The BUD fund provides funding support to individual Hong Kong enterprises in undertaking projects to develop brands, upgrade and restructure their business operations and promote sales in the Mainland market and economies with which Hong Kong has signed Free Trade Agreements (FTAs), so as to enhance their competitiveness and facilitate their business development in the Mainland and FTA markets.
With effect from 20 January 2020, the cumulative funding ceiling per enterprise has been increased from $1,000,000 to $2,000,000 for both Mainland programme and FTA programme, the government has even launched enhancement to allow an early distribution of some funding in a bid to alleviate the financial burden of enterprises.
Companies and institutions (except listed companies) that meet the following conditions can apply:
Source: Trade and Industry Department, Dedicated Fund on Branding, Upgrading and Domestic Sales
Major Funding uses:
Each enterprise could receive funding for maximum 20 items, and the cumulative funding ceiling is HK$ 2,000,000
Selection Criteria includes: 1. Projects are benefits for expanding businesses among ASEAN markets or Mainland markets 2. Projects can leverage the advantage of the products/ services provided by enterprises in the ASEAN markets or Mainland markets. 3. Projects are practical and the effectiveness can be measured quantitatively 4. The budgets of projects are clear and reasonable.
Enhanced BUD fund covers regions such as Mainland, ASEAN and other markets which Hong Kong has signed Free Trade Agreement (FTAs) . The member states of the ASEAN are Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam; Other foreign economies who have signed FTAs with Hong Kong include New Zealand, the four member states of the European Free Trade Association (i.e. Iceland, Liechtenstein, Norway and Switzerland), Chile, Macao, Georgia and Australia.
The initial payment of the enhanced BUD fund is set to be 75% of the total disbursement of funds.
Funding does not cover the normal operating expenses of the enterprises, including the salaries of the existing employees, rent, renovation, utilities, business registration, office supplies, bank charges, day-to-day equipment such as computer software, camera, projects and printers.