The Small Entrepreneur Research Assistance Programme (SERAP) provides pre-venture capital funding to help Hong Kong startups with research and development. It offers up to HKD 4,000,000 in matching funds for projects lasting up to 2 years. Eligible companies must be incorporated in Hong Kong with less than 100 employees. Successful applicants go through a multi-step application and review process involving submissions, meetings, and a panel interview to assess the innovation, market opportunity, and progress of their proposed project. Funded startups work with assigned case officers and submit regular reports and milestone updates, with the goal of supporting Hong Kong innovation and competitiveness.

1. First-hand experiences with ITF SERAP programme Hong Kong Government Funding for Start-ups [email_address] @lissovski

2. Overview and Goals S mall E ntrepreneur R esearch A ssistance P rogramme “ Technology upgrading in the industry, competitiveness of HK" Emphasis on the innovation, IP component Pre-venture capital funding Great for bootstrapped start-ups Funds R&D only Equipment, tools, project staff salaries, other direct costs Won’t pay for office space, marketing, trademarking, etc. Project duration up to 2 years

3. Eligibility Stand-alone HK incorporated company Less than 100 employees Normally at least two people

4. Funding Gov matches Co's contribution dollar-for-dollar Up to HKD 4,000,000 Co contributes cash or manpower Really means cash; cash pays for manpower Quarterly contributions and disbursements Essentially unsecured interest-free loan Repaid from proj-related revenue or follow-on investment 5% of gross revenue 10% of follow-on investment Until fully repaid

5. Application Process – #1: Online Application “ Abstract” – 200 word elevator pitch “ Other Information in Support of the Application” – extended pitch 5-slide “deck” Team, product / innovation, market, opportunity, competition Team CVs Supporting materials Prototype screenshots, mock-ups, etc.

6. Application Process – #2: Preliminary Meeting Meet with 2 ITC people for 1-2hrs Must convince/intrigue them Working prototype / proof of concept goes a long way Revisions to the application suggested

7. Application Process – #3: Behind the Scenes ITC people from prelim meeting write a report You don’t see it 2-3 subject matter experts selected from a pool Application might be rejected at this stage

8. Application Process – #4: The Panel Meet about once a month 20-30 minutes per application Intense Q&A with 2-4 panelists + chairman Market, opportunity, competition, innovation, go-to-market, etc. Panelists far more informed than you might expect Yay/Nay decision same day

9. Yay. Next Steps Detailed project plan Quarterly milestones with concrete demonstrable progress Itemized expenditures by quarter Funding schedule Separate proj bank account Funding agreement signed Co’s first contribution, first Gov disbursement Off to the races

10. During the Project ITC Case Officer assigned to the proj Project Coordinator, Deputy Project Coordinator on the Co side Typically quarterly milestones Progress reports online In-person progress meeting Scheduled contributions and disbursements Formal process for project changes

11. Project Completion Unused gov funds returned + gov’s portion of proj bank account interest Proj bank account closed Formal audit of the proj bank account

12. Observations Application process a significant effort By design Reasonable overhead during the proj ITC people are genuinely there to help you succeed Benevolent bureaucracy Process Mission

13. More info http://www.itf.gov.hk/eng/SERAP.asp