What are the benefits?
Development Fund II is intended to provide capital to the development of the diversified portfolio of micro, small and medium-sized enterprises seeking to enter new markets or sectors, create new products or otherwise implement their development plans. This financial instrument is aimed at increasing the supply of funding for micro, small and medium-sized enterprises and thus reduce the current shortage of alternative funding existing on the market. Enterprises will be able to receive funds necessary for business development, additional knowledge and required contacts, i.e. everything that will help them grow, from the investor.
What companies are eligible?
Micro, small and medium-sized enterprises.
What is the maximum amount?
Development Fund II is funded by the European Regional Development Fund (ERDF). After the completion of the first stage of attracting investment, the total amount of funds available at the Fund makes up EUR 23.78 million. The funding allocated by the State amounts to EUR 16.18 million.
LitCapital, the company implementing the instrument, together with other private investors earmarked EUR 7.6 million for funding. The investment amount per enterprise will be from EUR 2 to 4 million.
How does it work?
Enterprises can apply to the venture capital fund manager LitCapital for investment. Investments will be made in Lithuanian fast-growing enterprises with a clear vision of business development the implementation of which requires additional external capital, which are engaged in the development of competitive and innovative products or services. For the purpose of investing in enterprises, LitCapital established the development capital fund LcX Opportunity Fund, the main investor of which is Invega together with other private investors.
Further information on the venture capital fund is available on the website: http://www.litcapital.lt
Invega implements and manages various financial instruments designed to promote business from the EU Funds, the national budget or finances that have been used once and returned to the national or other funds.