Which incentive in the e-export process? How can I get it?
E-export companies are supported with various incentive packages so that they can expand abroad with the goods they produce domestically and gain a safe place in the market. Export supports aim to financially support businesses that are not in a position to cover the cost of the process.
What areas does export support cover?
There are export supports planned by the state and relevant institutions for the benefit of businesses planning to sell goods or services abroad. The scope of economic support provided for selling abroad is quite wide, aiming to meet the different needs of business owners.
The main transactions for which these supports are provided, covering both export and e-export activities, are as follows:
Renting offices and stores to open abroad
Warehouses, showrooms, etc. for use abroad. rental of units
Making advertisements and promotions about the business abroad (Advertising and promotions made through social media are also within this scope)
Applying to the relevant authorities for the registration of the business trademark abroad
Conducting digital activities such as virtual fairs related to the business subject
Travels for market research
Export freight activities required for logistics operations
Fair activities held at home and/or abroad
Both large-scale enterprises and micro-level exporting enterprises can benefit from export incentives. In this way, it is aimed that especially small and medium-sized enterprises can enter the commercial life and ensure business continuity.
What are e-Export government incentives?
Export incentives also cover companies selling online. Accordingly, e-commerce companies that sell abroad over the internet can also apply to benefit from export incentives. E-export incentives given by the government are as follows:
Travel Support for Export Market Research
E-commerce essentially refers to selling in a virtual environment rather than physically taking place in a market. In addition, examining customer potential and consumer behavior in the relevant market at regular intervals is important in order to adapt to the dynamics in commercial life by taking the necessary actions. For this reason, companies engaged in e-export should occasionally travel to the countries where they sell abroad and conduct research on the subject.
There is government support for expense items such as accommodation, train and plane tickets and car rental during trips for export market research. The conditions required to benefit from state support are as follows:
It should be a maximum of 10 days of travel, excluding travel.
A maximum of 2 people per company must be traveling. (If more people travel, the travel expenses of others are not covered by government support.)
A maximum of two overseas market research trips to the same country are supported within a calendar year.
A foreign market research trip can be done in a single country or in a maximum of three countries.
A maximum of ten overseas market research trips are supported per company per calendar year.
70% of the expenses incurred for trips that fall within the scope of the criteria listed above may be included in the scope of state support.
Company Purchasing Support
With this support, which is provided to make it easier for Turkish companies to purchase a foreign brand or company, 75% of the expenses incurred for legal and financial reports prepared during the purchase process can be covered. In order to benefit from the incentive in question, the relevant sales transaction must be pre-approved by the Ministry of Commerce.
Report Support
Report support is similar to company purchasing support, but its scope is slightly broader. Expenses for market research reports, data analyses, financial and legal reports and similar research can be covered with 60% report support. In order to benefit from this support, which is limited to 2 years, preliminary approval from the Ministry of Commerce is required.
Market Entry Documents Support
50% of the expenses incurred for the documents required to operate in foreign countries can be covered with document support.
Trademark Registration and Protection Support
This support, which is given to ensure that trademarks registered in our country are legally protected abroad, is mainly aimed at protecting patent rights. 50% of the expenses incurred for research and applications for patent registration abroad can be covered by government support. It should be added that this support is limited to 50,000 USD per year and 4 years.
Unit Support
Stores, warehouses etc. abroad. 40% to 50% of the expenses such as rent, taxes and commissions incurred for renting the units can be covered by unit support. The exact determination of the support rate depends on the nature of the company. For example, industrial trade companies can receive 50% support in this regard, while commercial companies can use 40% support in the same subject. Unit support is limited to $120,000 annually.
Advertising and Promotion Support
It is a type of support that covers 60% of the expenses incurred for activities such as launch, sponsorship and opening events, as well as classic advertising activities to promote the brand abroad, up to a maximum of 250,000 US Dollars annually.
Fair Support
Companies engaged in e-export can open stands at fairs in order to increase business volume abroad. 50% of the expenses incurred can be covered by fair support.
It should be noted that only trading companies can benefit from these government supports. Private companies cannot be included in these incentives.
Where to Get E-Export State Supports?
The supports detailed above are provided to businesses by the Ministry of Commerce on a non-refundable basis. SME export credit supports provided within the scope of SME export incentives are covered by Eximbank. On the other hand, KOSGEB is the institution that supports small and medium-sized enterprises the most in SME export consultancy, and thanks to KOSGEB supports, many entrepreneurs have been able to find a place in business life. KOSGEB also has a package that supports e-export for SMEs.
KOSGEB Foreign Market Support Program
People who want to start their own business by starting a business life can access the capital they need thanks to the KOSGEB grant system. KOSGEB, which was established to increase employment in our country and at the same time increase the share of small and medium-sized enterprises in the industry, aims to enable these enterprises to open up to the international market with the Foreign Market Support Program.
General features of the Foreign Market Support Program can be listed as follows:
- Support can be provided for 8 months to 2 years.
- The upper limit of the support is 300,000 TL and 70% of the support provided is non-refundable and 30% is refundable.
It should be noted that the most important point that distinguishes the Foreign Market Support Program from other government incentives is that private companies can also benefit from these supports.
Expense items and upper limits that can be used within the scope of the program are as follows:
- Personnel expense (90,000-TL)
- Software and hardware expenses (100,000-TL)
- Promotion expenses (100,000-TL)
- International fair and travel expenses (150,000-TL)
- Test analysis and certification expenses (100,000-TL)
- Service procurement expenses (100,000-TL)
In order to benefit from the program, it is required to have a domestic trademark registration certificate in the name of the company. In addition, a letter of guarantee from the bank must be submitted to KOSGEB in the 4th month after the Project starts.
As Envoyo, we bring you together with reliable business partners in incentive consultancy and help you save time in your e-export process. In addition, we facilitate your e-export processes with our sales, marketing, accounting, logistics and consultancy services;
- We aim to help you increase your sales by providing support in opening an Amazon UK account, product listing and management, as well as advertising and campaign management.
- We support you in marketing with our services such as product photography, digital marketing in the UK and social media management.
- We carry out transactions such as accounting and consultancy services, bank account and tax registration on your behalf.
- We provide services on establishing a company in the UK and international trademark registration.
- Within the scope of our consultancy services, we assist you in international packaging and labeling issues.
- We provide services in the field of logistics such as international transportation, cargo and storage in the UK.
In short, as Envoyo, we know the difficulties of e-exporting abroad and we are here to help you! To get more information and benefit from the services we provide, you can follow us on our social media accounts and easily contact us by filling out the form.
