Startups relief measures and measures to strengthen the position ofPortugal as a leading international technological hub.On 21 April, the Ministry of Economy and Digital Transition announced a set of relief measures specifically addressed to Portugal’s more than 2500 startups, to mitigate the impact of Covid-19 on the national entrepreneurial ecosystem. The package of relief measures, with a total of amount of €25 million, includes five new measures and two pre-existing measures (relaunched and adapted to the current situation). It is estimated that, on average, each startup could potentially benefit from support in the amount of €10,000. On the same date, Council of Ministers Resolution 29/2020 was published to set out the general principles for the creation and regulation of Technology Free Zones. These principles make it possible to establish a legislative framework that promotes and facilitates the activities of research, demonstration and testing in a real-life environment, of technologies, products, services, processes and innovative models in Portugal. 1. New relief measures for startups - Startup RH Covid-19: relief measure for startups incorporated less than 5 years ago, amounting to an incentive of €635,00 per employee (up to a maximum of 10), paid once only (i.e., not extended as is the case, for example, with the simplified lay-off support).
This incentive can be claimed jointly with other incentives such as the “Incubation Voucher” (“Vale Incubação”), but it may not be claimed by companies that have applied for the lay-off. Companies that resort to this incentive cannot dismiss employees during 2020. If they do, they will have to return any amounts received. To be eligible, companies must meet one of the following conditions: (i) be registered at the Startup Hub; (ii) have been incubated in one of the incubators belonging to the Nacional Network of Incubators; (iii) be receiving or have received investment from one of the BAs or VCs accredited by IAPMEI or by the Financial Institution of Development (Instituição Financeira de Desenvolvimento - IFD); (iv) be recognised by ANI – Agência Nacional de Inovação, S.A.. Besides this, the companies must not have any tax or social security debts. - StartUp Voucher Extension: extension for 3 months (expected duration of the pa ndem ic) of the vouchers awa rde d under the "StartUp Portugal - National Strategy for Entrepreneurship" (StartUp Portugal - Estratégia Nacional para o Empreendedorismo) programme, which aims to boost the development of innovative projects by young entrepreneurs under the age of 35. This benefit, in the monthly amount of €691.70, is now extended for a period of three months. Therefore, it amounts to a total benefit of €2,075 per entrepreneur. It is meant for startups with startup vouchers previously awarded.
This measure is intended to reduce the mortality of startups with innovative business models, and to contribute to maintaining jobs. - Incubation Voucher - Covid19: non-refundable immediate payment voucher for €1,500 t o ac qu i re i ncubation ser v ic e s (rent , telecommunications, etc.). Startups incorporated less than 5 years ago and incubators registered with the National Network of Incubators (Rede Nacional de Incubadoras) are eligible (including startups that already benefited from this voucher under the previous scheme).
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