innovation funding for growth-oriented companies - oct 24, 2014
TRANSCRIPT
INNOVATION FUNDING FOR GROWTH-ORIENTED COMPANIES
October 24, 2014
In Partnership with Granted, SDTC and Spring.is
Documentation for SR&ED Claims 101
WHO WE ARE
Engineers and financial professionals
Technology-first approach to SR&ED
Professional Services Firm of the Year
WHO CAN CLAIM?
CCPC = Canadian Controlled Private
Corporations
Non-CCPC = Foreign or Publically
Owned Corporations
Partnerships
THE DO’S AND DON’TS
Do’s for Companies:
Pay yourself and staff
Start time tracking and proper
documentation now
Incorporate your company and
ensure clear IP ownership
DOCUMENTATION - TECH
Documented at the
time the work was
completed
Technical obstacles
or challenges
Dated
TIME TRACKING
Key Points for Tracking
Granularity of time
Normalizing your hours
Self-limiting descriptions /
estimates
Supporting activity vs directly
engaged
CRA REVIEWS
CRA Review ≠ Tax Audit
Multiple types of CRA Reviews:
First Time Claimant Advisory Service (FTCAS)
Desktop
Financial
Technical & Financial
HOW WE WORK
Contingent
Scope your claim upfront and invoice when your claim is
successful
Efficient
Only require interviews & documentation
Proactive
Ongoing engagement and future recommendations
WHY WORK WITH US
Highly reputable
Technology-
focused
Efficient
Well-connected
JAMES SUK
PARTNER
604 779 7770| [email protected]
BoastCapital.com | @BoastCapital | @jimmyzook
For more info on R&D tax credits and other innovation funding programs,
subscribe to our newsletter.
Granted ConsultingEmpowering Businesses with Grants
Who are we?
Background
Canadian Grants
Our strengths:
Operational
Project
Hiring/Training
Not:• Tech Grants
• University Grants
• Private Funding
Frequent MisconceptionsAre you are one of the following entrepreneurs:
As a female entrepreneur, minority, and/or youth there are tons of grant funding available, I just need to apply.
I am marketing a product to my local market, there must be money to do that.
I am starting a new business and contributing back to the economy, where are the grant funds to support that?
Is there a fund that will pay an entrepreneur who is working 12 hour days while trying to manage a family and kids?
When to Apply
Research & Development
Innovative (Product/Process)
Project Related (i.e. adding new
functions, piloting)
Employment (Hiring Full Time)
Improving Skills (Training)
Market Expansion/Partnerships
Successful Applications
Establish Goals
Research, Research, Research
Understand requirements
Eligibility
Commitment
Reporting
What are they looking for?
Deadlines and Planning Ahead
Funding Resources R&D: ResearchNet
General:
Canada Business Network,
Civic Info BC,
Community Futures
Arts: Canada Council & BC Arts Council
Media: Canada Media Fund, Network Funds
(i.e. Shaw, Rogers, Bell)
Non-Profit: Charity Village
Other: Contests
Building your Grant Strategy
Business Plan
Goals for next 12 to 18 months
Research Opportunities
Not always for this year only
Discussions with stakeholders
Prepare for Applications
Follow Up
Get feedback
Repeat Process for change in Business Goals
Questions?
Vancouver October 24, 2014
Clean technologies: Innovative products or services that simultaneously reduce financial and environmental costs while driving better performance.
Economy
SocietyEnviro.
Improved operational performance,
productivity or efficiency.
Reduced energy
consumption, waste
or pollution.
Improved quality
of air, water
and land.
The Cleantech Business Opportunity
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SDTC Funds Canadian Cleantech
SD Tech Fund™
• Launched on April 4, 2002
• Aimed at development and demonstration of emerging clean technologies
NextGen Biofuels Fund™
• Launched on September 12, 2007
• Aimed at establishment of first-of-kind large demonstration-scale facilities for the production of next-generation renewable fuels and co-products
SDTC’s funds are complementary, operate close to the market, and address gaps in the innovation chain.
SD Natural Gas Fund™
• Launched on February 25, 2014
• First fund with direct investments from the private sector via the Canadian Gas Association
• Aimed at development and demonstration of emerging downstream natural gas technologies
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Commercializing Innovation
SDTC’s funds are positioned to address funding gaps in commercializing technology.
Fundamental
Research
Technology Development and
Demonstration(Pilot to Full Scale)
Product
Commercialization & Market
Development
Market Entry
& Market Volume
Pre-IPO
Gap
Funding Intensity
Pre-
Commercial
Gap
Angel
Governments
Applied
Research
Project Finance
Early VC
Banks
Pension Funds
High CAPEX
Gap
Venture Capital/
Private Equity
Pre-Commercial
Gap
(Low CAPEX)
Public Markets
IndustryCorporate VCIndustry
Investors
SDTC Funds
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• Responsible resource development
• Next generation transportation
• Resource and energy efficiency
• Clean energy
• Agriculture
• Northern and remote communities
Priority Areas
SDTC supports technologies that address the challenges of clean air, soil, water and climate change, including technology
solutions focused on these current technology priority areas.
Based in part on report for Natural Resources Canada:
Opportunities for Canadian Energy Technologies in
Global Markets - McKinsey & Co.
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Key Considerations
Are you at the right stage?
Technology:
• Beyond proof-of-concept
• Pre-commercial
Consortium:
• Key consortium partner relationships initiated and secured
“in principle” to proceed at the time of SOI submission
Commercialization:
• At the end of the SDTC project, the technology should be
in a position to be commercialized
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Technology Readiness Level
Level Technology Readiness Level (TRL)
1 Conceptual articulation
2 Technology and Applications described
3 Laboratory studies and analysis
4 Limited capability prototype validation in laboratory (pre-alpha version)
5 Full capability prototype validation in laboratory (alpha version)
6 Prototype validation in relevant
environment (pre-beta version)
7 Actual system validation in a relevant environment (beta version)
8 Initial production and rollout
9 Full production mode
Start of project
Project completion
SDTC funding can help with technology de-risking in the late development and demonstration stages, speeding adoption and
commercialization.
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Funding Allocation Process
Two phases for applicants and four decision gates
• Phase I – Statement of Interest (SOI) – not too onerous, it is informative and sufficient to assess
• Phase II – Proposals by Invitation – equivalent to a business plan
• Gate I – SDTC review
• Gate II – Technical and Business Expert Reviews
• Gate III – Investment Committee and Project Review Committee
• Gate IV – Board Approval
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1.1. Lead Organization Profile
Who can Apply?
•A for-profit corporation (90% are SMEs)
•A not-for-profit corporation
•A partnership
•A limited partnership or
•A business trust
That has entered into a contract or collaborative arrangement
relating to the execution of the applicant’s project.
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Summary of Project Evaluation Criteria
Summary of Key Elements of a Successful SD Tech Fund™ SOI:
• Level of Innovation
• Environmental Benefits
• Industry leverage and partnerships (consortium)
• Potential for broad and rapid market diffusion
• Strategies on how to handle generated intellectual property
• Inherent technical and / or markets risks
• Strategies to mitigate technical and / or market risks
• Existing SDTC investments (portfolio saturation)
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SDTC's Investments in BC by Economic Sector
As of December 2013
SDTC Commitment to BC cleantech Firms: $185M
Questions?
Big thanks to Granted, SDTC and Spring.is!