The incubator’s role is to invest in companies in their early stages and to provide a framework that supports the establishment of the company and the development of the idea into a commercial product. The incubators are chosen in a competitive procedure for a franchise period of 8 years and are deployed around the country. The list of technology incubators appears on the Innovation Authority website.
Goal of the incentive program:
To support entrepreneurs with a technology idea in the early stages of R&D who are having difficulty raising private financing and who need the labs’ support to reduce the project’s risks and achieve a significant funding milestone.
Who is the incentive program for?
- Private entrepreneurs interested in founding startup companies within the framework of the incubators.
- New Israeli startup companies owned by private entrepreneurs who are interested in developing a commercial product.
- Researchers and institutions that are interested in establishing startup companies with the incubators on the basis of groundbreaking studies.
- Entities that are interested in establishing technological incubators in Israel in accordance with a relevant call for proposals.
What do you get?
- A grant of up to 85% of the approved budget up to a maximum budget of NIS 3.5 million, for an perative period of up to 2 years (according to the project type and the incubator's geographical location).
- A further grant for a third year according to the program's regulations.
- Investment financing from the incubator to supplement state funding, of up to 15% of the approved budget, thereby completing 100% of the total budget. No financial investment is required by the entrepreneur.
- Comprehensive assistance from the incubator, including physical space and infrastructure, dministrative services, technological and business guidance, legal advice and access to partners, additional investors, and potential customers.
- As part of the Innovation Authority's Bio-Convergence program that focuses on innovative solutions combining the fields of biology and engineering (such as electronics, AI, computational biology, physics, nanotechnology, materials science, and advanced genetic engineering, for meeting challenges in the fields of medicine, agriculture, food, energy, and defense) increased grants of between NIS 2.5 million – NIS 3.5 million will be awarded for the initial implementation period.
Why should you apply for this incentive program?
Attractive conditions: the entrepreneurs are not required to establish a company before the project is approved by the Innovation Authority. The incubator provides the entrepreneurs with the infrastructure necessary for setting up the company and developing the project.
Experienced partner: the incubator is a partner with vast experience and expertise in leading startups and commercializing products. It facilitates follow-on investments in companies that have graduated from the incubator and assists them in raising financing and preparing for product marketing, including penetration of target markets.
Administration: the incubator takes care of the ongoing contact with the Innovation Authority and allows the entrepreneurs to focus on research, development, and promotion of the company.
Attractive conditions: low risk, high leverage, a degree of certainty.
Israeli companies seeking further information on the requirements and application process to this program, should refer to the Israel Innovation Authority's Hebrew site: https://innovationisrael.org.il/startup/programsrnd/incubators