEs project. To be considered, your application must clearly explain the work that will be completed by the consultant/contractor. The expertise must be directly relevant to the scope of the project and its activities.

Fees for consultant/contractor services must be incurred and paid for work performed during the approved project timeline. Applicants must clearly demonstrate that the work was conducted for the target market during this period; otherwise, the claim may be considered ineligible.

A contract containing the scope of work and cost estimate is required between both parties. The program reserves the right to request any evidence in support of the work performed, including contracts, scope of work, and/or results of the work.

Important: Target markets

Products and services funded by the CanExport SMEs program must be used strictly for the export development of the recipient's target market(s). CanExport SMEs recipients cannot profit from the resale of products and services that were funded by their CanExport SMEs project.

Expenses that are not eligible include:

  • travel or per diem costs for consultants or contractors (these fees must be deducted from the claim)
  • retainer fees, monthly installments or advance fees paid to a lawyer or consultant - the program will only reimburse for services rendered
  • consultant commission as compensation - payment must be based on time worked rather than on results 
  • consultants and contractors hired via freelance platforms

6.12 Other ineligible costs

CanExport SMEs will not fund:

  • ongoing, operational activities, or activities that are considered core to the applicant's business and not specific to pursuing export opportunities in a new target market
  • preparing a CanExport SMEs application or submitting claims
  • capital costs and office supplies (such as computers, office equipment, audio-visual equipment, office space, supplies, and business cards)
  • any expenses related to acquiring capital assets, including real estate
  • overhead expenses (such as warehousing, long-term legal services, utilities, and photocopying)
  • employee salaries, labour or wages, and commissions
  • all costs that could be deemed to subsidize a product's selling price
  • activities designed to attract investment or related to the development, production, and distribution of new products and services
  • Goods and Services Tax (GST), including any GST share of the Harmonized Sales Tax (HST)
  • any refundable portion of taxes, duties, or other items for which a refund or rebate is available (e.g. carbon taxes and credits)
  • expenses for activities taking place outside the project phase of the funding agreement
  • expenses related to non-specified activities, such as those marked "To Be Confirmed"
  • registration or legal fees to incorporate a subsidiary company in a target market
  • honoraria for professional services
  •  costs associated with training, including post‑sales training or any training that extends beyond providing a presentation or demonstrating products/services as part of the market‑entry process
  • costs associated with developing or building a prototype for target market(s)

7. Contact us

For general program questions: 

Please contact canexportsmes@international.gc.ca
 
For questions about the funding agreement, reports and claims:

Please contact the NRC IRAP (nrc.canexport.cnrc@nrc-cnrc.gc.ca
 
For technical support related to your account:

Please contact nrc.canexport-help-aide-canexport.cnrc@nrc-cnrc.gc.ca

Additional Information

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