Updated May 2026 · Verified against Innovation, Science and Economic Development Canada (ISED) / Public Services and Procurement Canada (PSPC) guidelines
✨ declining ✓ First-Timer Friendly Milestone-Based Est. 2010
Grant Federal Active

ISC Testing Stream (Innovative Solutions Canada)

Innovation, Science and Economic Development Canada (ISED) / Public Services and Procurement Canada (PSPC)
Maximum Funding
R&D contracts up to $1,100,000...
Rolling — 2–3 calls per year; subscribe to ISC newsletter for notifications
Visit Official Program →
Difficulty
Moderate
Payment
Milestone-Based
Trend
declining
First-Timers
Friendly ✓
Co-Funding
100%
ISC Testing Stream (Innovative Solutions Canada) provides up to R&D contracts up to $1,100,000 (standard challenges) or $2,300,000 (military challenges). Government departments procure and test pre-commercial Canadian technologies in real operational environments. Applications are accepted on an ongoing basis. (As of May 2026, verified against Innovation, Science and Economic Development Canada (ISED) / Public Services and Procurement Canada (PSPC) program guidelines)

Eligibility & Details

What this program funds and who can apply

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Program Description

Government departments procure and test pre-commercial Canadian technologies in real operational environments. Eligible applicants receive R&D contracts up to $1.1M (standard) or $2.3M (military) — the successor to the Build in Canada Program (BCIP, 2010).

Eligibility Requirements

  • Private companies, public companies, not-for-profit organizations, universities, and individuals can all apply
  • International organizations may also apply (broader eligibility than Challenge Stream)
  • Innovation must be pre-commercial — not yet available in the marketplace
  • Innovation must be a new invention, significantly modified technology, or meaningful improvement in functionality/cost/performance
  • Must own or have a license for the IP
  • Ready for real-world testing (solution must be fully developed, not just a concept)
Provinces
Industries
Business Stage
Growth Expansion Mature

Quick Assessment

Difficulty
Moderate
Competition
Moderate
Est. Hours
30h
First-Timer
Friendly

Funding Details

Amount
R&D contracts up to $1,100,000 (standard challenges) or $2,300,000 (military challenges)
Type
Grant
Level
Federal
Co-Funding
Up to 100% of eligible costs
Deadline
Rolling — 2–3 calls per year; subscribe to ISC newsletter for notifications

Program Scorecard

Competition, effort, and approval at a glance

Hybrid
Competition
Moderate
Effort
~30 hours
Approval
Moderate
Accessibility
--/5
Competition
--/5
Approval Rate
--%
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What's in this Playbook

Everything you need to win ISC Testing Stream (Innovative Solutions C... — $19

Not a marketing summary. The actual checklist, intel, and stack strategy reviewers look for.

Consultants charge $2,000–$5,000 per program. This Playbook is $19. Yours forever.

Applying for ISC Testing Stream (Innovative Solutions Canada)? Our Grant Proposal Template ($19) mirrors the section structure Canadian reviewers actually score on. Or get all 4 templates in the Founder Pack ($59 · saves $27) →

How to Win

Insider tips, common pitfalls, and what successful applicants look like

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Insider Tip

Unlike the Challenge Stream (which requires addressing a specific government challenge), the Testing Stream accepts any pre-commercial innovation ready for real-world testing. Provide technical details with quantifiable data — proposals with specific performance metrics outperform vague descriptions. Complete all form fields fully and use maximum word counts. Do not submit last-minute applications. Your innovation must be fully developed and testable in operational conditions — this is not for early-stage R&D. After successful testing, apply to the Pathway to Commercialization (within 12 months) for sole-source government procurement access.

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Rejection Pitfalls 6

  • Innovation already commercially available in the marketplace (must be pre-commercial)
  • Solution not yet fully developed — still conceptual or laboratory-only (must be ready for real-world testing)
  • No testing partner interest from government departments for the specific innovation
+3 more pitfalls
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Success Profile

Innovators with a fully-developed pre-commercial technology ready for real-world operational testing. Not-for-profits, universities, and individuals are eligible (unlike Challenge Stream). Technologies in health, environment/clean tech, defence, and digital infrastructure are most frequently tested. The key differentiator from Challenge Stream: Testing Stream solutions are ready for testing NOW, not for early-stage R&D development.

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Evaluation Criteria

Proposals evaluated by federal department subject-matter experts on: technical merit and innovation definition (is it genuinely new or significantly improved?), quantifiable performance evidence, testing readiness (fully developed, not conceptual), IP ownership, and ability to support testing logistics. Funding availability and testing partner interest are also factors — not all proposals receive a match even if technically strong.

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6 reasons applications get rejected, what winners look like, and exactly what reviewers score on
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Application Playbook

Step-by-step process, required documents, and expenses

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Application Steps

1 Subscribe and Monitor Open Calls Subscribe to the ISC newsletter and monitor ised-isde.canada.ca/site/innovative-solutions-canada/en/testing-stream for open calls. 2–3 calls posted per year, each with its own closing date.
2 Assess Innovation Readiness Confirm your innovation is pre-commercial, fully developed (not conceptual), and ready for real-world operational testing. Gather quantifiable performance data to support your proposal.
3 Confirm IP Ownership Verify you own or have a license for the IP. Prepare documentation proving IP ownership or licensing rights.
4 Complete and Submit Proposal Complete the Testing Stream proposal form with technical description (quantifiable data required), testing plan, and logistics support capability. Submit before the call closing date. Do not submit last-minute.
5 Testing Department Matching PSPC/ISED matches your innovation with federal departments that have a relevant testing need. If matched, a contract is issued. Funding is not guaranteed for all proposals.
6 Execute Testing Contract Deliver your innovation to the government testing environment. Provide technical support throughout the testing period. Deliver required reports and performance data.
7 Apply to Pathway to Commercialization If testing is successful and your innovation reaches TRL 9, apply to the ISC Pathway to Commercialization within 12 months for sole-source government procurement access.

Required Documents 7

Completed Testing Stream proposal form (obtained from the specific call on ISED website)
Technical description of the innovation with quantifiable performance data
Evidence that innovation is pre-commercial (not yet available in marketplace)
IP ownership or licensing documentation
Proof of legal entity (company registration, university letter, etc.)
Testing logistics plan (how you can support real-world testing)
Security clearances as required by specific call

Eligible Expenses 5

  • Labour costs for personnel supporting the testing contract
  • Materials and supplies required for testing in the operational environment
  • Equipment and tools required to conduct the test
  • Travel and accommodation for testing at government facilities
  • Overhead costs directly attributable to the testing contract

Ineligible Expenses 4

  • R&D costs for developing the innovation (testing, not development, is the purpose)
  • Marketing, sales, and general business development costs
  • Costs incurred before the contract start date
  • Capital purchases not directly required for the specific test

Intake Periods

Rolling — 2–3 open calls posted per year. No fixed annual cycle. Subscribe to ISC newsletter for notifications.

Deadline Notes

No fixed annual cycle. ISC Testing Stream posts open calls for proposals 2–3 times per year. Each call has a specific closing date and operational problem statement. Subscribe to the ISC newsletter immediately; calls are time-limited. Unlike the Challenge Stream, Testing Stream accepts near-market solutions not necessarily tied to a posted government challenge.

Open Application Portal →

Ineligible Organizations

  • No categorical exclusions — private companies, public companies, not-for-profits, universities, individuals, and international organizations may all apply
  • Innovations that are already commercially available in the marketplace are ineligible (not the organization, but the innovation)
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Funding Stack Strategy

Compatible programs, clawback risk, and combined funding potential

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Compatible Programs

Combined Funding Potential See your total funding potential

Clawback Risk

Low Risk

Contract-based program; clawback risk is low if the company delivers on the testing contract. Misrepresentation of IP ownership or innovation status could trigger contract termination and repayment.

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Stacking amounts, clawback details, government stacking limits, and tax implications
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How ISC Testing Stream (Innovative Solutions C... Compares

Side-by-side with similar programs

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Frequently Asked Questions

Quick answers to the questions founders most often ask about ISC Testing Stream (Innovative Solutions C...

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How is Testing Stream different from Challenge Stream?
Challenge Stream responds to specific government-posted challenges (TRL 1–4, R&D grants). Testing Stream tests near-market pre-commercial innovations in government environments (TRL 7+, R&D procurement contracts). Testing Stream is also open to non-profits and universities.
Is funding guaranteed?
No — awards depend on a government department having a matching operational testing need. Technically strong proposals may not receive a contract if no department needs to test that specific innovation.
What happens after a successful test?
Apply to the ISC Pathway to Commercialization within 12 months. If accepted, federal departments can award sole-source contracts up to $8M without competitive bidding for 3 years.
Can universities and non-profits apply?
Yes — unlike the Challenge Stream, the Testing Stream accepts private companies, public companies, non-profits, universities, individuals, and even international organizations.

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