ICEX Localiza program grants for establishing companies abroad

ICEX España Exportación e Inversiones is launching ICEX LOCALIZA to support the long-term establishment or consolidation of Spanish SMEs outside the Member States of the European Union. The priority markets under LOCALIZA 2021 are the United Kingdom, Asia, and the countries of the Southern and Eastern Mediterranean.

The projects submitted may belong to any sector of activity, and may be established as a subsidiary, branch, or representative office. These entities need not already be incorporated in the selected market at the time the application is filed; however, there must be documentary evidence that the process has been initiated. To that end, evidence of their incorporation will be required at the time the expenses considered eligible for support are substantiated.

The aim of ICEX LOCALIZA is to serve as a driver for the new establishment or consolidation in third-country markets of Spanish SMEs that meet the following requirements:

– They have their own brand.

– They submit a viable, high-quality agreement in the selected market, both for the domestic market and for the target market of establishment.

– They have no outstanding debt with ICEX.

– They comply with Article 13 of the General Subsidies Law, which governs the requirements for beneficiaries, and are not undertakings in difficulty.  The subsidies will be awarded under a competitive award procedure (concurrencia competitiva).

The criteria for selecting the projects are:

– Viability of the project submitted.

– Its quality.

– Geographic area of establishment chosen by the company.

Eligible expenses

Expenses incurred between January 1 and December 31, 2021. Exceptionally, preliminary, incorporation, and start-up expenses incurred between September 1, 2020, and December 31, 2020, may also qualify for support.

The subsidy will amount to 50% of the expenses considered eligible for support, subject to a maximum of €30,000 per beneficiary, and a single company may submit up to a maximum of three projects for support.

The eligible expenses are those set out in the following three categories:

– Preliminary, incorporation, and start-up expenses: feasibility studies, incorporation expenses, and third-party advisory expenses directly related to the incorporation of the subsidiary, branch, or representative office.

– Promotion expenses: market research, dissemination and promotional material, engagement of specialized services to adapt the brand’s graphic identity to the market of establishment, development of software and mobile applications for promotional purposes, advertising, positioning and social media marketing initiatives, promotional activities, commercial sponsorships, public relations, participation in trade fairs, attendance at specialized conferences and forums in the target market, and expenses arising from consultations and subscriptions for information on competitions and tenders, exclusively for the target market.

– Legal protection of the brand and product approval expenses: registration of patents and trademarks exclusively for the market of establishment and registration of web domains, defense of the brand in the target market, and approvals and certifications aimed at the target market, as well as certifications and prequalifications with major customers in that market.

Application deadline

30 calendar days from the day following publication of the relevant call for applications in the Official State Gazette (BOE), i.e., from 00:00 on Tuesday, September 21, until 24:00 on Wednesday, October 20. Applications may only be filed electronically.