Strength in innovation
Canada boasts relatively low labour costs, and also a thriving innovation ecosystem based on its world-leading universities and research institutions. This has made parts of the country highly attractive to top technology businesses, Valérie explains.
The federal government has set up five superclusters across the country to promote collaboration and growth in specific subsectors: these include digital technology in British Columbia, protein industries in the Prairies, advanced manufacturing in Ontario, artificial intelligence in Quebec and ocean-related industries in the Atlantic region.
Valérie adds: “Around the city of Montreal there is a huge emphasis on areas like artificial intelligence, cybersecurity and even aerospace. There is a high level of talent here, and it costs a lot less to operate a technology company in Montreal than in New York or Silicon Valley, for example.”
Quebec’s e-business credit is a good example of a type of provincial incentive available to organizations operating in a variety of growth sectors, Valérie adds. “The questions we are most often asked by companies looking to set up in Quebec relate to this credit.” The incentive is based on salaries incurred by the company and may provide up to a refundable tax credit of 24%. The fact that this credit is refundable is the main reason why the credit is so interesting, as it becomes an important source of financing for an organization in its growth stage.
There is also a nationwide research & development tax credit worth up to 15%, which is typically bonified by a provincial R&D credit. The provincial R&D tax credit will vary from one province to another and may also be refundable depending on the province.
It should also be noted that there are significant incentives being developed by the national government in the clean energy industry.
“Ease of doing business, a wide range of incentives for investment and unrivalled access to global markets combine to make Canada a great place to establish your company.” – 
