Public Call for the Early Development Program (MINI GRANTS PROGRAM) and Public Call for the Innovation Co-financing Program (MATCHING GRANTS PROGRAM)

We hereby inform you that the Innovation Fund of the Republic of Serbia (hereinafter: the Fund) has published 2 Public Calls, namely:

1. Public Call for the Early Development Program (MINI GRANTS PROGRAM);
2. Public Call for the Innovation Co-financing Program (MATCHING GRANTS PROGRAM)

within which the Fund awards grants in the amount of EUR 80,000 to EUR 300,000 per individual project, depending on the Program in question.

Public Calls last until November 15, 2022.

1. Public Call for the Early Development Program (MINI GRANTS PROGRAM)

Within this Program, the maximum amount of grants that the Fund awards per individual project are EUR 80,000.

The goal of the Program is to contribute to the creation of innovative companies through "start-up" or "spin-off" companies in the private sector.

A project that receives a grant can last for a maximum of 12 months.

Financial framework

Grants awarded by the Fund are expected to cover a maximum of 70% of the total costs of the project, and each participant in the Program must provide co-financing for a minimum of 30% of the total costs exclusively from private sources.

What kind of Project should it be?

Projects from all fields of science and technology and from any industrial sector can be submitted to the Public Call.

Projects in the following areas will be given priority:

• Food for the future;
• Information and communication technologies (with a focus on the field of artificial intelligence);
• Machines and production processes of the future;
• Creative industries.

Who can apply?

For the Public Call are eligible micro and small legal entities that are at least 51% privately owned by residents of Serbia, which were established in Serbia, and are no older than 5 years. Furthermore, a team can have a maximum of 5 members, and the roles and responsibilities of each team member must be defined.¹

What criteria must the project meet?

Some of the main criteria on which applications will be evaluated:

• Do management and key staff have adequate skills, education, knowledge, references, and experience to carry out the proposed project?
• Will the project advance existing technology, products, or services?
• To what degree does the project propose and explore unique concepts or applications?
• Does the project lead to the possibility of improving the technology in order to discover new matters?
• What is the specific market for the technology, product, or service? Is it a growing market?
• Advantage should be given to globally competitive technologies, products, or services.
• Does the proposed project represent a meaningful approach leading to commercialization?
• Are the items in the project budget consistent with the proposed activities (e.g. work hours, materials)?
• Are the proposed costs realistic?
• Are potential problems in project implementation, risks, and proposed solutions clearly identified and presented?

^{1 The team that receives a grant, will be obliged to establish a company that will receive the funds. Also, at least 51% of the shares of the newly founded company must be owned by the team members, who must be residents of Serbia.}

2. Public Call for the Innovation Co-financing Program (MATCHING GRANTS PROGRAM)

Within this Program, the maximum amount of grants that the Fund awards per individual project are EUR 300,000.

The goal of the Innovation Co-financing Program is to encourage existing, profitable, and innovative companies in Serbia to engage in the development and commercialization of technological innovations in the form of new and improved products, services, technologies, and technological processes.

A project that receives a grant can last for a maximum of 18 months.

Financial framework

Grants awarded by the Fund are expected to cover a maximum of 70% of the total costs of the project (for micro and small legal entities), i.e. a maximum of 60% of the total costs of the project (for medium-sized legal entities), and each participant in the Program must provide co-financing for a minimum of 30% of total costs (for micro and small legal entities), or a minimum of 40% of total costs (for medium-sized legal entities).
Co-financing must be provided from private sources.

What kind of Project should it be?

Projects from all fields of science and technology and from any industrial sector can be submitted to Public Calls.

However, in accordance with the "Smart Specialization Strategy in Serbia, 2020 - 2027", projects from the following areas will have priority:

• Food for the future;
• Information and communication technologies (with a focus on the field of artificial intelligence);
• Machines and production processes of the future;
• Creative industries.

In addition to grants that will be awarded, the Fund, alongside the Government of Serbia and the European Union, will continue to support projects that contribute to the increased social inclusion of people with disabilities using advanced technologies.

Grant beneficiaries obligation

If the project results in the generation of income, the beneficiary of grants has an obligation towards the Fund to make a payment once a year in the amount of 5% of the total annual income generated by the sale of new technology, products, or services (15% the licensing technology, products or services to a third party are in question ) within 5 years from the completion of the project, or a maximum of 120% of the total received funds, whichever comes first.

Who can apply?

For the Public Call are eligible micro, small, and medium-sized legal entities that are at least 51% privately owned by residents of Serbia, which are established in accordance with Serbian regulations, with registered headquarters on the territory of Serbia and that are majority privately owned (51% share or more). An additional requirement is that the company has generated a business income of at least EUR 200,000 in the previous or current business year, as well as operating with a profit.

What criteria must the project meet?

Some of the main criteria on which applications will be evaluated are:

• Do management and key staff have adequate skills, education, knowledge, references, and experience to carry out the proposed project?
• Will the project advance existing technology, products, or services?
• To what degree does the project propose and explore unique concepts or applications?
• Does the project lead to the possibility of improving the technology in order to make new discoveries?
• What is the specific market for the technology, product, or service? Is it a growing market?
• Advantage should be given to globally competitive technologies, products, or services.
• Does the proposed project represent a meaningful approach leading to commercialization?
• Are the items in the project budget consistent with the proposed activities (e.g. work hours, materials)?
• Are the proposed costs realistic?
• Are potential problems in project implementation, risks, and proposed solutions clearly identified and presented?

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Deloitte has extensive experience in a wide range of advisory services, which allows us to follow through on applications for this competition during all stages. It is up to the client to decide whether to opt for help in a particular stage of the process or to decide to use Deloitte support throughout the entire application process. Deloitte provides assistance in the preparation of the necessary documentation for the application, support in the preparation of the offer and continuous advisory services during the duration of the project.
 

Contact:

Pavle Kutlesic, LL.M.
e-mail: pkutlesic@deloittece.com

Marko Novakovic, PhD, PMP
e-mail: marnovakovic@deloittece.com