Quebec businesses can benefit from several grant and financing programs to implement an ERP system. Whether you are looking to modernize your operations or automate your processes, options like ESSOR, BDC loans, or local investment funds exist to support your digital transformation. Discover the available solutions to finance your project and maximize your return on investment.
Grants for businesses in Quebec: key programs
Are you looking for funding for your ERP project? Quebec offers several financial assistance programs designed to lighten the burden of technological investments. Whether to cover part of the implementation costs, obtain a tax advantage, or access flexible financing, these programs can make a real difference in the viability of your project.
ESSOR Program from Investissement Québec
The ESSOR program aims to accelerate investment projects and increase the productivity of Quebec businesses. In its productivity and innovation component, it can cover up to 50% of the costs related to digital diagnostics and ERP implementation. This funding in the form of a non-repayable contribution is aimed at SMEs wishing to modernize their operations through the acquisition of new technologies. The program ends on March 31, 2027, but Investissement Québec and the Government of Quebec reserve the right to suspend applications without notice depending on budget availability.
C3i Tax Credit for Innovation
The investment and innovation tax credit (C3i) is a tax advantage for SMEs that invest in technological equipment, including ERP software. This credit allows for the recovery of a portion of eligible expenses incurred for the acquisition of specified goods such as management software (category 12) and electronic information processing equipment (category 50). Companies with gross assets and revenues of less than $50 million benefit from a fully refundable credit, while those exceeding $100 million receive a non-refundable credit. Between these two thresholds, the credit is partially refundable.
BDC Technology Financing
The Business Development Bank of Canada (BDC) offers technology loans of up to $350,000 to finance the acquisition of ERP software, collaboration tools, cloud computing, and other specialized technologies. This financing covers all project costs, including purchase, installation, training, and related expenses. The BDC provides flexible repayment terms tailored to your business's needs and financial capacity, with an approach that considers your business model and growth potential rather than just your industry.
|
Program | Type of assistance | Amount / Coverage | Eligibility |
|---|---|---|---|
GROWTH | Non-repayable contribution | Up to 50% of costs | Quebec SMEs, productivity and innovation projects |
C3i Credit | Refundable or non-refundable tax credit | Variable depending on the size of the company | Eligible companies acquiring specified goods |
BDC | Flexible loan | Up to $350,000 | Canadian businesses with a solid growth plan |
To learn more about eligibility criteria and procedures, consult our comprehensive guide on ERP financing in Quebec.
Investissement Québec: grants and loans for your ERP
Investissement Québec (IQ) is the government agency that supports Quebec SMEs in their technological investment projects, including the implementation of an ERP. Specifically, IQ offers loans and non-repayable financial contributions to support your innovation and digital transformation projects.
Whether you are looking to modernize your operations or optimize your management, IQ offers several financing solutions tailored to the needs of SMEs. Their government programs, such as ESSOR and DEPART, specifically target growing businesses that wish to invest in technologies like an ERP system.
Beyond provincial programs, the Local Investment Funds (FLI), managed by the MRCs, represent another accessible financial lever. These funds offer loans of up to $150,000 with flexible repayment terms, designed to support local entrepreneurship and facilitate your technological investment projects.
The advantage? These different sources of financing can be combined to optimize your grant application and significantly reduce your initial investment. At e3k, we help you navigate these programs and structure a solid file to maximize your chances of obtaining funding.
Grant for digital transformation
The digital shift is more than just a buzzword: it is a concrete productivity lever for Quebec SMEs. And the good news? Several funding programs exist to help you make the leap without draining your bank account.
The Digital Transformation Offensive (OTN) is the flagship initiative of the Quebec government. Launched in 2021 with an investment of over $218 million, it aims to accelerate the digital shift of businesses in all regions. Since its launch, over 135,000 businesses have been made aware and about 17,000 have benefited from specialized support.
Among the concrete programs, My Digital Success offers a non-repayable grant to startups, SMEs (≤ 500 employees), NPOs, cooperatives, and mutuals. Eligible projects include process improvement, integration of technological solutions (ERP, CRM, automation), cybersecurity, and the development of digital products. Important: simply redesigning a website or SEO optimization are not covered.
To maximize your chances, start with a digital diagnosis that will identify your real needs and help you build a solid digital plan. This step is often financially supported and will allow you to target investments that will have the most impact on your productivity.
What are the different types of funding available?
Grants and tax credits
Government grants represent the best option to finance your ERP project, as they require no repayment. The ESSOR program, administered by Investissement Québec, covers up to 50% of the costs of implementing an integrated management software, including the digital diagnosis and implementation. It's direct cash in your pockets to modernize your operations.
The C3i tax credits (Tax Credit for Investment and Innovation) offer another interesting financial lever. This refundable credit allows you to recover a portion of the cost of management software and technological equipment. Unlike grants, you must first invest, then recover the amount through your tax return. It's less immediate, but it significantly reduces your final bill and improves your return on investment.
Technology loans and SaaS model
Technology loans from BDC (Business Development Bank of Canada) offer up to $350,000 with repayment terms tailored to your cash flow cycle. Unlike traditional banks, BDC evaluates your growth potential rather than your tangible assets. It's a flexible solution for SMEs that need cash quickly.
The SaaS model radically transforms the management of your ERP budget. Instead of a large capital expenditure (CapEx) that drains your cash flow all at once, you pay a monthly or annual subscription (OpEx). This approach gives you better financial predictability and frees up cash for other priorities. Bonus: OpEx expenses are immediately deductible, unlike CapEx investments that must be amortized over several years.
What is the DEPART program?
DEPART (Economic Development for the Revitalization of Territories) is a program from Investissement Québec that targets 25 to 27 Quebec MRCs facing revitalization challenges. Launched in December 2023, it offers financial assistance of $15,000 to $125,000 per project to support SMEs and collective enterprises that want to diversify or strengthen their activities.
The program aims to facilitate access to financing in economically distressed territories, particularly those in the lowest quintile of the ISQ's economic vitality index. It covers several sectors of activity: administration, marketing, IT, agri-food, engineering, marine sciences, wind energy, and other relevant fields.
DEPART can finance feasibility studies, implementation, modernization, or expansion projects. Good news: this assistance can be combined with other government programs, except those from the Ministry of Economy for the same project. If you invest in an ERP to modernize your operations in Quebec, DEPART can complement your financing structure and lighten your initial investment.
Our support for your ERP financing application
Putting together a solid financing application is not just about filling out forms. At e3k, we support you from A to Z to maximize your chances of obtaining available grants.
Our three-step approach: first, we assess your actual needs together and accurately estimate the implementation costs of your ERP. Next, we identify the eligible programs for your situation (ESSOR, C3i, DEPART, or others). Finally, we structure your application according to the specific requirements of each government organization.
With over 20 years of expertise in ERP implementation in Quebec, we know the evaluation criteria inside out. We understand what makes the difference between a rejected application and an approved one. Our support combines Odoo technical expertise and mastery of government administrative processes.
Do you have an ERP project in mind? Let's talk to see how we can help you obtain the necessary funding.
Your questions. Our answers.
Here are some frequently asked questions about ERP funding.
The site Québec.ca centralizes active provincial programs, categorized by sector and type of business. It's the most reliable starting point to check eligibility before building your budget.
For federal assistance, the tool Business Benefits Finder from the Government of Canada generates a personalized list of programs in two minutes based on the size, region, and sector of your business. Handy when you don't know where to start.
The Quebec territory has thousands of different grant programs, managed by ministries, MRCs, or regional organizations like SADC. Also consult your regional office of Investissement Québec, which knows the budget envelopes available locally and can guide you to the best options for your ERP project.
Overall, an eligible ERP project can receive up to 50% of expenses related to acquisition and implementation of technology, a threshold that ESSOR applies directly to integrated management software.
Complementary aids also exist at the local level. Some SADC offer flat contributions, sometimes around $10,000, reserved for businesses that have existed for more than 24 months, while the Local Investment Funds managed by the MRC can cover up to 50% of the total cost of an ERP project in economically disadvantaged regions.
Before signing with a supplier, also check if your labor expenses related to integration may qualify for the IT integration tax credit, which allows you to recover part of the salaries paid to resources assigned to the project.
The development of custom software often falls under innovation and research assistance rather than traditional implementation programs. The investment and innovation tax credit (C3i) covers expenses related to the design of proprietary technological solutions, a distinct angle from simply purchasing an ERP license.
In Quebec, the program Capital-Productivity can finance up to 40% of a project when the software is part of a structuring investment in productivity, for example, the development of an internal tool connected to your production equipment.
Some regional CEDCs also offer a non-repayable contribution for professional fees related to development, particularly in agri-food or manufacturing. Document your business needs precisely before approaching an advisor, it greatly facilitates the assessment of your eligibility.