The federal government has announced another step in
implementing its Venture Capital Action Plan (the
"Plan"): new funding for "best-in-class"
incubator and accelerator programs. The Plan was launched by the
federal government in January 2013 and is a $400 million strategy
aimed at increasing private sector venture capital investments in
Canada. Over five years, $60 million is available to help
"high-potential" incubator and accelerator firms grow
their services and make them available to "worthy"
The federal government has released a Request for Proposals
through the National Research Council of Canada's Industrial
Research Assistance Program ("NRC-IRAP") under the Canada
Accelerator and Incubator Program ("CAIP") 1.
The proposals are due on October 30, 2013. Selection for funding is
based on supporting new, incremental activities at outstanding
high-potential accelerators and incubators that promote:
the development of investment-ready early-stage firms by
accelerators and incubators;
an increased range, availability and quality of services
available to innovative early-stage firms, such as mentorship and
business plan development; and
stronger entrepreneur networks that link recipient
organizations with other important innovation organizations in
Canada and internationally, including other accelerators and
incubators, public research institutions, investor networks and
venture capital funds.
The funding, delivered by NRC-IRAP and provided by CAIP, will be
distributed over a five year period in the form of non-repayable
contributions to a limited number (i.e., less than 10) incubators
and accelerators that meet the selection criteria. There will also
be a Venture Capital Expert Panel put together by the Minister of
Finance to ensure that the contributions from CAIP are distributed
in accordance with private sector needs. The incubators and
accelerators selected for funding will be announced in early
This additional funding aimed to increase innovation and
entrepreneurship in Canada comes at a time when Canada has been
performing poorly in venture capital and business R&D spending
relative to its peers. To see more information regarding
Canada's venture capital spending, please see the article which
can be found
The federal government's announcement can be found here
1 Department of Finance Canada, "Harper Government
Opens National Competition to Support Incubators and Accelerators
to Help Create Jobs, Growth and Innovation in Canada",
September 23, 2013.
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Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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