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Gov & Employment Canada Jul 6, 2026

Canada launches Small Business Procurement Program to open $37B federal market to SMEs

Canada launches Small Business Procurement Program to open $37B federal market to SMEs

On July 6, 2026, Public Services and Procurement Canada launched the Small Business Procurement Program (SBPP) to help small firms win a share of the government's $37 billion in annual purchasing. It is backed by $79.9 million over five years for Innovative Solutions Canada to award pilot contracts to small businesses, plus $9.4 million (starting 2026-27) and $2 million ongoing for new digital tools, including an enhanced Procura AI chatbot and a simplified innovation pathway.

Why this matters for founders

A Canadian founder can register as a supplier and use the new Procura AI chatbot and ISC innovation pathway to bid on federal pilot contracts with less red tape, turning the government into an early customer.

Source: Public Services and Procurement Canada (Canada.ca)

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