CanExport SMEs 2026 2027: Funding To Protect And Leverage Intellectual Property Across Strategic Sectors Globally

The federal government has officially launched the updated version of the CanExport SMEs program for 2026-2027. The application period opened on February 4, 2026, and runs until May 29, 2026, at 12 p.m. (ET). CanExport is a flagship initiative designed to support Canadian small- and medium-sized enterprises in their expansion into international markets, including through funding to help businesses secure and leverage their intellectual property assets abroad.

1. Highlights for 2026–2027

The program allows eligible SMEs to receive up to $50,000 for their international expansion projects. This funding covers up to 50% of eligible expenses, so the total project value must fall between $20,000 and $100,000. In total, approximately $31million may be allocated to international market activities.

For 2026–2027, the federal government is explicitly prioritizing projects in the defence sector or involving dual-use technologies (civil-military), as part of the Defence Industrial Strategy.

It should also be noted that the Canadian agricultural sector — which includes primary agriculture, agri-food, and agri-product industries — is no longer eligible under the CanExport program. However, agricultural technology (AgTech) and agrotechnology, food technology (post-harvest), agricultural machinery and equipment, and life sciences sectors are still eligible.

Companies may target up to five countries in which to protect their portfolios, but one key rule remains: a project may target either the U.S. or other countries, but not both. It should be noted that CanExport SMEs will prioritize support for companies targeting non-U.S. markets.

2. IP Protection Expenses Eligible for Funding

Companies can receive funding to support the protection of their IP in their export markets, including expenses for:

• filing a patent or industrial design application
• filing an application for the registration of a trademark or copyright
• IP professional services from a law firm, including the development of an international IP strategy, database search, drafting, and/or filing of formal IP documentation
• fees for foreign consultants in target markets

Additionally, CanExport may fund the creation, adaptation and translation of contractual agreements, including sales contracts, distribution agreements, non-disclosure agreements and similar legally binding documents required to penetrate a target market.

Finally, CanExport may fund the legal fees of counsel providing expert advice on tax, legal, and regulatory issues related to a company's entry of its products or services into export markets.

3. Eligibility Requirements

To be eligible, the business must:

• be for-profit and established in Canada
• be an incorporated legal entity, a limited liability partnership (LLC) or a cooperative in Canada
• have between 3 and 500 full-time employees
• have between $300,000 and $100million in annual revenue declared in Canada during its last complete tax reporting year
• demonstrate meaningful economic ties to Canada, such as by showing that a product or service is of Canadian origin or that the export of the product or service brings value to Canada (e.g., product components are manufactured in Canada)

Conclusion

The CanExport SMEs 2026–2027 program represents a major opportunity for SMEs looking to structure or accelerate their international expansion. By including the protection and strategic management of intellectual property among eligible activities, the program enables companies to secure their innovations and strengthen their competitive position before entering foreign markets.

Fasken is available to answer any questions you may have and to provide the information you need to optimize your international development efforts and your intellectual property strategy, ensuring you fully benefit from the funding offered through the CanExport program.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.