Fund for Promoting the Development of Venture Investment in Small Businesses

INVESTMENT IN STARTUPS

How does it work?

The Fund for Promoting the Development of Venture Investment in Small Businesses in the scientific and technical sphere of Moscow provides preferential loans to innovative startups at the stage of Seed and Pre-seed, which received financial support in the form of private investment based on the results of a competition. The key goal of this initiative is to support the already existing investors and increase their number in Moscow, as well as to support the startups involved in innovative projects at the earliest stages and startups that received   investments.   

Loans shall only be granted if funds for the project are provided by a private investor. The amount of the loan from the Fund is twice as high as the amount of investment provided by a private investor. At the same time, the Fund takes a stake in the innovative enterprise as a security for the performance of obligations. 

To companies

Investors shall be selected by the Fund on the competitive basis. Investors cooperating with the Fund include well-known business angels and venture funds specialising in early stage project investment. 

How to prepare the application?

An application for joint investment in an innovative company and for an investment loan shall be submitted to the Fund by an investor. The application shall contain the following documents:

- short project description;

- presentation;

- copies of charter documents;

- expenditure estimate;

- project value estimate;

- Investor’s application with the schedule of tranches;

- target indicators of efficiency and a calendar plan for achieving them;

- financial model;

- investment agreement (term-sheet) on the basic terms of a transaction between the Investor and the Innovative Enterprise.

Procedure for considering the application:

- submission of an application by an investor;

- preliminary consideration of the application by the Fund’s experts;

- presentation of the application at the meeting of the Fund’s Expert Council;

- confirmation of depositing the funds from the Investor;

- signing an Agreement on Joint Investment;

- signing an Investment Loan Agreement;

- signing a Pledge Agreement;

- transferring the Fund’s money to the innovative enterprise.

The application shall be considered in 20 to 30 business days. You can get consultation on how to prepare the application from the Fund’s experts using the telephone: 8 (495) 780-92-77/76.

PRE-IPO FINANCING

How does it work?

The Fund for Promoting the Development of Venture Investment in Small Businesses in the scientific and technical sphere of Moscow provides preferential loans to companies preparing for an IPO and having received financial support in the form of private investment based on competition results. The key goal of this initiative is to support hi-tech companies preparing for an IPO on MII MICEX RTS by providing an investment loan with a preferential interest rate.  

Investment loans shall be provided at an interest rate of one discount rate of the Central Bank of Russia for a period of up to 3 years in the amount of 1 m RUB to 10 m RUB in one campaign. The loans shall only be granted if funds for the project are provided by a private investor. The amount of the loan from the Fund is twice as high as the amount of investment provided by a private investor. The loan shall be repaid upon the completion of the IPO procedure.

The investors shall be selected by the Fund based on competition results.

How to prepare the application?

An application for joint investment in an innovative company and for an investment loan shall be submitted to the Fund by a listing company. The application shall contain the following documents:

- the description of an innovative enterprise;

- presentation of the enterprise;

- copies of charter documents;

- roadmap of IPO preparation;

- enterprise value estimate;

- expenditure estimate;

- financial model of the enterprise;

- an agreement on the provision of loan funds by the listing company to the innovative company.

Procedure for considering the application:

- submission of an application by a listing company;

- preliminary consideration of the application by the Fund’s experts;

- presentation of the application at the meeting of the Fund’s Expert Council;

- singing an Agreement on Joint Investment;

- signing an Investment Loan Agreement;

- signing a Pledge Agreement;

- confirmation of depositing the funds by a listing company;

- transferring the Fund’s money to the innovative enterprise.

The application shall be considered in 20 to 30 business days. You can get consultation on how to prepare the application from the Fund’s experts using the telephone: 8 (495) 780-92-77/76.