Public calls

CREATE LIFE – Public Call for Participation in the Support Program for the Development of SMEES’ Competitiveness


 

On 06 March 2017 Development Agency of Serbia announced the Public call for participation in the support program for the development of SMEES’ competitiveness (herein reffered to as: Program). Through this Program, Development Agency of Serbia (hereinafter referred to as RAS) aims to promote entrepreneurship, business environment and increase the competitiveness of the SMEES sector and develop business infrastructure. Program consists of 3 components.

 

Component 1: Capacity building SMEES of Business and Management


 

Conditions for participation in the program

SMEES who cumulatively meet the following conditions have the right to participate in Component 1 and use the nonrefundable grants:

1) SMEES’ core activity is production or processing (the fulfilment of this condition is checked on the basis of activity codes, which are used for registration within the SBRA). Exceptionally, in the event that the predominant activity code of SMEES refers to activities that are excluded by this program, and the applicant is engaged in the production or processing, submission of relevant evidence is required to the relevant Committee in charge of assessing the fulfilment of the conditions;

2) are of majority domestic private ownership;

3) Have been registered in the Serbian Business Registers Agency (SBRA) before January 1, 2015;

4) had positive business results in 2016;

5) Maintain double-entry bookkeeping for the past two years;

6) have all liabilities for taxes and contributions settled;

7) Have not been prohibited from performing activities in the past two years;

8) That they have not been subject to bankruptcy or liquidation proceedings;

9) For all project activites applied for during this year, have not used budgetary subsidies approved by the Republic of Serbia, the budget of the Autonomous Province of Vojvodina and the budget of JLS;

10) They do not have any of the difficulties listed according to the definition contained in the Regulation on the rules for granting state aid.

 

The purpose of the grant 

Acceptable project activities:

1. Arranging business operations in accordance with the requirements of international business standards (implementation of standards, certification, re-certification);

2. Reconciliation of the product with the requirements for the right to use the product’s trademark;

3. Education of management and employees through specialized trainings;

4. New product design and packaging;

5. New product marketing.

The applicant may submit one application for participation in the program, and within the application may apply to only one activity, except in the case of applying for the implementation and/or certification and/or recertification of international standards operating within the framework of "Arranging business operations in accordance with the requirements of international business standards "in which all the sub-activities must be carried out within a period defined in the contract between the selected applicant and RAS.

This component will finance also the activities initiated after 1 January 2017 that have not been finalized before the time of publication of the call. All payments in connection with the implementation of project activities may be initiated in 2017 before the publication of the call, but they must not be completed.

The funds may not be used for:

1. Project activities are focused on sectors of the tobacco industry; organization of lottery games; production and sale of weapons and military equipment; Trade and primary agricultural production;

2. Projects related exclusively or mainly to individual scholarships for studies and training, as well as individual sponsorships for participation in workshops;

3. Projects connected with political parties;

4. Projects aimed at charity donations.

 

Amount of non-refundable grants

Available funds are approved per project as co-financing to 50% of the total amount of refundable costs without VAT.

Maximum amount approved by RAS according to activities: 

1. Arranging business operations in accordance with the requirements of international business standards – if applying for one sub-activity only (implementation or certification or re-certifcation) up to 300.000,00 RSDa; if applying for more than one sub-activity (implementation and/or certification and/or re-certifcation) up to 500.000,00 RSD;

2. Reconciliation of the product with the requirements for the right to use the product’s trademark – up to 500.000,00 RSD;

3. Education of management and employees through specialized trainings – up to 300.000,00 RSD;

4. New product design and packaging – up to 300.000,00 RSD;

5. New product marketing – up to 300.000,00 RSD.

 

Total budget for Component 1 is 30.000.000,00 RSD.

 

The deadline for completion of all contracted activities and the realization of payments within the approved project is 6 months from the date of signing the contract with RAS.

 

Refundable costs are all costs incurred by the approved beneficiary, provided that:

(1) They have been listed within the project budget;

(2) They are required for implementation of project activities;

(3) That they are measurable and recorded according to applicable accounting standards;

(4) That they are reasonable and in accordance with the requirements of financial management, particularly economy and efficiency wise;

(5) That subject costs are not covered by any other funding sources (double-financing is not allowed).

 

Eligible costs within the supported activities:

1. Arranging business operations in accordance with the requirements of international business standards, the following costs are eligible:

Engagement of the Supplier for the preparation of technical documentation required for assurance of conformity to a particular international standard;

Standard implementation;

Certification;

Re-certification.

2. Reconciliation of the product with the requirements for the right to use the product’s trademarkthe following costs are eligible:

Engagement of the Supplier for reconcilitation of the product for the right to use the products’ trademark;

Product testing with relevant examination bodies and obtaining confirmation on approval.

3. Education of management and employees through specialized trainingsthe following costs are eligible:

Engagement of the Supplier (Lecturer, trainer, menthor).

4. New product design and packagingthe following costs are eligible:

Production of the conceptual design with the description of technical characteristics;

Engagement of the Supplier.

5. New product marketing, the following costs are eligible:

Engagement of the Supplier;

Production of the marketing plan for the new product.

 

Non-refundable funds may not be used for:

Arrears from duties and taxes, loans and installment loans;

Costs of guarantees, insurance, interest, costs of banking operations, foreign exchange gains;

Fines, financial penalties and expenses of litigation;

Customs costs;

Enforced collection costs;

VAT. 

 

 

Required documents for application

1. Form 1 – Project application (completed, signed and stamped);

2. Form 2 – Applicant’s Statement on Accepting the Conditions for Grant;

3. Form 3 – Statement on Awarded State Aid of Small Value (de minimis state aid;

4. Form 4 - A statement that there is no Provider in the territory of the Republic of Serbia which can meet the demand of the Applicant (if the Applicant is hiring a Provider);

5. Form 6 – Checklist;

6. CVs of the project team members, with a reference list;

7. The Providers’ offer for the proposed project, stamped and signed by the Provider, with a clearly defined subject and scope of activities, implementation deadline and price of services expressed in RSD and a calculated VAT;

8. Certificate from the relevant tax administration authority that all public revenues have been paid (taxes and contributions), which must not be issued before the date of announcement of the Public Call (an original or a copy certified by the relevant certification body);

9. Financial documents: Balance sheet, income statement and statistical report for 2016 - a copy of the Registration Certificate for the regular annual financial report for 2016 issued by SBRA. If the applicant has not obtained the Registration Certificate for the regular annual financial report for 2016, they should submit the balance sheet, income statement and statistical report for 2016, signed and stamped by the person responsible for the preparation of financial reports and a written statement of the legal representative of a legal entity/entrepreneur that the document is authentic and identical to the copy submitted to the SBRA for final processing.


 

RAS reserves the right, if necessary, to request additional documentation from the Applicant, but only in case of complete applications.

 

How to apply and the deadline for submission of applications

Poject applications completed with all required forms and documents are submitted in person of by registered post to the Development Agency of Serbia with the following marking: Prijava na javni poziv za učešće po Programu podrške razvoju konkurentnosti SMEES u 2017. godini - Component 1.

Full list of Regional Development Agencies with relevant contacts is published HERE.

 

Public Call for Component 1 is open for the period of 60 days from the announcement, i.e., until May 05, 2017.

For more information please contact RDAs or RAS atpodizanjekapaciteta@ras.gov.rs.

 

Supporting documentation:

Instruction

Form 1 - Project application

Form 2 - Applicant’s Statement on Accepting the Conditions for Grant

Form 3 - Statement on Awarded State Aid of Small Value

Form 4 - A statement that there is no Provider in the territory of the Republic of Serbia which can meet the demand of the Applicant

Form 5 – Request for refund

Form 6 - Checklist

Component 2: Support to networking of business entities

Conditions for participation in the program

Right to participate in the Component 2 and use of grants have clusters, business associations, cooperations and business incubators that meet the following general requirements:

1. They have been registered in the SBRA before 01.01.2016;

2. Have a majority domestic ownership;

3 To provide support to at least threee present SMEES members whose activities cover production, processing or services and that belong to the same sector or value chain;

4. That they have not been subject to bankruptcy or liquidation proceedings;

5. Have all liabilities for taxes and contributions settled;

6. had positive business results in 2016;

7. Have not been prohibited from performing activities in the past two years

8. For all project activities applied for during this year, have not used budgetary subsidies approved by the Republic of Serbia, the budget of the Autonomous Province of Vojvodina and the budget of JLS;

9. They do not have any of the difficulties listed according to the definition contained in the Regulation on the rules for granting state aid;

10. That their Statutory / Founding Act defining activities oriented to support SMEES.

 

Purpose of the grant

 Project activities subject to co-financing by RAS:

  • Procurement of joint production equipment;

  • Infrastructural furnishing of the existing or new joint workspace;

  • Renovation of the existing or new joint workspace;

  • Development of the joint production process.

.

 

Projects not accepted according to this Program:

1. Project activities are focused on sectors of the tobacco industry; organization of lottery games; production and sale of weapons and military equipment; Trade and primary agricultural production;

2. Projects related exclusively or mainly to individual scholarships for studies and training, as well as individual sponsorships for participation in workshops;

3. Projects connected with political parties;

4. Projects already financed by government/state aid/grants

5. Projects aimed at charity donations

The applicant may submit only one proposal for participation in the Program, within which he/she may apply for project activities.

  

Total grant value

Available funds are approved per the project as co-financing up to the amount of 50% of the total eligible costs excluding VAT, with the maximum amount of 2,000,000.00 RSD


 

Total budget for Component 2 amounts to 40,000,000.00 RSD.

 

The deadline for completion of contracted activities and the processing of payments within the approved project is 6 months from the date of signing the contract with RAS.

 

Refundable costs are all costs incurred by the approved beneficiary, provided that:

(1) They have been listed within the project budget;

(2) They are required for implementation of project activities;

(3) That they are measurable and recorded according to applicable accounting standards;

(4) That they are reasonable and in accordance with the requirements of financial management, particularly economy and efficiency wise;

(5) That subject costs are not covered by any other funding sources (double-financing is not allowed).

 

Eligible expenses within supported activities include the following costs:

 

1. For co-financing of joint procurement of production equipment the following is included:

procurement costs of machinery and equipment not older than 5 years (production, laboratory, etc.);

procurement costs of handling the transport means included in the process of manufacture and internal transport;

purchase costs of new parts, special tools for machines;

costs of equipment installation.

Note: machinery and equipment subject of the procurement under the Project may not be purchased from private individuals, unless the seller of the machinery / equipment is registeredentrepreneur.

2. Infrastructure equipment / adaptation of existing or new workspace is eligible for:

•  Costs of expansion, alterations or reconstruction of the area. The space used for works needs to be the property of the applicant or a participant (SMEES) on the project, or it can be rented provided that there is a multi-year contract to rent the same (minimum 5 years).

3. For the development of a common manufacturing process the following costs are acceptable:

the cost of commissioning the process;

the cost of technology transfer;

cost of developing test models and prototypes;

purchase costs of non-patent technical knowledge and experience (know-how).

 

Non-refundable funds may not be used for:

1) Arrears from duties and taxes, loans and installment loans;;

2) Costs of guarantees, insurance, interest, costs of banking operations, foreign exchange gains;

3) Fines, financial penalties and expenses of litigation;

4) Customs costs;

5) Enforced collection costs;

6) VAT;

7) Costs incurred for purchase of equipment such as customs and administrative costs, transport costs, freight forwarding, storage and manipulation.

 

Documents required for application

1) Form 1 - Project application (completed, signed and stamped);

2) Form 2 - Applicant’s Statement on Accepting the Conditions for Grant;

3) Form 3 - Statement on Awarded State Aid of Small Value (de minimis state aid);

4) Form 4 – Project budget;

5) Form 5 - Checklist;

6) CV’s of all participants in the project, with their list of references;

7) Agreement on technical and business cooperation (between the Applicant and SMEES project participant);

8) Form 7 - A statement that the process of liquidation or bankruptcy is not registered, nor that it ceased to exist due to a court or a decision of another body with binding force and was not in difficulty according to the definition of undertaking under the Decree on the rules for granting state aid (for all participants in the project);

9) The certificate of the competent tax authority that the applicant has met all government revenues (taxes and contributions), which may not be issued prior to the date of publishing the public invitation (original or certified copy) (for the applicant and all participants in the project);

10) Balance sheet, income statement and statistical report for 2016 - a copy of the Registration Certificate for the regular annual financial report for 2016 issued by APR. If the applicant has not obtained the Registration Certificate for the regular annual financial report for 2016, they should submit the balance sheet, income statement and statistical report for 2016, signed and stamped by the person responsible for the preparation of financial reports and a written statement of the legal representative of a legal entity/entrepreneur that the document is authentic and identical to the copy submitted to the APR for final processing);

11) A copy of the Statutory / Founding Act clearly stating the defined activities oriented to support SMEES;

12) If the subject of co-financing "Infrastructural existing or new workspace - adaptation of rented space", a space where the operations are carried out is not owned by the applicant or one of the participants (SMEES) on the project, it is necessary to submit the contract on the lease of office space for at least 5 years.

 

RAS reserves the right, if necessary to request additional documentation from the applicant, but only for a full and complete application.

 

How to apply and the deadline for submission of applications

Applications with all the necessary forms and documents are to be submitted in person or by registered mail to:

Development Agency of Serbia 

Kneza Miloša 12, Beograd,

Administration office - 309, marked as: Prijava na javni poziv za učešće po Programu podrške razvoju konkurentnosti SMEES u 2017. godini - Component 2.

 

Public Call for Component 1 is open for the period of 60 days from the announcement, i.e., until May 05, 2017.

For more information please contact RDAs or RAS at: podrskaumrezavanju@ras.gov.rs.

 

Additional documentation:

Instruction

Konkurentnost Komp 2 Form 1- Project application - Competitiveness

Konkurentnost Komp 2 Form 2 – Applicant’s statement on accepting the conditions for grant approval

Konkurentnost Komp 2 Form 3 – Statement on granted state aid of small value

Konkurentnost Komp 2 Form 4 - Budget

Konkurentnost Komp 2 Form 5 - Checklist

Konkurentnost Komp 2 Form 6 – Payment request

Konkurentnost Komp 2 Form 7 – Statement for Project participants

Component 3: Support to creating supply chains

Conditions for participation in the program

The right to participate in Component 3 and the use of the grant have the SMEES who meet the following requirements:

 

1) within the framework of the project proposal submitted, at least two SMEES participate / consist of the supply chain;

 

2) have signed a joint Memorandum / Preliminary / Business Cooperation Agreement or the Letter of Intent with the Buyer.

 

3) Dominant SMEES activities are production, processing or services (fulfillment of this requirement is checked on the basis of activity codes under which they are registered in the SBRA). Exceptionally, in the event that the predominant activity code SMEES refers to activities that are excluded by this program, and the applicant is engaged in the production, processing or services it is necessary to provide proper evidence, on that basis the Commission will assess the fulfillment of the conditions;

4) majority domestic private ownership;

5) registered in SBRA before 1 January 2015;

6) have positively operated in 2016;

7) maintain books on the single or double-entry bookkeeping;

8) have settled liabilities for taxes and contributions;

9) did not have any restrictions or prohibition from performing activities for the last two years;

10) were not a subject to bankruptcy or liquidation proceedings;

11) for the same project activities did not apply within the current year, did not use incentives originating from the Budget Republic pf Serbia, budget of the Autonomous Province and a JLS;

12) do not have difficulty according to the definition contained in the Regulation on the rules for granting state aid.

 

Purpose of the grants

 

Eligible project activities:

1. Equipment operating in accordance with the requirements of international standards of operation (implementation of the standard, certification, re-certification);

2. Reconciliation of the product with the requirements for the right to use the product trademark;

3. The training of management and employees through specialized training;

4. Purchase of new or used (up to 5 years of age) production equipment.

 

Funds may not be used for:

1. The project activities are aimed at tobacco industry; organization of lottery games; production and sale of weapons and military equipment; Trade and primary agricultural production;

2. projects concerning only or mainly of individual grants to study and training, as well as individual sponsorships for participation in the workshop;

3. projects related to political parties;

4. projects aimed at charitable donations.

 

The applicant may submit an application for participation in one Program only, in which each of SMEES may apply for one activity only.

 

Iznos bespovratnih sredstava 

The available resources are granted individually, per SMEES, as co-funding in the amount of up to 50% of the total amount of eligible costs excl. VAT. Project activities that may be subject to co-financing by the RAS are:

1. Equipment operating in accordance with the requirements of international standards of operation (implementation of the standard, certification, re-certification):

- if competing for a single sub-activity (or the implementation of the certification or resertifkaciju) to 300,000.00 RSD

- if competing for the subactivity (implementation and / or certification and / or resertifkaciju) up to 500,000 RSD;

2. Reconciliation of the product with the requirements for the right to use the product trademark - up to 500.000,00 RSD;

3. The training of management and employees through specialized training – up to 300,000.00 RSD;

4. Purchase new or used (up to 5 years of age) production equipment - 2,000,000.00 RSD. 

Total budget for Component 3 is 30,000,000.00 RSD. 

The deadline for completion of contracted activities and the realization of payments within the approved project is 6 months from the date of signing the contract with RAS.

 

Eligible costs are costs actually incurred by the selected beneficiaries, provided that:

1 are indicated in the planned projhect budget;

2. that are necessary for the implementation of project activities;

3. that are measurable and that are recorded according to the applicable accounting standards;

4. are reasonable and comply with the requirements of the financial management, particularly with regard to economy and efficiency;

5. those costs are not covered by other funding sources (not reach double-financing). 


 

Eligible costs within the supported activities

1. For decorating business in accordance with the requirements of international business standards are recognized as expenses:

Supplier engagement for the preparation of technical documentation is provided for assurance of conformity to certain international standards;

Implementation of the standards;

Certification;

Recertification.

2. In order to harmonize the product with the requirements for the right to use the product trademark, the following expenses are accepted:

Engagement of supplier for harmooniuzation of the product with the product trademark;

Product testing at the designated bodies and provision of certificates of conformity.


 

3. To educate management and employees through specialized training expenses are recognized:

Supplier engagement (trainers, coaches, mentors).


 

4. For the purchase of production equipment the following expenses are recognized:

procurement of production machinery and equipment not older than 5 years;

purchasing transport handling means involved in the production and internal transport not older than 5 years;

procurement of new parts, special tools;

assembly and installation of equipment. 

 


 

Grants may not be used for:

arrears from duties and taxes, loans and installment loans;

costs of guarantees, insurance, interest, costs of banking operations, foreign exchange gains;

fines, financial penalties and expenses of litigation;

costs related to the purchase of equipment such as customs and administrative costs, transport costs, freight forwarding, storage and handling, training, etc.;

costs of forced collection;

VAT. 

Documentation required

1. Form 1 – Project application (completed, signed and certified by all SMEES from the supply chain);

2. Memorandum / Preliminary / Business Cooperation Agreement or the Letter of Intent with the Buyer (signed and stamped by all SMEES chain of suppliers and customers);

3. Form 2 – Project description;

4. Form 3 – Applicant statement on accepting the conditions;

5. Form 4 - Statement of granted state aid of small value (de minimis state aid);

6. Form 5 - A statement that there is no service provider that can respond to requests SMEES (if the applicant engages services provider from abroad) on the territory of the Republic of Serbia - for project activities under items 1), 2) i 3);

7. Form 6 – Checklist;

8. CV’s of all project participants, with references list;

9. Supplier’s offer for the proposed action, stamped and signed by the Vendor, containing clearly defined scope of activity, cost and timeframe for implementation of services in RSD and VAT inclusive. In case the price is denominated in a foreign currency on the invoice / estimate / preliminary contract, converted at the middle rate of the National Bank of Serbia on the day of application. All possible later incurred exchange losses are borne by the potential user. In case you are applying for the purchase of used equipment it is essential that the invoice / estimate / preliminary contract contains the production date of the equipment which is the subject of procurement;

10. The certificate issued by the competent tax authority that the applicant has met all government revenues (taxes and contributions), which may not be issued prior to the date of publishing the public invitation (original or certified copy of the competent authority certification);

11. Financial documentation:

11.1. For SMEES keeping business books on double-entry bookkeeping: balance sheet, income statement and statistical report for the year 2016 - a copy of the registration of regular annual financial report for 2016 issued by the SBRA. If the applicant has not obtained the certificate of registration of regular annual financial report for the year 2016 to submit a balance sheet, income statement and statistical report for 2016, signed and certified by the person responsible for the preparation of financial reports and a written statement of the legal representative of a legal entity / entrepreneur about the authenticity and identity of the copy which was submitted to the APR on the final processing;

11.2. for entrepreneurs who keep books by the system of accounting: Financial information for 2015 and 2016, M-4K 2015 and 2016 and

Statement on average number of employees for 2015 and 2016  - Form 7.

If the applicant in one of the year for which the financial documents were submitted kept the books on the single-entry bookkeeping, and another based on the double entry bookkeeping system, it is necessary to provide documentation under number 11.1. and 11.2. in accordance with the manner of bookkeeping for that year.

 

Documentation under point 3 to point 11 shall be submitted for each SMEES from the supply chain.

 

RAS reserves the right, if necessary,to request additional documentation from the applicant, but only to complete the application. 

How to apply and the deadline for submission of applications 

Public invitation is open until the funds are exhausted.

 

All applications to be submitted in person or by registered mail to:

Development Agency of Serbia

Kneza Miloša 12, Beograd

Administration office 309,  labelled with: Prijava na javni poziv za učešće po Programu podrške razvoju konkurentnosti SMEES u 2017. godini - Component 3.

 

For all additional information you may contacti RAS at: lancidobavljaca@ras.gov.rs.

 Additional documentation:

Instruction

Form 1 - Project application

Form 2 - Applicant’s Statement on Accepting the Conditions for Grant

Form 3 - Statement on Awarded State Aid of Small Value

Form 4 - A statement that there is no Provider in the territory of the Republic of Serbia which can meet the demand of the Applicant

Form 5 – Request for refund

Form 6 - Checklist

Form 7 - Average number of employees in 2015 and 2016, Simlpe Accounting

Form 8 - Request for refund