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The "Acceleration Fund Program" was created after the Latvian Guarantee Agency observed shortage of funds for technology-intensive companies in their early development stages.

The program will provide two accelerator funds through a tender, aimed at helping create successful companies with major growth potential. The objective for these funds is to evolve a new ecosystem of companies in Latvia and attract teams from other countries. An acceleration center is planned to be established after the said funds gain enough momentum.

The total budget of the program will be EUR 30 million, thus, the amount of one public fund will be up to EUR 15 million. However, it is highly likely that these funds will attract additional third-party investments, thus, the funds could each be worth EUR 15.75 million.

The said funds will focus on three types of investments – funding for development of a business idea – up to EUR 50,000, funding for commercialization of a business idea – up to EUR 250,000, funding for establishment of a company – up to EUR 500,000.

The said investments will be available between 2016 and 2020. During this period, acceleration funds will provide technology-intensive companies with premises, accountancy services, and other external services.