SRED Program gives claimants cash refunds and / or tax credits for their expenditures on eligible R&D work done in Canada. This is the premiere Canadian government program to support private R&D and therefore of vital interest and value to technology companies. Combined with provincial supplements it typically provides cash refunds of up to 65% of incurred eligible R&D expenses. Thus it is a fabulous program for high-tech companies as long as you have the cash to cover your expenses first (as it is a refund program). If you don’t, you may still benefit from factoring your to-be-received grant.
Based on our unique combination of technical & financial skills and expertise we offer the following
- Project management of the complete process
- Initial pre-clearance with the CRA staff
- Putting in place an eligible SR&ED activities tracking and recording system to provide an ongoing financial projection tool and maximize the amount of claims
- Ongoing engagement documenting scope and scale of projects to support claims
- Technical writeup for the annual claim in a language addressing CRA eligibility criteria
- Preparation of the claim application (Form T661) including support and monitoring its processing progress with CRA
- Support for dealing with any potential CRA audit if needed
The SR&ED program is a fantastic way to help with cashflow in a non-dilutive way however it provides a refund, typically, 4-6 month after your fiscal year-end, i.e. 16-18 months after your first R&D expenditure.
At the same time, though, SR&ED is one of a few assets a technology company can leverage for financing. Arranging for an SR&ED based loan is the perfect solution for many growing companies to get cash to pay for ongoing R&D or expanding M&S.
We maintain a network of various financing sources and can help to arrange for your SR&ED based loan on the best possible terms:
- Loan size: from $50K to $1M
- Non-dilutive: no need to lose your equity to grow your business
- Cost effective: reasonable and tailored to your circumstances
- Simple: standard documentation in easy to understand language
- Interest: accrued and due only when the loan is repaid
- Fast: receive funds within days
- Timing: payments and duration of facility are flexible to suit your business needs
- Available: before or after you file your SR&ED claim
- Revolving loans: allow you to borrow against both your filed and accrued SR&ED
- Integration (optional): combine project management with financing so you don’t have to worry about filing a claim at the end of the year.
We take the work off your shoulders and help maximize your cash flow.
Let’s work together.