SR&ED Pricing Models in Canada: What You Actually Pay

One of the most common questions Canadian founders ask before filing an SR&ED claim is deceptively simple: what will this cost? The answer depends on which pricing model your provider uses — and the total cost can vary dramatically for the same claim.

Contingency (Success-Based) Fees

Traditional SR&ED consultants often charge 20–30% of your approved credit as a success fee. You pay nothing upfront, but the effective rate is high — a $200,000 credit means $40,000–$60,000 to the consultant. This model works if you have zero cash for filing, but it is the most expensive option over time.

Fixed-Fee and Hourly Billing

Some firms quote a flat project fee ($15,000–$50,000 depending on complexity) or bill hourly for technical writers and accountants. Fixed fees give predictability; hourly can balloon if the scope is unclear. Always ask what is included — T661 preparation, audit support, and amendments are not always covered.

Platform and Hybrid Pricing

Newer approaches combine software for documentation with human review. Platform fees are typically lower than pure contingency because technology reduces preparation time. You get transparent pricing upfront rather than a percentage of your refund — which aligns the provider's incentive with filing quality, not claim inflation.

How to Compare Total Cost

• Calculate effective rate: total fee ÷ expected credit = your real cost per dollar recovered
• Include your team's time: hours spent gathering records have a real cost
• Ask about audit support: CRA reviews can require additional work — is it included?
• Check amendment policies: if you need to refile, what does that cost?

Free Tools Before You Commit

Before engaging any provider, use free resources to understand your baseline. Our SR&ED Eligibility Quiz helps you assess whether your project qualifies, and the R&D Credit Calculator estimates your potential refund so you can evaluate any fee against expected return.

Transparent pricing is not just about saving money — it is about knowing what you are paying for and whether the provider's incentives align with filing a defensible, audit-ready claim.