Technology Investment Support Program

KOSGEB, KOBİ Teknolojik Ürün Yatırım Destek Programı (KOBİ TEKNOYATIRIM) Uygulama Esasları revize edilerek tekrar uygulamaya girmiştir. Destek Programının amacı, aşağıdaki listesi yer alan Desteklenen Teknoloji Alanlarındaki Ar-Ge ve Yenilik faaliyetleri sonucu ortaya çıkan yeni ürün/ürünleri ticarileştirmek, ülke ekonomisine katma değer oluşturmak, uluslararası pazarlarda yer alarak teknolojik ürün ihracatını artırmak için işletmelerin yapacakları Teknolojik Ürün Yatırımlarının desteklenmesidir. Program kapsamında Teknolojik Ürünü Geliştirenler (Teknolojik Ürünün Sahipleri) ve Kullanım Hakkını Sözleşme ile Sahibinden Devralanlar destekten yararlanabilmektedir. Destek programı kapsamında Orta-Yüksek ve Yüksek Teknoloji Alanlarındaki Ürünlerin üretimi için proje başına geri ödemesiz (hibe) ve geri ödemeli olarak toplamda azami 5 milyon TL ve Orta-Düşük ve Düşük Teknoloji Alanlarındaki Ürünlerin üretimi için proje başına geri ödemesiz (hibe) ve geri ödemeli olarak toplamda azami 500 bn TL destek verilebilmekte olup destek tutarının %25’i kadar Erken Ödeme (Avans Ödeme) alma imkanı bulunmaktadır.

Supported Technology Areas: https://www.kosgeb.gov.tr/Content/Upload/Dosya/kobi-teknoyatirim/2019.01.30/Teknoloji_Alanlar%C4%B1_Tablosu.pdf

KOSGEB's relevant page: https://www.kosgeb.gov.tr/site/tr/genel/destekdetay/6443/kobi-teknoyatirim-kobi-teknolojik-urun-yatirim-destek-programi

For online application: https://edevlet.kosgeb.gov.tr

(A short presentation explaining how to log in to the online application system:) https://1drv.ms/b/s!AvA4x730lOhbg9JwfayX09v9lqrgdw)

Definitions

Who can apply?

SMEs that are natural or legal persons according to the Turkish Commercial Code, whose Technological Product prototype work has been completed in accordance with at least one of the following criteria, or who have acquired Intellectual Property Rights from the rights holder through a contract, and who are actively registered with KOSGEB (having an up-to-date SME Information Declaration) and were established at least one year prior to the support application:

Criteria regarding how the prototype emerged.

Detail

Research and development or innovation projects resulting from support by KOSGEB and other public institutions and organizations, foundations established by law, or international funds.

• Support is provided for technological products that have been successfully completed as a result of R&D and Innovation Projects supported by public institutions and organizations, foundations established by law, or international funds, and for which an application is submitted within 5 years from the date of project completion. The completion date of projects supported by KOSGEB is the date of the Board's decision.
• Owners or heirs of technological products resulting from successfully completed R&D and Innovation Projects or Doctoral studies must have transferred their legally recognized financial rights to the Company, either mutually or gratuitously, with unlimited duration, location, and content, through a notarized usage agreement.

Protected by a patent certificate.

• For patent applications related to technological products, the patent must have been obtained no more than 5 years prior to the application date.
• If the right to use a technological product protected by a patent has been transferred, a patent transfer must have been completed at the Turkish Patent and Trademark Office.

It emerged as a result of doctoral research.

• For technological products resulting from doctoral studies conducted by the business owner or partner, applications to the program must be submitted within 5 years of the doctoral graduation date.
• Owners or heirs of technological products resulting from successfully completed R&D and innovation projects or doctoral studies must have transferred their legally recognized financial rights to the company, either mutually or gratuitously, without limitation in terms of duration, location, and content, through a notarized usage agreement.

Having obtained a Technological Product (TÜR) Experience certificate.

• Businesses applying for a Technological Product (TÜR) Experience Certificate for Technological Products resulting from R&D and Innovation activities carried out domestically or abroad using their own resources must ensure that their certificates are up-to-date as of the application date.

Supporting

Technology Field Level

Maximum Support Amount Limit Per Project

• Medium-High Technology Fields
• High Technology Fields

5 million TL

• Medium-Low Technology Fields
• Low Technology Fields

500,000 TL

Increase the support upper limit:

The KOSGEB Presidency may increase the upper limit of support by up to twice the original amount, with the approval of the Presidency, taking into account regional, sectoral, and scale criteria, as well as technology level and specific target groups, in line with the goals determined in Development Plans, Government Programs, and Annual Programs, and the priorities in strategic documents. In this case, the additionally determined upper limits for the support elements are also increased proportionally.

Early Payment (Advance):

Yatırım projesi başvurusu aşamasında İşletmenin talep etmesi halinde teminat karşılığında erken ödeme yapılabilir. Erken ödeme tutarı, projenin kabul edildiği ilk kurul kararında belirtilen toplam desteklemeye esas tutarın %25’ini geçemez ve her hâlükârda destek üst limitinin %25’ini aşamaz.

Supported Expenditures

Support Pen

Conditions

Support Amount Upper Limit and Rate

Machinery, Equipment and Mold Expenses

• The machinery, equipment, and molds to be purchased under the support program must be new. However, machinery and equipment previously imported can be considered for support if they were new at the time of import and are no more than 3 years old as of the investment project application date.
• Minimum Technical Specifications:
  • The Board Decision includes the Minimum Technical Specifications for each Machine-Equipment and Mold approved for support. The Implementing Unit will make the support payment, taking into account the amount determined by the Board for the relevant expenditure item, provided that the Machine-Equipment, Mold, and Software meet the Minimum Technical Specifications in the Board Decision.
  • If the purchased machinery, equipment, and molds do not meet the minimum technical specifications in the Board's decision, the Implementing Unit will forward this matter to the KOSGEB Unit acting as the Board's secretariat via the KBS system for evaluation by the Board. The Board's decision will be communicated by the KOSGEB Unit acting as the Board's secretariat to the Implementing Unit, and from the Implementing Unit to the business. If approved by the Board, the support payment may be made.

For Machinery and Equipment with a *Made in Turkey Certificate*:

• Geri Ödemesiz (Hibe) destek oranı: %75
• Geri Ödemeli destek oranı: %25

Hem geri ödemesiz hem de geri ödemeli destekten yararlanılması halinde destek oranı %100 olmaktadır.

* For support payment requests, the certificate of domestic goods submitted must be current as of the invoice date or the date of the payment request.

For machinery and equipment that do not have a "Made in Turkey" certificate:

• Geri Ödemesiz (Hibe) destek oranı: %60
• Geri Ödemeli destek oranı: %40

Hem geri ödemesiz hem de geri ödemeli destekten yararlanılması halinde destek oranı %100 olmaktadır.

Production Line Design Costs

• The company will receive non-reimbursable support for Production Line Design Expenses related to the product in its investment project.

• Support Amount Upper Limit: Maximum %3 of the total approved support amount for Machinery-Equipment and Mold expenses.
• Geri Ödemesiz (Hibe) destek oranı: %60

Software Expenses

• The business will receive non-refundable support for the software expenses related to the production of the product subject to the investment project, specifically for the license fee of the newly acquired software and/or the time-limited license usage fee for the duration of the project.
• Minimum Technical Specifications:
  • The Board Decision includes the Minimum Technical Specifications for each Machine-Equipment and Mold approved for support. The Implementing Unit will make the support payment, taking into account the amount determined by the Board for the relevant expenditure item, provided that the Machine-Equipment, Mold, and Software meet the Minimum Technical Specifications in the Board Decision.
  • If the purchased machinery, equipment, and molds do not meet the minimum technical specifications in the Board's decision, the Implementing Unit will forward this matter to the KOSGEB Unit acting as the Board's secretariat via the KBS system for evaluation by the Board. The Board's decision will be communicated by the KOSGEB Unit acting as the Board's secretariat to the Implementing Unit, and from the Implementing Unit to the business. If approved by the Board, the support payment may be made.

For Locally Produced Certified* Software:

• Geri Ödemesiz (Hibe) destek oranı: %75

* For support payment requests, the certificate of domestic goods submitted must be current as of the invoice date or the date of the payment request.

For software that does not have a "Made in Turkey" certificate:

• Geri Ödemesiz (Hibe) destek oranı: %60

Personnel Expenses

• Non-refundable support is provided for personnel to be newly employed within the scope of the investment project. Personnel who have not been employed in the company within the last 4 months from the start date of the investment project are considered as new employees.
• The Board decides on the number, qualifications, salary, and duration of support for personnel requested under the investment project.
• The monthly net salary, which forms the basis for support to the business within the scope of personnel expenses, is determined by the Board, not exceeding the following upper limits.
  • Twice the Gross Minimum Wage for educational qualifications up to undergraduate graduation.
  • Three times the gross minimum wage for bachelor's degree graduates.
  • Four times the gross minimum wage for master's degree graduates.
  • Five times the gross minimum wage for PhD graduates.
• The company receives non-reimbursable support for personnel expenses based on net wages. Additional payments such as Minimum Living Allowance (AGI), bonuses, premiums, overtime, etc., are not included in the net wage.

• Geri Ödemesiz (Hibe) destek oranı: %60

Training expenses related to the use of purchased machinery, equipment, and software.

• Training Expenses support covers the costs of training services that personnel involved in the investment project will receive from the service provider from whom the Machinery, Equipment and Software were purchased, regarding the use of the relevant Machinery, Equipment and Software.
• Educational support covers only the cost of tuition. It does not cover food, accommodation, or transportation expenses.

• Maximum limit for non-refundable (grant) support amount:

If the product in question falls within the Medium-High and High Technology sectors, the investment project fee is 150,000 TL.

If the product subject to the investment project falls within the Medium-Low and Low Technology sectors: 30,000 TL

• Geri Ödemesiz (Hibe) destek oranı: %60

Consulting Fees

• Consultancy support covers consultancy expenses incurred by the business from the following institutions for the development and implementation of its investment project, on the topics listed below.
  • Supported consulting service topics:
    • Consulting services on technical matters.
    • Consulting services received in the field of design.
    • Consulting services received in the field of engineering.
    • Consulting services received in the field of finance.
  • Institutions from which consultancy services can be obtained within the scope of the support:
    • Universities in Turkey/Abroad
    • Technology Transfer Offices
    • Technology Development Zone Management Companies
    • Faculty members assigned to Technology Development Zones/Technology Transfer Offices
    • Faculty members whose companies are located in the Technology Development Zone.
    • Companies that provide technical consultancy services related to engineering activities.
    • Individuals designated as SME Consultants by the Vocational Qualifications Authority (MYK).
    • Research Centers/Institutes established by public institutions/organizations
• Consultancy support covers only the consultation fee. It does not cover food, accommodation, or transportation expenses.

Promotion and Marketing Expenses

• Non-reimbursable support will be provided for the expenses listed below related to the promotion and marketing of the product that is the subject of the investment project.
  • Expenses related to promotion in print and visual media.

• Expenses related to product promotion in print and visual media include the company's advertising in domestic print publications and domestic visual media.

• • Expenses for advertising in print publications published or distributed abroad.
  • Brochure/catalog printing
    • The brochure and catalog include the KOSGEB logo and website address.www.kosgeb.gov.tr) must be included.
  • Membership fees for electronic commerce (e-commerce) websites.
    • Membership fees for electronic commerce (e-commerce) sites are regulated by the Ministry of Trade. On the List of Approved E-Commerce Sites This includes membership fees to the e-commerce sites listed. Membership to these e-commerce sites must be for at least one year.
    • However, support is not provided if the membership fee to e-commerce sites only covers on-site advertising and banner advertising costs.
  • Expenses for participation in international trade fairs.
    • Expenses for participating in international trade fairs include the following:.
      • booth rental
      • Stand construction
      • Stand decoration
      • Shipping and storage costs, as well as shipping insurance.

• Maximum support limit: 200,000 TL

• Support amount upper limits based on sub-items:

• • The maximum support amount for expenses related to product promotion in print and visual media is 10,000 TL.
  • The maximum support amount for expenses related to advertising in print publications published or distributed abroad is 30,000 TL.
  • The maximum support amount for expenses related to the preparation/printing of brochures and catalogs is 20,000 TL.
  • The maximum support provided for membership fees of domestically based e-commerce sites during the program period is 10,000 TL.
  • The maximum support provided for membership fees of foreign-based e-commerce sites during the program period is 30,000 TL.

• Geri Ödemesiz (Hibe) destek oranı: %60

Project duration:

• Maximum 36 months

• Upon request of the company, an additional period of up to 6 months may be granted by a decision of the Board. Including this additional period, the total duration of the investment project cannot exceed 36 months.

Points to consider

• Before applying Implementation Guidelines examination and the product to be produced Priority Technology Areas It must be determined whether or not it is included.

• Businesses can benefit from the SME Technological Product Investment Support Program only once.
  • Businesses that have benefited from the Turkish Ministry of Industry and Technology's Technological Product Investment Support Program and/or the KOSGEB Industrial Application Support Program can benefit from this support program for a different product.
• A company whose investment project application has been rejected cannot reapply to KOSGEB for the same investment project.
• VAT is not included in the support program.
• Expenses incurred before the support start date are not eligible for support.
• Businesses cannot purchase goods/services under this support program from their owners, partners, their spouses, mothers, fathers, siblings, children, or businesses owned or co-owned by them. If such a situation is detected, no support payment will be made.
• Excluding legal obligations such as taxes and social security contributions, support cannot be received from different institutions/organizations for the same expense.
• If the business has tax and/or social security debts exceeding the limits specified in the relevant legislation, in accordance with the request stated in the Business Payment Request Form; firstly, the debt amount will be deducted from the support amount and transferred to the bank account of the relevant institution/organization, and if there is any remaining amount, it will be transferred to the business's bank account as a support payment.
• Payment may be made to the Service Provider only for machinery and equipment purchases, provided that the Company's Social Security Institution (SGK) debt and/or tax debt does not exceed the limits specified in the relevant legislation, in accordance with the Company's request in the Payment Request Form, and subject to the approval of the Implementation Unit. If payment is made to the Service Provider, the Company's contribution, taxes, and similar differences must first be paid to the Service Provider or deposited into the letter of credit account.
• If the purchase is made from abroad via letter of credit; an Irrevocable Letter of Credit is opened in the name of the Service Provider, and this is done by blocking the company's bank account along with the letter of credit opening instruction.
• In reimbursable support programs,
  • In order for the support payment to be made, a Letter of Guarantee or a Letter of Guarantee from the Credit Guarantee Fund (KGF) equal to the support amount must be obtained from the business before the support payment is made.
    • If a bank guarantee letter is obtained, it must cover a period of at least two months after the final repayment date. However, if the company cannot obtain a long-term bank guarantee letter, a bank guarantee letter with a minimum validity of one year may be accepted.
    • If a Letter of Guarantee is obtained from KGF (Credit Guarantee Fund), the maturity date must be until the last day of the month following the final payment date of the support. If machinery and equipment are purchased with a Letter of Guarantee, KGF may establish a pledge, block, or lien as security for the guarantee.
  • Repayments for repayable grants will be made in 8 equal installments over 3-month periods, with a 6-month grace period following the completion of the investment project. The repayment date for the first installment is the first business day following the 6-month period after the completion of the investment project.
  • If the investment project is extended, the extended period will be added to the project's completion date, the repayment schedule will be recalculated, and the company will be notified.
  • If the investment project is terminated, the date of the Board's decision will also be the project's completion date, and the repayment schedule will be determined and communicated to the company accordingly.
  • No interest or commission will be applied to repayable grants provided to businesses, provided repayments are made on time.
• For goods and services purchased from abroad, if the price is stated in foreign currency on the invoice, payment will be made in Turkish Lira using the Turkish Central Bank's foreign exchange buying rate and based on the date the invoice was issued.
• In cases where an invoice cannot be issued by the foreign service provider for services purchased abroad, the document proving payment is used as proof of payment.
• To receive the support payment, a bank statement proving the expenditure must be submitted. A bank statement refers to any payment made using banking instruments (credit card, check, promissory note, etc., provided they are documented with account statements). For payments made with checks endorsed by the business, a letter from the service provider confirming payment of the business's debt must be obtained.
  • Regulation on the Payment of Wages, Premiums, Bonuses and All Kinds of Entitlements of This Nature Through Banks, published in the Official Gazette dated 18/11/2008 and numbered 27058 Article 2, Paragraph 2, Defense Industry Security Law No. 5202 dated 29/6/2004 Within this scope, workplaces that possess a Facility Security Certificate. Technology Development Zones Law No. 4691 dated 26/6/2001 those employed in classified facilities within the scope of and dated 1/11/1983 Law No. 2937 on State Intelligence Services and the National Intelligence Organization Payments to those assigned to perform duties specified in the regulations issued pursuant to this Law are exempt from the requirement to be made through banks. Therefore, bank receipts are not required for personnel management support payments made to businesses operating in workplaces and facilities that are exempted under this provision.
• The ownership of machinery, equipment, molds, software, and similar movable assets purchased with support under the Investment Project belongs to the Enterprise, and these assets cannot be leased, transferred, or pledged to any other person, institution/organization in any way, except to the Credit Guarantee Fund Inc., during the project period, from the project completion date to the project completion date, and for a period of 3 years after the project completion date. If the purchase of these assets is secured by a Letter of Guarantee issued by the Credit Guarantee Fund, the Credit Guarantee Fund may establish a right of lien, blockage, or attachment as security for the guarantee. In case of any precautionary measure, provisional attachment, or provisional seizure, the situation must be reported in writing to KOSGEB within 7 days, along with all supporting documents.
• If a business closes within three years of the project's completion, its status will be evaluated by the Implementation Unit based on the information and documents submitted. If, as a result of this evaluation, it is determined that the business closed due to reasons that hindered its operations without intent or gross negligence, then non-refundable grants will not be reclaimed; refundable grants will be collected in accordance with the appropriate procedure. Otherwise, non-refundable grants will become due and payable from the payment date and will be collected along with accrued legal interest.

Evaluation process

Evaluation Phase

Detail

Preliminary Assessment

• The compliance of the investment project application approved by the company in the KBS (Small and Medium Enterprises Development Organization) with KOSGEB regulations in terms of documents and format is checked by the Personnel Responsible for the Company, and the SME Technology Investment Support Program Project Preliminary Evaluation Form included in the appendix is completed. The preliminary evaluation is completed within a maximum of 15 days.
• As a result of the preliminary assessment, investment project applications may be requested to be revised, applications may be rejected, or applications may be deemed appropriate.
• Project applications found to have errors and/or deficiencies in their projects and appendices as a result of the preliminary evaluation are opened for revision via the KBS system for necessary corrections, and the company is notified of this.
• Project applications rejected as a result of the preliminary evaluation are notified to the company along with the reasons for rejection.
• Project applications deemed suitable during the preliminary evaluation will continue to be evaluated.

Evaluation

• If the investment project is deemed suitable in the preliminary evaluation, and if it is in the Medium-Low or Low Technology sector, the SME Technology Investment Support Program Application Form and its attachments, along with the SME Technology Investment Support Program Project Preliminary Evaluation Form, are forwarded by the Implementation Unit to the KOSGEB Unit, which manages the Board's secretariat, via the KBS system, for submission to the Board for evaluation and decision-making.
• If an investment project is deemed suitable during the preliminary assessment and falls into the medium-high or high technology sector, the evaluation of these projects is carried out in two stages: on-site inspection and board evaluation.
  • In the first stage, the Implementation Unit assigns at least one faculty member to prepare the SME Technology Investment Support Program Technical Review Form and at least one faculty member to prepare the SME Technology Investment Support Program Financial Analysis Form, in order to conduct an on-site inspection of the business and evaluate the project from a technical and financial perspective. The assigned faculty members submit the forms they have prepared to the Implementation Unit within 30 days.
  • In the second stage, for the evaluation and decision-making process of investment projects whose on-site inspection process has been completed, the SME Technology Investment Support Program Application Form and its attachments, the SME Technology Investment Support Program Project Preliminary Evaluation Form, and the SME Technology Investment Support Program Technical Review Form and SME Technology Investment Support Program Financial Analysis Form prepared by the assigned faculty members are submitted by the Implementation Unit to the KOSGEB Unit, which manages the Board's secretariat, via the KBS system, to be presented to the Board.
• The Board evaluates investment projects by scoring them based on factors such as the project's economic impact, technical competence, work-time planning, budget cost-effectiveness, and project sustainability. Based on the Board's evaluation, the investment project may be accepted, rejected, or revisions may be requested.
• The Board's decision is recorded on the SME Technology Investment Support Program Board Decision Form, which is attached. The SME Technology Investment Support Program Scoring Form and the Board Decision Form are signed by the Board members and registered. Only the Board Decision is communicated by the KOSGEB Unit, which acts as the Board's secretariat, to the Implementation Unit, and from the Implementation Unit to the Enterprise.
• The Implementation Unit requests that the company whose investment project has been accepted approve the SME Technology Investment Support Program Commitment Form, attached hereto, via the KBS system within 15 days of receiving the Board's decision. The notification also states that the company may benefit from early payment if requested and may request an extension of time to submit the Commitment Form. Projects of companies that fail to approve the Commitment Form within the specified time will be considered rejected. If the company fails to approve the Commitment Form within the deadline, it may request an extension. This request must be submitted in writing no later than 5 days after the expiry of the Commitment Form approval period. The Implementation Unit will grant the company a one-time extension of 10 days and notify the company. This extension period begins from the date the notification reaches the company.
• If the investment project is rejected by the Board, the reasons for rejection are written in detail on the Board Decision Form. When the company is notified of the Board's decision, it is also stated that it may appeal the decision, along with its reasons, once within 15 days from the date of receipt of the rejection decision.

For more information and questions: http://www.kosgeb.gov.tr/site/tr/genel/iletisim