Key Takeaways:
- Doubling of STSI Tax Credit Cap: The Saskatchewan Technology Startup Incentive’s annual tax credit cap has been increased from $3.5 million to $7.0 million in the 2024-25 Budget.
- Expansion to Cleantech Investments: The STSI program now includes cleantech startups, aligning with Saskatchewan’s sustainability and competitive resource sector goals.
- Innovation Place Redevelopment: A significant infrastructure investment will redevelop the west wing of the Galleria Building at Innovation Place in Saskatoon to support agtech companies.
- Strategic Growth in Key Sectors: These initiatives aim to accelerate growth in cleantech and agtech sectors, creating jobs and enhancing the province’s innovation ecosystem.
- Increased Investment and Job Creation: Since its inception in 2018, STSI has facilitated over $90 million in private investment and supported the creation of over 400 jobs.
Saskatchewan’s Innovation Leap
Innovation Saskatchewan’s strategic enhancements to the Saskatchewan Technology Startup Incentive (STSI) and significant infrastructure investments underscore the province’s commitment to fortifying its role as a leader in cleantech and agtech industries. The 2024-25 Budget’s initiatives are poised to significantly impact Saskatchewan’s innovation landscape, bolstering economic growth and job creation in emerging fields.
Doubling Down on Startup Support
The recent budget announcement has doubled the STSI’s annual tax credit cap to $7 million, one of Canada’s most aggressive tax credit programs for startups. This expansion is set to benefit Saskatchewan-based investors with a 45 percent non-refundable tax credit, encouraging early-stage technology startup growth. By broadening the STSI to include cleantech startup investments, the province aligns its economic development strategies with its commitment to sustainability and the competitive strength of its resource sectors.
Infrastructure Investment at Innovation Place
A pivotal component of these efforts is the redevelopment of the west wing of the Galleria Building within Saskatoon’s Innovation Place research and technology park. This redevelopment aims to provide agtech companies with access to specialized infrastructure, fostering an environment that supports scaling and collaboration within the sector. Planned to start in spring 2024, the design and planning work for this project illustrate the province’s dedication to creating a thriving ecosystem for technology firms.
Fostering a Dynamic Innovation Economy
Innovation Saskatchewan’s CEO, Kari Harvey, emphasized the growing demand for investment among digital and cleantech companies in the province. The STSI program’s enhancements are designed to strengthen Saskatchewan’s innovation economy, allowing an unprecedented number of startups to benefit from these initiatives.
Since its launch in 2018, the STSI has been instrumental in raising over $90 million in private investment for Saskatchewan’s technology startups, supporting the creation of more than 400 jobs and benefiting over 370 investors and 90 companies. This significant increase in the investor pool, with 59 percent of approved investors new to angel investing, underscores the program’s success in fostering a vibrant innovation community.
Photo by Dan Loran on Unsplash
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