Closed: Regional Artificial Intelligence Initiative – Productization and Commercialization Pillar 1: Application guide for businesses

6. Application guide for businesses

On this page

• Purpose of this guide
• Applicant Information
• Authorized Project and Financial Contacts
• Project Information
• Project Results
• Project Budget
• Financial Information
• Certification
• Confidentiality, Reporting and Visibility Requirements
• Other
• Annex A – Technology Readiness Levels
• Annex B – Project Indicator Definitions
• Annex C – Cost Categories

Purpose of this guide

The guide helps your business complete FedDev Ontario's Application for Funding form (For-Profit Applicants) and the Supplemental Form. This guide explains how to complete each section of the form and how to tailor your responses for the Regional Artificial Intelligence Initiative (RAII)'s Productization and Commercialization pillar.

Your application must be received within the intake period or your application cannot be considered.

Blank spaces count against character limits in the application form.

Applicant Information (Q1-18)

This section of the Application for Funding requires all applicants to provide details on their business, including business name, sector and other descriptive information.

When completing this section, please note the following:

• In question 1, provide your business legal name as it appears on your articles of incorporation document(s). Do not include your own name. If your company conducts business publicly by another operating name, please state this in question 2.
  • In question 5, if you are an Indigenous applicant, a CRA business number is not mandatory to apply and you may, instead, include your 3-digit band number in question 6. If you are an Indigenous applicant with a CRA business number, please enter it into the field provided.
• In question 8, we want a full picture of your company, its founders and your business operations. Answer all parts of the question. Describe your market, how your business serves its customers, and include details on your company history before incorporation, if applicable. Clearly outline how your firm is managed and governed now and in the future. Include names of owners and their respective percentage of ownership. Tell us about your company's growth and your growth opportunities, including revenue growth, markets you have entered, funding rounds completed, pre-orders, partnerships with other organizations, and customers acquired. Provide background information on key shareholders, board of directors and your management team. To supplement this information, submit the following documents using the "Add Attachments" button on the Application for Funding:
  • A copy of the company's incorporation document(s), including any amendments and information on ownership (names and percentage of ownership).
  • Biographies of key management team and project team members.
  • If applicable, documentation that demonstrates that your company has previously received or currently receives support from a business accelerator, an incubator, an angel or venture capital investor and/or other relevant sources.
  • If applicable, indicate and describe support that your company may have received from the Canadian Intellectual Property Office (CIPO), or other organizations or government support, to assist your company to protect, maintain, or commercialize your company's intellectual property (IP).
  • If available, submit a copy of your company's IP strategy.  Please note: if your project is approved for funding:
    • having, implementing, and maintaining an IP strategy is a condition of receiving funding under this initiative.
    • you will be required to protect IP created or modified as a result of FedDev Ontario funding, including not agreeing to exclusive or irrevocable licenses of project IP, and/or sublicensing agreements unless your company will benefit from such an agreement.
• In questions 11-13, indicate the current number of employees for each category. Do not include people employed by suppliers or contracted services.
  • Full-time equivalent employees (FTEs) working in Canada are those who work a minimum of a 35-hour work week.
  • Part-time equivalent employees (PTEs) in Canada are those employees who work less than a 35-hour work week.
  • Number of employees outside of Canada is the total number of employees (full-time and part-time) working for the business outside of Canada, if applicable.
    
    Note: You must have at least 1 employee who is an FTE and employed by your company, and engaged in roles essential to business operations and the development of the AI or AI-driven solution. The business owner can count if they are paid wages from the company. Freelancers and contractors do not count as FTEs. Your company may be deemed ineligible without this information.

Authorized Project and Financial Contacts (Q19-20)

We are looking for the names and contact information for the primary contacts for communicating with FedDev Ontario on matters involving the application and project financials (if they are different). Ideally, the authorized contact person is a signing officer for the company who has full authority to bind the company through funding agreements. If the person is not a signing officer of the company, confirmation of that person's right to represent the company may be required. Neither the Authorized Project Contact nor the Financial Contact can be a consultant or third party.

The applicant and/or any parties authorized by the applicant to speak to FedDev Ontario on their behalf must comply with the Lobbying Act throughout the application process and the life of any funded project. Before communicating with FedDev Ontario about an application, please review the provisions of the Act. For more information on lobbying and the Lobbying Act, consult the Office of the Commissioner of Lobbying of Canada.

Back to top

Project Information (Q21-35)

This section provides a detailed account of the proposed project, including duration, location of activities and overall plan. When completing this section, please note the following:

• In question 22, enter "Regional Artificial Intelligence Initiative – Productization and Commercialization" or "RAII Pillar 1" in this field.
• In questions 23-24, the start date cannot be before the date the application intake closes. On average, projects span between 1-2 years in duration.
• In question 26, indicate whether any of the proposed project's activities are expected to occur on federal lands as defined in the Impact Assessment Act, 2019. Activities on federal lands could be subject to additional requirements.
  
  Depending on the nature of your project activities, you may be expected to complete all federal requirements related to the Impact Assessment Act 2019, and the duty to consult with Indigenous Groups as set out in Section 35 of the Constitution Act, 1982. To find out more, visit the Government of Canada and the duty to consult.
   
• In question 28, please describe your project plan by focusing on how you will further demonstrate, commercialize, deploy, and/or expand the market for your AI or AI-driven solution during this project. Referencing the eligible activities listed under Section 2: Who can apply, include detailed project activities that you are seeking funding for and that are required to successfully achieve your expected outcomes. In your response, also:
  • outline the steps you have taken or will take to own and protect rights to allow you to make full use of the benefits from any intellectual property (IP) created or modified in carrying out project activities. This can include patent filings, copyright registration, or other formal registration that demonstrates ownership, publications demonstrating a record of your research and development process, or measures such as non-disclosure agreements. Further, please provide evidence that you hold or will obtain rights to any third-party IP to allow your project activities to be carried out (e.g., obtaining any licenses that you will need for the project).
  • outline any steps you will take to manage, protect and/or generate revenue from IP that will be developed or commercialized through this project.

    Please note FedDev Ontario may support costs related to IP. See cost categories for details.

    For assistance on how to manage, protect, and commercialize your company's IP, consult the Canadian Intellectual Property Office.

    You can expand on your answers in the RAII Supplemental form that you must complete and attach with your Application for Funding. Note: the form includes dedicated questions about the AI/AI-driven solution that will be further developed/commercialized, the type of AI that serves as the basis of the solution, and its current Technology Readiness Level (TRL).

    You may also submit a project plan in the format of your choice along with logical and physical diagrams, device and/or apparatus drawings/photos, summary of tests and demonstrations conducted, or other relevant documentation by using the "Add Attachment" button on the application form.

Definition: Artificial intelligence

Artificial Intelligence (AI) relies on and learns from vast data sets and algorithms to perform tasks that would typically require human intelligence, including visual perception, speech recognition, and autonomous decision-making and improvisation.

• In question 29, briefly describe the objective and expected outcomes of your project, and how your project fits the program goal to advance and commercialize AI or AI-driven solutions for domestic and global markets. This section should serve as a rationale for why this project should receive funding. In providing your response:
  • explain the economic return on investment, as indicated by demand for your AI solution and other evidence of market traction (sales, export potential, global patent filings)
  • describe how and the extent to which the proposed project supports the commercialization of AI products, applications, and solutions. Be as specific as possible.
  • if applicable, describe the expected TRL by the end of the project, including whether the anticipated outcomes include a market-ready technology or product.
• In question 30, indicate and provide details on the clean growth benefits of your project, including environmental benefits that will be realized and/or information on clean technologies being developed, commercialized or adopted. If applicable, indicate how you will mitigate the environmental impacts (e.g., energy or water use) of your AI technology. Where possible, provide metrics to quantify the impact (e.g., percentage of energy or water saved, amount of greenhouse gas emissions reduced, amount of waste diverted from landfill, amounts of air pollutants reduced, etc.). Include a timeframe over which these benefits will be realized.

Definition: Clean growth

Clean growth is about fostering economic growth that reduces environmental impacts and strengthens resilience to a changing climate.

This is done through initiatives that promote and support clean growth outcomes (e.g., emissions reductions, waste reduction, sustainable jobs, etc.). This can include the introduction of practices to reduce carbon footprint or waste, the adoption or commercialization of clean technologies, circular economy initiatives, greening communities, and supply chain localization.

• In question 31, provide information about diversity, equity, and inclusion at your company.
  The Government of Canada is committed to diversity, equity, and inclusion so that all Canadians have the opportunity to participate in and contribute to the growth of the economy. Gender, equity, and diversity data collected may be used for research, statistics, program and policy evaluation, risk management, strategy development, reporting, and gender-based analysis (including GBA+). This information can help the Government of Canada monitor progress on inclusive access to federal support programs and services, identify and remove barriers, and make changes to improve inclusive access. Aggregate and anonymous data may be shared with other federal organizations and published for reporting and monitoring purposes.
• Question 31 has 3 components:
  1. The first column of the table is a voluntary self-declaration to indicate if your company is led or majority-led by 1 (or, if applicable, more than 1) underrepresented group. This data is used for statistical purposes only. Note: selecting all options is not necessary and may skew the data. Choose the group or groups that most closely align with your company's leadership composition. If none apply, or you wish not to self-declare, this section can be left blank.
     Note: "led or majority-led" describes companies where members of underrepresented groups are involved in long-term control and management of the business or organization and play an active role in both strategic and day-to-day decision making.
  2. The second column seeks to understand whether the project will benefit or encourage the inclusion of 1 or more underrepresented group. Select all that apply but note the responses to this column are linked to the third section of this question, where applicants must explain how their organization will influence federal inclusive growth priorities for each group selected.
  3. In completing the third section, describe in detail how your organization and project promotes diversity, equity and inclusion, and include any supporting documentation with attachments, if applicable. Please explain both ongoing and planned methods in which your organization is addressing the representation of underrepresented groups. Examples of initiatives could include an organizational diversity plan or policies and participation in the 50-30 Challenge. Describe relevant results and the timeframe in which they will be achieved (for example: 75% of jobs created and maintained through the project to be staffed by members of underrepresented groups). Refer to the guidance in question 36 when describing results. As relevant, in this section or in the Supplemental Form under question 1a, describe measures to support fairness and equity in the development and deployment of AI solutions.

The 50-30 Challenge

FedDev Ontario continues to champion the 50-30 Challenge, where applicants are encouraged to take voluntary actions to achieve gender parity (50%) and significant representation (at least 30%) of underrepresented groups on their boards and in senior management. If you are already a participant, please include this on your application. If you are not yet a participant but wish to join, please note this on your application. Refer to the 50-30 Challenge.

• In question 32, list any key project partners and their role(s) in the project. These may include other businesses (suppliers or customers), financial partners, business accelerators and incubators or other government departments invested in the completion and the success of the project. Describe, in detail, the nature of these partnerships.
  
  Note: You will also be asked to describe the financial contributions to be made and the status of each contribution (e.g., confirmed, pending confirmation, to be requested) for each identified key project partner in the Project Budget section. If your project is approved, you will need to confirm all sources of the matching funding within 30 days of being notified.
   
• In question 33, describe the market opportunity that your project will address and how your project will help differentiate you in the marketplace within Canada and internationally. Include a list of your major competitors and identify if your project will impact other businesses in Canada. Describe if, how and the extent to which you have a competitive advantage over competition. Refer to Section 1: What we support and Section 2: Who can apply for the program priorities and eligible project activities, respectively.
• In question 34, indicate key risks associated with the project (e.g., financial, trade, regulatory, and any implementation risks that may impact a successful project outcome, including related to responsible AI) as well as potential risk to the broader economy (e.g., workforce impacts of the AI or AI-driven solution). Also, please identify risk mitigation measures for the project.
  • Specifically related to responsible AI:
    • The Supplemental Form includes a dedicated question on your business's strategy and alignment with responsible AI and applicable legislation. Use that form to answer whether or not your company has a strategy in place to ensure that it develops and deploys AI technologies ethically and responsibly. Describe your plan, including project activities, to address risks related to the relevant principles of the responsible development and use of AI. At a minimum, you must describe human oversight and accountability frameworks and measures to address cybersecurity risks (e.g., plans, policies, and governance structures in place to prevent unauthorized use of, and access to, data you collect and use). Where relevant, identify measures to support other elements of responsible AI, including data privacy and governance, fairness, equity, and safety. To support your response, you may submit your company's cybersecurity strategy, certifications, etc.
    • as relevant, demonstrate how your company has and will comply with current and anticipated applicable legislation and/or regulatory requirements in Canada and target markets, such as the Personal Information Protection and Electronic Documents Act
  • Please note:
    • FedDev Ontario may support costs related to the responsible development and use of AI (e.g. costs related to cybersecurity). See cost categories for details.
    • If your project is approved for funding, you must attest to your company's commitment to responsible development and use of AI.
• In question 35, illustrate why financial assistance is required for this project (i.e., to quickly seize an untapped market opportunity) and explain what the impact would be if the requested funding was not received. This section could include the broader impact(s) on the business, sector or region if funding is not received. Be sure to include how this funding would impact the sustainability of your business both for the duration of the project and after project completion and how the project improves the future outlook for your business.

Project Results (Q36)

All values provided under this section must be measurable and verifiable. Recognizing that not all indicators apply to every project proposal, applicants can select "No" for any of the options and will not need to complete the corresponding "Amount" column.

All amounts reported in this section must be measured from the estimated Start Date of the project to the End Date of the project. Any details provided in this section should be as realistic and achievable as possible, as you will be asked to report on these results throughout the project's duration. Any benefits that fall outside of this timeframe but the applicant wishes to highlight should be included in question 29.

Please refer to Annex B for definitions of each indicator.

Back to top

Project Budget (Q37-38)

By completing this section, you are providing FedDev Ontario with the key project financing information needed to assess whether the resources requested are appropriate for further review, including:

• estimated total project costs, how much funding you are requesting, and a breakdown of this funding by federal fiscal year and cost category
• whether you have secured your portion of the financing, and the source(s) and status of any other funding

Information provided in this section may be supported with a more detailed project budget and breakdown of costs submitted as an attachment. If your project is approved, you will need to confirm all sources of the matching funding within 30 days of being notified.

Important notes:

• All eligible costs must be reasonable and directly related to eligible project activities. FedDev Ontario may support project costs related to management, protection, or commercialization of project intellectual property (IP), and cybersecurity and other measures that will support the responsible development and commercialization of your AI or AI-driven solution. Please see Annex C for more details on eligible and ineligible costs.
• State costs in Canadian dollars (CAD) over the span of the project duration (Note: fiscal year is defined as April 1 to March 31).
• Costs incurred before the application intake deadline cannot be considered eligible costs.
• If there are no costs associated for a cost category, enter "0" in the amount column for that cost category.
• All projects and associated costs must be completed by the estimated End Date of the project.

Financial Information (Q39-41)

This section allows FedDev Ontario to assess your company's capacity to undertake the proposed project, including:

• If you have received government funding from any level (federal, provincial, municipal) in the last five years (question 39) and, if applicable, use some of the space provided in question 40 to explain the status and outcomes of this funding.
• Include an explanation of the status of any funding related to this project, including support or financing from accredited angel or venture capital investors (e.g., confirmed, pending confirmation, to be requested). Explain if funding from any sources is pending, confirmed or is contingent on receiving FedDev Ontario funding or any other requirements.
• Your company's financial performance (e.g., assets, liabilities, cost structure, revenue streams). For pre-revenue firms, indicate funding received from an accredited angel or venture capital sources and identify cash flows during the project.
  • Note: in-kind contributions and cash from forecasted revenue cannot be leveraged as a source of project financing.
  • Note: forecasted revenue cannot be leveraged as a source of project financing.
  • Note: the information provided is important to demonstrate the ability to repay the contribution.
• Include any information regarding the project budget that was not reflected in the application form. Include sales growth and financial projections as applicable to the project activities.
• As FedDev Ontario funding does not support ongoing operating costs, please indicate cash flows and plans to support your operations post-project, including jobs created and maintained post-project, if applicable.

Certification

Please ensure the certification section is completed by the authorized contact, who is also a member of your organization with signing power/authority to enter into a legally binding agreement with FedDev Ontario. Note:

• Certification is the act of signing a formal document to confirm that you are bound by its contents.
• Making a false statement or providing misleading information may result in the Minister exercising any remedy available to them at law.
• You must review each statement and sign the Certification; this includes certifying that the applicant is not engaged in any illegal or criminal activity and does not promote violence, incite hatred or discriminate on the basis of sex, gender, identity or expression, sexual orientation, colour, race, ethnic or national origin, religion, age, or mental or physical disability, contrary to applicable laws.
• Checking 'I Agree' provides an authorized signature of your organization certifying both the information provided on the application and that you are duly authorized to submit the application on the organization's behalf.
• Funding for the purposes of the project should not be knowingly used, either directly or indirectly, in a manner that breaches economic sanctions imposed by Canada as described under the Special Economic Measures Act. Information on Canadian sanctions and export and import controls can be found at the following:
  • Canadian sanctions (international.gc.ca)
  • Types of sanctions
  • Export and import controls

Confidentiality, Reporting and Visibility Requirements

FedDev Ontario may consult external experts as part of the application assessment process (for example, other government departments and agencies) and share applicant information with such experts. Any confidential or proprietary information should be marked as such. In addition, all information provided by the applicant is subject to the Access to Information Act and Privacy Act.

If approved for funding, the names of recipients, amounts awarded and project descriptions will be disclosed publicly. Recipients will also be required to submit reports and other statements that provide details on project performance and comply with official languages and visibility and funding acknowledgement requirements in the contribution agreement.

Other

FedDev Ontario reserves the right to modify these guidelines at any time without notice and may waive certain requirements on an exceptional basis.

Back to top

Annex A – Technology Readiness Levels Descriptions

These guidelines refer to technology readiness levels. The technology readiness level (TRL) is a scale of 1 to 9 which reflects different stages of development of a technology. For this pillar of the initiative, projects at TRL 6 and above may be considered eligible for support. Projects at an earlier stage are not eligible.

Please refer to the following TRL descriptions.

Technology Readiness Levels Descriptions

Technology Readiness Level (TRL)	Description
TRL 1—Basic principles observed and reported	Lowest level of technology readiness. Scientific research begins to be translated into applied research and development (R&D). Examples might include paper studies of a technology's basic properties.
TRL 2—Technology concept and/or application formulated	Invention begins. Once basic principles are observed, practical applications can be invented. Applications are speculative, and there may be no proof or detailed analysis to support the assumptions.
TRL 3—Analytical and experimental critical function and/or characteristic proof of concept	Active R&D is initiated. This includes analytical studies and laboratory studies to physically validate the analytical predictions of separate elements of the technology.
TRL 4—Product and/or process validation in laboratory environment	Basic technological products and/or processes are tested to establish that they will work.
TRL 5—Product and/or process validation in relevant environment	Reliability of product and/or process innovation increases significantly. The basic products and/or processes are integrated so they can be tested in a simulated environment.
TRL 6—Product and/or process prototype demonstration in a relevant environment	Prototypes are tested in a relevant environment. Represents a major step up in a technology's demonstrated readiness (e.g., testing a prototype in a simulated operational environment).
TRL 7—Product and/or process prototype demonstration in an operational environment	Prototype near or at planned operational system and requires demonstration of an actual prototype in an operational environment (e.g., in a vehicle).
TRL 8—Actual product and/or process completed and qualified through test and demonstration	Innovation has been proven to work in its final form and under expected conditions. In almost all cases, this TRL represents the end of true system development.
TRL 9—Actual product and/or process proven successful	Actual application of the product and/or process innovation in its final form or function.

Annex B – Project Indicator Definitions

Back to top

Annex C – Cost Categories

Eligible project costs must be reasonable, verifiable, incremental, and directly support project activities. Eligible project costs do not include ongoing costs of production or operations. Generally, the following are eligible cost categories:

• Previous
• Next