Supporting startup companies through:

A. Establishment of the Early Stage Venture Capital Fund (“ESVC Fund”) for purposes of providing ESVC Investments to finance ESVC Sub-projects, including provision of management support; 

Although Kazakhstan has a limited number of venture capital funds, there are very few transactions for early stage financing and technology companies. The availability of early stage financing remains problematic. The Sub-component is aimed at making the early stage financing available for technology startups and making demonstration effect of commercial viability of such investments. This demonstration effect is expected to attract other VC companies and therefore would allow a critical mass of early stage and venture capital to evolve.

B. Provision of consultants’ services to develop technology and innovation ideas into viable commercial projects, through innovation brokerage and deal flow generation activities, pursuant to criteria set forth in the POM;

This sub-component would seek to catalyze a market for specialized business development services that are able to transform technology and innovation ideas into commercial projects acceptable for early stage venture capital or other investors.  The key lesson from other countries that have attempted to introduce early stage funding pinpoints to the need for additional assistance that will facilitate the availability of “deal flow” i.e., investment ready projects. Recognizing this, the sub-component would support the formation of an innovation brokerage team that would assist an entrepreneur in all stages of the incubation cycle.  More specifically, the functions of the “deal flow” promoters would comprise: (i) assessing the technological viability of the project; (ii) estimating the commercial potential of the innovation; and (iii) generating, presenting and marketing new information about the project.

C. Establishment and operation of Technology Acceleration Offices outside of Kazakhstan;

In order to enhance marketing and technological capabilities of technology companies several technology acceleration offices will be created abroad in accordance with recommendations of an international consultant of subcomponent 3 (d). The guiding principle is to establish such “antenna” offices in locations where it clearly benefits Kazakhstan’s innovation system.

D. Establishing the capacity of existing Technology Transfer Offices at major Kazakh universities and enhancing their capacity through the provision of Training;

This sub-component will enhance capabilities of existing TTOs with an objective to reach a critical mass of technology commercialization and transfer capabilities within a coherent network of about 5-6 capable TTOs. Operating in concert with sub-components (b) and (c), this sub-component will facilitate an adequate deal flow for the ESVC fund (sub-component (a)).  It will finance services (training, study tours) to upgrade capacity of TTOs.