A newly established non-equity fund worth $10 million is providing financial and operational assistance to Ukrainian tech firms, in the wake of ongoing tension with Russia. Ukrainian startups like VanOnGo, an AI-based logistics platform, have already started to receive benefits from this initiative.
Throughout the recent conflict, VanOnGo strategically shifted its operations to aid in delivering humanitarian support. With the help of this Support Fund, VanOnGo managed to resume its core business operations and further extend services across the European Union. This led to a near doubling of its annual revenue and the successful execution of over half a million deliveries.
Co-founder of the Support Fund, Viacheslav Levchenko, attributes the success of companies like VanOnGo to the fund. In his view, the fund serves as a motivating force that encourages startups to advance during challenging times.
Support fund boosts Ukrainian tech startups
He also mentioned that the Support Fund can be seen as an integral part in spurring the growth of startups.
The Support Fund recently received an additional $10 million from Ukraine’s Ministry of Digital Transformation, bringing the total fund to $20 million.The fund invites applications from Ukrainian startups, with each potentially receiving $100,000 in non-dilutable grants, along with continual guidance, product support, and the possibility of securing an additional $350,000 in Cloud credits.
Since 2022, the Support Fund has provided $5 million in non-equity monetary incentives and technical support to nearly 58 successful startups. The primary goal of the Support Fund is to encourage digital entrepreneurship in Ukraine, promoting growth and transforming innovative ideas into successful business ventures.
For eligibility, startups should have a registered Ukrainian entity and a functional minimum viable product (MVP). Preference is given to businesses that utilize AI to solve societal challenges. The fund promotes using the grant money to sustain growth, reboot interrupted operations, or adapt their products to meet new challenges. Successful applicants will be announced periodically, with future announcements planned for June and September 2024, and early 2025. The application deadline for the next batch is June 5th, 2024.
