Technology firms are among the largest and fastest growing companies in Canada. In 2015 alone, Canada’s advanced technology industry consisted of over 71,000 firms who contributed over $117 billion in economic output. This is largely based on their willingness to take risks and invest in research and development activities.
There are, however, some regions in the country that outperform others. One of the top Canadian hotbeds for advanced technology development is Ontario’s Waterloo Region. Waterloo supports nearly 1,000 firms, 4 first-rate educational institutions, and more than 150 research institutes/universal think tanks.
In fact, 7 firms from Waterloo, Ontario earned a spot in this year’s Technology Fast 50 list, a compilation of the country’s fastest growing technology firms. Sponsored by Deloitte Canada, the Technology Fast 50 list highlights technology companies who have been able to grow their revenues substantially in the past year.
‘Fast 50’ List Seeks Fastest Growing Advanced Technology Firms
For the past 19 years, Deloitte Canada has compiled the Technology Fast 50 list to recognize Canada’s fastest growing advanced technology companies. Businesses are ranked by how much revenue has increased over the previous three years. The 2016 list includes 7 Waterloo, Ontario firms, including:
- #8 – Sortable: Revenue growth of 1,705%
- #10 – Axonify: Revenue growth of 1,520%.
- #17 – Clearpath: Revenue growth of 662%.
- #19 – Magnet Forensics: Revenue growth of 587%.
- #24 – Aeryon Labs: Revenue growth of 494%.
- #35 – eSentire: Revenue growth of 361%.
- #37 – Dejero Labs: Revenue growth of 332%.
Canadian Small Business Grants to Perform Research and Development
Advanced technology firms may be able to improve project return on investment (ROI) and boost revenues by accessing Canadian government funding. Early-stage technology firms have limited access to these programs, however other resources may be able to assist startup growth.
Some of the government funding programs providing greatest benefit to technology research and development firms are:
IRAP Accelerated Review Process (ARP) Canadian Research Grants
IRAP Accelerated Review Process (ARP) research grants can be used to solve internal technical challenges that derive from the company’s product or process development activities. This improves project return on investment (ROI) by directly reducing labour costs.
Eligible businesses may receive R&D grants worth up to 50-80% of labour costs to a maximum of $50,000.
Canada-Ontario Job Grant (COJG) for Hiring and Training Initiatives
The Canada-Ontario Job Grant (COJG) provides training grants for employers to offset a portion of costs related to providing employee-focused third-party training programs. Training should support the development of new skills and a more productive organization.
Ontario government grants may award up to 66% of eligible training costs to a maximum $10,000 per trainee.
Access Canadian Government Funding to Support Technology Development
Advanced technology manufacturers should consider using government funding to accelerate innovative research and development projects. Canadian government grants can offset project expenses to improve profitability and the ultimate success of projects.
Technology developers can register for Mentor Works’ Funding Newsletter to receive weekly news about Canadian government grants aimed at research and commercialization projects.