Business Pre-Incubation Aid

Merchants registered in the Commercial Register of the Republic of Latvia:

• Which meet the criteria for micro, small, or medium-sized enterprises in accordance with Article 2(2) of Regulation No. 651/2014;
• Which are not older than 3 years at the time of application;
• Whose tax debt does not exceed EUR 1000;
• Which plan to develop an innovative or export-oriented product and advance the product’s maturity level by at least 1 TRL or BIMRL 

To be eligible for Business Pre-Incubation Aid, applicants must meet the following criteria: 

• The business idea aligns with the characteristics of the target customer – the merchant plans to develop an innovative or export-oriented product.
• Product maturity level development – the merchant’s product development steps are designed to increase the product’s maturity level within 12 months.

Criteria for meeting the target customer profile: 

• During the pre-incubation programme, the applicant will develop a business idea for an innovative product – that is, a good or service with high added value, including technological value, the development of which results in new or improved knowledge;
• During the pre-incubation programme, the applicant will develop a business idea for an export-oriented product – that is, a good or service that is already being exported, or a new product with research-based export potential.

Explanation of an innovative and export-oriented product

An innovative product is a good or service with high added value, including technological value, the development of which results in new or improved knowledge – such as research-based, new or improved techniques, methods, principles, processes, functions, or product features, and which has clearly identifiable advantages and superior value and sustainability parameters compared to competitors.

An export-oriented product is a good or service that is already being exported, or a new product with research-based export potential.

All recipients of Business Pre-Incubation Aid have access to non-financial aid services aimed at achieving the goals set for the pre-incubation period. These include:

• individual and targeted expert consultations to help develop a business idea;
• consultations with local and international mentors;
• training sessions and seminars on business modelling, marketing, product development management, human resources management, financial planning and funding, and other topics relevant to business development;
• networking and knowledge-sharing events to promote cooperation between the LIAA representative office, regional and specific industry merchants;
• participation in events aimed at promoting merchant recognition and presenting products/services to potential customers;
• LIAA consultations on issues relevant to business development;
• co-working spaces.

• trade;
• financial intermediation industry (except for financial technology enterprises, i.e. enterprises that develop new business models, implement innovations, create new financial products and services, and improve service delivery methods and business models);
• commercial services industry (real estate activities and rental and leasing activities);
• gambling;
• fisheries and aquaculture;
• primary production of agricultural products;
• manufacture, processing, and advertising of tobacco and tobacco products;
• investments in airport infrastructure, landfills, and the expansion of waste treatment facility capacity related to the production, transportation, and processing of fossil fuels.

Please refer to the infographic for the steps involved in receiving aid. 

If you have any further questions, please contact your nearest LIAA representative office in Latvia

Application

• Applications must be submitted via the liaa.business.gov.lv e-service
• Video tutorial on how to fill out a business incubation aid application (YouTube)

Evaluation

• Procedures for evaluation and provision of aid PDF

Contract

• Sample Business Pre-Incubation Agreement (DOCX)

Applications for the Business Pre-Incubation Programme are accepted based on administrative-territorial divisions (the regional principle) and the merchant’s affiliation with the relevant territory (see the table below).

Contact information for all representative offices can be found here.

Entrepreneurs can receive consultation on various issues related to Business Pre-Incubation Aid at any representative office nearest to them.

Merchants from any administrative territory in Latvia may apply at the Representative office of Creative industries, provided that the merchant operates in the creative industries sector*.

Merchants whose legal/actual place of business is in Riga and who are developing an innovative product may apply at the Technology representative office in Riga. 

_{*The culture and creative industries include the following sectors: architecture, design, film, performing arts, visual arts, music, publishing, television, radio, and interactive media, advertising, video games and interactive software, cultural heritage, cultural education, recreation, entertainment, and other cultural activities that have economic value. Computer games and interactive software, recreation and entertainment industry products or services must be linked to other creative industries. More information: www.km.gov.lv} 

LIAA representative offices in Latvia

LIAA representative offices in Latvia

As part of the pre-incubation aid, the following are evaluated:

• Technology readiness level – TRL

or

• Business, investment and manufacturing readiness level – BIMRL, which is determined in accordance with the table below, along with the descriptions. The relevant scales are tailored to the project’s target group and will be applied depending on the type of aid applied for by the applicant and whether the applicant meets the criteria for an export-oriented, innovative, or creative industry merchant.

The programme rules are set out in Cabinet Regulation No. 407 European Union Cohesion Policy Programme 2021-2027 1.2.3. Specific aid objective “Promoting sustainable growth, competitiveness and job creation in SMEs, including through productive investments” 1.2.3.1. implementation rules for the measure “Aid for the development of innovative entrepreneurship in SMEs” (likumi.lv)

Each implemented project must also comply with visual identity and communication requirements. The EU fund communication guidelines are available on the website esfondi.lv in the section EU funds 2021-2027 --> Guidelines and explanations

The NDP and EU logos can be downloaded here (JPG).