FUNDING TO PROMOTE RESEARCH & DEVELOPMENT AND ENCOURAGE INNOVATION
These are incentives available to private sector enterprises that invest in the creation, design and improvement of new products and processes. Such businesses conduct investigative activities with the intention of making a discovery that can either lead to the development of such new products and processes or to the improvement of existing products
NAME OF PROGRAMME
OBJECTIVE OF INCENTIVE
WHO CAN BENEFIT
BENEFITS
FUNDING AGENCY
Seed Fund
ASSISTANCE TO ADVANCE RESEARCH INTO PROTOTYPES AND FUNDABLE IDEAS
The purpose of the Seed Fund is to advance research outputs into prototypes and fundable ideas for commercialisation.
Target Market:
The Seed Fund Programme is comprised of two sub-programmes:-
- The Higher Education Institution Seed Fund
- The Regional SME Seed Fund
Technology Innovation Agency
Technology Development Fund
FUNDING TO ADVANCE TECHNOLOGIES FROM PoC TO TECHNOLOGY DEMONSTRATION
Support development from Proof of Concept to Prototype and demonstration in an operating environment.
Target Market:
- The Higher Education Institutions and Science Councils
- SMME
- Start-up companies
- Component validation
- Prototype demonstration
- System model
Technology Innovation Agency
Pre-Commercialisation Fund
FUNDING TO SUPPORT DEVELOPMENT OF PRODUCTION OR SERVICE CAPACITY
To prepare innovators for follow-on funding through support for market testing and validation
Target Market:
- Higher Eduction Institutes and Science Councils
- SMMEs
- Start-up companies
- Technology transfer
- Technology commercialisation
- Business development
Technology Innovation Agency
Support Programme for Industrial Innovation (SPII)
SMALL R&D PROJECTS
Financial assistance for the development of commercially viable, innovative products and or processes and facilitate commercialization of such technologies.
South African private-sector enterprises. Specific provisions apply under the different schemes.
Product Process Development Scheme
Maximum of R2m grant
Matching Scheme
Maximum of R5m grant
The Industrial Development Corporation
Partnership in Industrial Innovation (PII)
LARGE R&D PROJECTS
Financial assistance for the development of commercially viable, innovative products and /or processes and facilitate commercialization of such technologies
South African private-sector enterprises. Specific provisions apply under the different schemes. |
A minimum grant of R10m. If the project is successful, the grant is repayable under pre-negotiated conditions. |
The Industrial Development Corporation
Science & Technology R&D Incentive – S11D of the Income Tax Act
To encourage private-sector investment in scientific and technological research and development activities.
The intention is to help the country achieve a target for R&D expenditure of 2% of GDP by 2030
Private-sector investors conducting R&D, the results of which the taxpayer intends to use in the production of income.
Operating Expenditure
Up to 150 % of qualifying expenditure incurred.
Depreciation Allowance
Accelerated depreciation: 50/30/20 basis.
The Department of Science & Technology
Technology and Human Resources in Industry Programme (THRIP)
To boost SA industry by supporting research and technology development, and enhancing the numbers of appropriately-skilled people.
All companies undertaking science, engineering and technology (SET) research, in collaboration with educational institutions, and with the aim of addressing the participating firms’ technology needs
50:50 cost-sharing grant, to a maximum of R8m per annum, across any number of projects
The Department of Trade and Industry
SEDA Technology Programme (STP)
The STP is part of an over-arching strategy to consolidate small business support activities
Registered, small South African companies.
50% grant for the cost of approved tools, machinery and equipment to a maximum of R800,000; and 80% grant for approved training and business development services to a maximum of R200 000
The Technology Transfer Division, Small Enterprise Development Agency (SEDA)
Technology Venture Capital Fund (TVC)
Business support and seed capital for the commercialisation of innovative products, processes and technologies.
South African SMME companie
Financial assistance to qualifying companies that wish to commercialise innovative products
The Industrial Development Corporation