The law of Supporting Knowledge-Based firms and Commercialization
The present report tries to provide a summary of the mentioned law. The law was approved by parliament in November 2010. Important events related to knowledge-based firms law are summarized as table below:
Activity | Date |
Preparing the bill of law in vice presidency for science and technology | January, 2008 |
Approval of the law in parliament | November, 2010 |
Approval of the "Implementing Regulations" by the government | November , 2012 |
Launch of qualification system of knowledge-based firms and enrolling applicants | March, 2013 |
Announcement of tax exemption of firms located in the science and ...view middle of the document...
Supreme Council of Science, Research and Technology (that will be called SCSRT for the rest of the report) is responsible for overseeing and implementing the law.
Article 3. Support and facilitate grants to firms including:
* Exemption from taxes, duties, , and export duties for and interval of fifteen years.
* Providing all or part of the production cost, supply or use of innovation and technology by granting low-interest long-term or short-term loans.
* Prioritizing the establishment of research, engineering and production units of knowledge based firms in the science and technology parks, incubators and science and technology districts.
* Prioritizing the cession of public research institutions shares based on Principle 44 of the constitution law to knowledge based firms.
* Providing insurance to reduce risks associated with innovative and technological products in all stages of production, supply and use.
Article 5. In order to assist the commercialization of innovations,inventions and also applying know-how knowledge by providing financial services to knowledge based firms, the Innovation and Prosperity Fund (IPF) was established in 2011. It`s financial resources include state aid, credits allocated to the fund in government annual budget, investment of persons and public companies and institutions, NGOs,municipalities and commercial banks. The government should allocte at least a half percent of it`s public budget to IPF anually, after absorbing the seed capital in three years.
The initial capital of IPF is $853 million that will be provided by National Development Fund or foreign currency reserve accounts within 3 years.
Article 7. All of the executive organizations related to law are obligated to evaluate applicants' requests and turn in the results within a month.
Article 9. In order to establish and develop knowledge-based firms and strengthen their international cooperation, they can use free zones benefits, like tax exemptions ,duties of foreign investments and international financial transactions.
Article 11. All firms should use provided supports for specified goals of the law, otherwise, they will be punished by deprivation of supports and facilities and also they will be fined.
The constitution of Innovation and Prosperity Fund
According to “The Support of knowledge-based firms the commercialization of innovations and inventions" law, Innovation and Prosperity Fund (IPF) was established in 2011. in order to assist the commercialization of innovations and inventions And also make the technical and knowledge prosperous and applicable by providing financial services to knowledge-based firms.
The main purposes of establishing IPF
• Assisting the implementation and development of knowledge-based economy
•Completing the “ideas to the market” chain
•Commercialization of innovations, inventions and research results
• Making the knowledge applicable through the provision of assistance...