FAQs: Technology Voucher Program in Hong Kong

In these few years we’ve been helping many clients to apply for the Technology Voucher Program (TVP) fundings successfully. Some of them used the funds to upgrade or make a new website, including both WordPress and custom websites. Where some other clients took the opportunity to explore different possibilities and started to develop their customer mobile app. In either case, these clients were able to increase their online exposure, improve their workflow, connect and serve their customers better.

Despite many businesses have benefited from the program. Yet a large number of companies out there are not aware of its existence. Even if they do, they are not totally clear about how it works. In the worst scenario, some might even think that application for the TVP would cost them a lot of time and money. In order to clear all the misunderstandings, here in this article you’ll find everything you need to know about the Technology Voucher Program (TVP HK).

#1. What is Technology Voucher Program in Hong Kong (TVP HK)?

Technology Voucher Program (TVP) is a funding scheme launched by the Hong Kong SAR Government in 2016. Its objective is to encourage local enterprises to make better use of the latest IT systems and technologies. And through the use of these new/ upgraded systems and technologies, local enterprises can transform and streamline their business processes. Thereupon their businesses can benefit from improved productivity and competitiveness.

#2. What is there in the program?

Administered by the Innovation and Technology Commission (ITC), TVP’s cumulative funding ceiling per entity is HK$600,000. Each entity can apply and use the funds across up to a maximum of 6 IT projects.

The government provides funding based on the approved amount on a 3:1 matching basis. While the program subsidizes successful applicants up to 3/4 of the total project cost, successful applicants must contribute no less than 1/4 into the project.

That said the Innovation and Technology Commission is not obliged to approve and grant the full applied amount to every application. The TVP Committee can totally reject or partially approve an application at its discretion. Before making their decision, each application is fairly evaluated and vetted by the Committee based on the following criteria though:

• Relevance to the business of the applicant.
• Reasonableness of the budget and implementation details.
• Any adverse record of the Technology Service Provider(s).

#3. What types of IT projects are funded by the Technology Voucher Program?

As mentioned above, the goal of TVP is to support projects that adopt technological services and solutions that could improve productivity, upgrade or transform the business processes of the applicant. Typical services and/ or solutions generally covered by the TVP HK include the followings:

Productivity / Business Process

• • Appointment scheduling and queue management system
  • Augmented reality (AR) technologies system
  • Big data and cloud-based analytics solution
  • Building information modeling (BIM) system
  • Computer Aided Design (CAD)
  • Clinic management system
  • Cyber security solution
  • Document management and mobile access system
  • Electronic inventory management system
  • Electronic procurement management system
  • Enterprise resource planning (ERP) solution
    • CRM System
    • Customers and membership analysis and management system
    • Human resources management system
    • Planning and scheduling system
    • Warehouse/ inventory management system
  • Fleet management system
  • Intelligent Robot (Industrial Robot and Service Robot) Applications
  • Location based services (LBS)
  • Logistics management system
  • POS system
  • Product Management System
  • Quick response management (QRM) system
  • Real-time manufacturing tracking system
  • School Management System
  • Solutions to facilitate compliance with manufacturing standards

Testing and Certification

• • Energy management system (ISO 50001)
  • Environmental management system (ISO 14001)
  • Information security management system (ISO/IEC 27001)
  • Testing Solutions for Traditional Chinese Medicines (TCM)

Environmental Protection

• • Energy management system
  • Waste management technologies

Detail explanations of the above list can be found in the Annex B of the Guidance Notes for Applications.

However, applicants are welcome to propose other technological services and solutions which could achieve the objectives of the TVP. The TVP Committee will consider the merits of such applications on a case-by-case basis. The project deliverables should be used in a way that would have direct impact on the applicant’s business operation in Hong Kong.

#4. When can you apply for the TVP funding?

TVP applications are accepted all year round.

#5. Is there an application fee?

No, the Technology Voucher Program in Hong Kong is free to apply. Neither the Government nor the TVP Committee charges any fees.

#6. What are the detail procedures for applying the TVP then?

You can submit an application through the Technology Voucher Program Funding Administrative System. The detail procedures are as follows:

1. Check and confirm your entity’s eligibility.
2. Obtain quotations from the potential service providers.
   • You need 3 quotations for projects that are below HK$300,000.
   • On the other hand, you need 5 quotation in case your project cost is exceeding HK$300,000.
3. Submit your application online along with the required documents (see #7).
4. Upon receipt of an application, ITC will check its eligibility and conduct a preliminary screening. ITC may also seek clarification or supplementary information from the applicant if necessary.
5. You sign a funding agreement with ITC if succeeded.
6. The project to be completed in 12 months. You have to settle all invoices of the project with the selected service provider(s).
7. Submit the final project report. An independent Audit Report for the project is also needed when the approved funding amount is over HK$50,000.
8. ITC pays out the approved funds to the applicant.

There are some flexibilities in the procedures that you should know too:

1. You may choose to start your project right after you have submitted your TVP application. The next day of your application submission is the earliest date that you may start your project.
2. An initial payment of up to 25% of the approved funding amount may be made to the successful applicant upon request.

#7. What are the required documents?

You have to prepare the following documents for your TVP application:

1. Copy of Form 1(a)/1(c) of Business Registration Office or Form NAR1 of Companies Registry.
2. Evidence of business operation such as invoices/ receipts issued within 3 months before the application.
3. Copy of identity proof of the signatory on the application form.
4. Copy of quotations for all expenditure items.

#8. When and how will you know the result of your TVP application?

ITC will inform the applicant of the result in writing. The actual processing time is subject to the amount of applications received at the time, complexity of individual applications, comprehensiveness and clarity of the information provided, etc.

According to the most recent cases, TVP applications generally takes an average of 6 – 9 months to process.

#9. Can you submit more than one TVP application at any one time?

No, you can submit only one application under the TVP at any one time. You may submit a new application after the completion of an earlier approved project and submission of the final project report.