The Start-up Finance Scheme

Who is eligible for this scheme?

This scheme is open for small start-up undertakings. A Start-up Undertaking is any unlisted small enterprise up to five years following its registration, which fulfils the following cumulative conditions:

a) it has not taken over the activity of another enterprise unless the turnover of the overtaken activity accounts for less than 10% of the turnover of the eligible undertaking in the financial year preceding the take-over;

b) it has not yet distributed profits;

c) it has not acquired another undertaking or has not been formed through a merger, unless the turnover of the acquired undertaking accounts for less than 10% of the turnover of the eligible undertaking in the financial year preceding the acquisition or the turnover of the undertaking formed through a merger is less than 10% higher than the combined turnover that the merging undertakings had in the financial year preceding the merger.

What industries are covered by this scheme?

Start-up undertakings shall be considered as eligible if they are, or shall be engaged in one  or more of the following activities:

a) Manufacturing;

b) Software development;

c) Industrial services analogous to manufacturing;

d) Health, Biotechnology, Pharmaceuticals and Life Sciences;

e) Other innovative economic activities which are enabled through knowledge and technology providing services or products which are currently not readily available in the relevant market or which shall be provided through a process which is novel.

Eligible projects are those that meet at least two of the following criteria:

a) propose products and/or services that have the potential to generate income from various geographical markets;

b) produce products and/or services which are new or substantially improved compared to complementary products on the market;

c) utilise processes which are new or substantially improved compared to those adopted in current complementary activities.

What is the form of this aid?

Assistance is granted in the form of a Repayable Advance.

What costs are covered by this aid?

Assistance will cover the following

1)        Support as co-investment in payroll costs

2)        Support for the procurement of tangible and intangible assets

3)        Support for the procurement of materials, and of specialised and technical services

4)        Support for establishing an operation in Malta

Should you require any further assistance or require any further information about the reduced rate of tax, do not hesitate to contact us so that we may assist you.

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