1. The work must be undertaken in Canada. Some of the work may be conducted by Canadian employees outside Canada; this foreign work is subject to certain financial limits.

  2. The project must be undertaken to increase the level of technical  knowledge of the Company.  This is usually referred to as the Technical Advancement.

  3. The project must involve a technological uncertainty/obstacle/challenge.  This usually means that the technological knowledge is not readily available to the Company.  Just because another Company is already doing what you are trying to accomplish, does not mean that there is no technological challenge.  The technical knowledge the other company uses to do what they do may be their trade secret; therefore the only way you can obtain the knowledge is through a process of Experimental Development.

  4. The project must contain technical content.  This means that the work was undertaken by persons qualified in the underlying technology; that the work was properly documented and that the Scientific Method was used in the work performed by the project.

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