Grants for new start-ups in Hong Kong?

What is a grant?

When we mention a grant, we are discussing the funding in form of finances or its equivalent that is availed by entities such as governments, companies, or foundations to enable the accomplishment of a certain specific endeavor such as training, research, or business. There are usually certain qualifications associated with it.

Grants that are available for new startups in Hong Kong

There are few government grants that are available to help entrepreneurs to launch their businesses in Hong Kong.

• Technology Startup Support Scheme
  A grant that exclusively to university-related startups that are dealing with technology.
• BUD Fund
  This fund is rolled out to SMEs Entrepreneurs and new startups that are keen to establish their businesses within the ASEAN markets and Mainland China markets. It avails capital of up to HK$1,000,000 for each project for developing brands, upgrading, and domestic sales.
• Innovation Hubs
  The Hong Kong government has put in place innovation hubs that host and support new startups. There are two innovation hubs that the government has set up namely the Cyberport and the Science and Technology Park each dealing with different innovative ideas.
  Under the Cyberport program, Cyberport Incubation is there toprovide funding to inform finances to innovations, technology-related startups. And the Cyberport Incubation program provides startups with a support system, finances, education, and training for innovative and technological ideas.
  There are grants for startups that are specific to the Science and Technology Park (HKSTP) such as the Hong Kong Business Angel Network program, HKSTP-Incubator-Bio Program, HKSTP-Incubator-App Program, HKSTP-Incubator-Tech Program both of which provide funding inform of finances and support systems for the startups.
• HK Mortgage Corporation-Microfinance Scheme
  This scheme provides funding in the form of finances aimed at promoting Hong Kong startups.
• Social Innovation and Entrepreneurship Development Fund
  This scheme provides funding in the form of finances and support to startups in Hong Kong.
• Design Incubation Program
  This funding is for new startups associated with creativity. It provides support to startups in the form of education, training, finances, and access to potential markets.
• Technology Voucher Program
  This voucher is given to startups whose business activities foster technological adoption and advancement.
• Youth Development Fund (YDF)
  This grant helps youths to establish their startups in Hong Kong. It also gives mentorship, support, and business-focused consultation programs. They also get an opportunity to work with Non-Governmental Organizations and expand their networks.
• Good seed
  This grant provides mentorship programs and funding worth HK$100,000 to startup businesses that deal with technology.
• The Retail Technology Adoption Assistance Scheme
  This fund is rolled out for startups that are in the retail sector and it enables them to tackle the problem of managing workforce demand.
• SIE FUND
  The Social Innovation and Entrepreneurship Development Fund (SIE) is rolled out to startups that offer solutions to combat social injustices and poverty. The SIE is allocated via different intermediaries as below:
  • Incubator by the Hong Kong council of social service. It supports social entrepreneurs through the provision of capital to Hong Kong citizens of 18 years and above who are engaged in startups that bring social impact to the young elderly and poor populace of Hong Kong.
  • Capacity building program by SOW (Asia) Foundation Limited whose intention is to empower startup owners with business skills that enable them to expand their business operation and attract capital funding.
  • Nurturing program by the Yeh Family Philanthropy ltd that aims to enable startups, senior undergraduates, and master’s students to come up with innovative business ideas that solve business and social programs.
• Patent Application Grant
  This grant through the commission of Innovation and Technology and the Hong Kong Council of Productivity enables the new startups in Hong Kong to secure their innovations through Intellectual Property rights. Grant allocation covers around 90% of the total patent cost an equivalent of HK$250,000 allocation.
• Subsidy Scheme
  This funding was rolled out under the Anti-Epidemic fund to encourage businesses in the private and public sector to apply 5G technology in their business undertakings. It reduces the cost incurred in 5G technology adoption.
• Other available grants
  • The CreatSmart Initiative
  • Research and Development Cash Rebate Scheme
  • The innovation and Technology Fund for Better Living
  • Partnership Research Programs

Common Grant Application Requirements for New Startups in Hong Kong

As a new Hong Kong startup grant applicant, you are to impress the funding entities because the grants are rolled out to the most brilliant viable business ideas. Such workable business ideas include the adoption of technology and ideas that solve problems like poverty and social injustices. There are usually no application fees charged for grants. Ensure that you do the following:

• Have a well-written business proposal
• Have a practical and relevant business idea
• Have a well-written business plan
• Have at least two co-founders where applicable.
• Have a working prototype where applicable.
• Ensure prompt submission of your grant application and follow up. If a grant does not limit the number of applications at one given time, send as many applications as is possible.

Hong Kong Startups and SMEs Funding

• Innovation and Technology Funding (ITF)
  This scheme is rolled out to companies who adopt technologies and to companies with unique innovations. It avails them the funding for research and options for partnering with other companies.
• SME Export Marketing Fund
  This funding is both for startups and SMEs in Hong Kong. It is rolled out to encourage these business owners to expand their businesses beyond the Hong Kong borders. Each successful business gets a total of HK$400,000 funding and there is no limit to the number of times you get to apply. This fund helps startups to do advertising related activities. This grant covers international trade exhibition costs, printing costs, Google, and YouTube advertisement costs among benefits.

Summary

Grants are allocated to businesses that bring about social impact in terms of poverty eradication and campaign against social injustices. Grants are extremely competitive as they do not require any application fee and the requirements are not stringent. Therefore, to qualify for a grant allocation as a new startup, you must ensure you are always on the lookout for such opportunities. You also need to ensure that you meet all the eligibility requirements for the category that you are applying for and that where applicable you send out as many applications as possible.

If you are a young person wondering what business to start and you have no capital, it would be more advantageous for you to focus on innovations that bring about social impact, technological adoption, and technological advancement.