In the modern world, information technology plays a vital role in the development of the economy. It allows you to create new products and services, increase production efficiency, and improve the quality of people’s lives. In this regard, special legal regimes are being made in many countries where resident companies developing and implementing information technologies can receive special conditions for their activities. Such legal regimes include the Republic of Belarus’s Hi-Tech Park (HTP).
To join the HTP, the company must prepare a business project that meets the state’s requirements and selection criteria. A business project is a document describing the goals, objectives, strategy, and plan for implementing the project, as well as expected results and performance indicators. It is the basis for determining whether to grant a company HTP resident status and obtain appropriate benefits and preferences.
This article considers the basic requirements for a business project when joining HTP. We will examine the structure of the business project, the content of the main sections, and the evaluation criteria used in project selection. We will also give recommendations on the development and design of a business project.
This article will be useful for companies interested in obtaining the status of a resident of the Hi-Tech Park and using its advantages to develop their business. You will be able to understand what a business project is and how to prepare it correctly to increase the chances of successful entry into HTP.
The Main Objectives of Preparing a Business Project for Joining the Hi-Tech Park
To join HTP, companies must meet specific requirements and prepare a business project. The main objectives of preparing a business project for joining the HTP:
1. Justifying the Value of the Project for the Development of the High-Tech Sector
In a business project it is necessary to justify the value and significance of the activities that the company will conduct as an HTP resident for the development of the IT industry and the high-tech sector.
2. Description of the Product or Service
In a business project, it is necessary to describe the product or service the company plans to provide on the market. It will help you understand how unique and in demand the project is.
3. Market Analysis
It is necessary to conduct market research to determine its volume, development trends and main competitors. It will allow you to identify your niche and develop a promotion strategy.
4. The Project Implementation Plan
A business project should present a project implementation plan that includes the stages of development, testing, implementation, and promotion of a product or service. This will allow you to monitor the project’s progress and make timely adjustments.
5. Financial Results
The business project should present financial indicators such as income, expenses, profit, profitability, etc. This will allow investors to assess the project’s financial stability and prospects.
6. The Project Team
The project team, including its composition, qualifications, and work experience, must be presented. It will show that the company has the necessary resources to implement the project.
7. Expected Results
The business project should indicate the expected results, such as increased revenue, reduced costs, increased competitiveness, etc. This will demonstrate the potential effect of the project on the company and society.
8. Compliance with the Requirements of the State and HTP
The business project must meet the requirements of HTP, such as the availability of qualified specialists, modern technologies, export orientation, etc. This will allow the project to receive benefits and preferences from the state.
In general, preparing a business project is a necessary stage for joining the Hi-Tech Park of Belarus. It allows the company to demonstrate its readiness to implement an innovative project, attract investments, and receive support from the state.
General Information about the Business Project
To become a resident of the Hi-Tech Park (HTP), an IT company needs to develop a business project that meets the requirements of the park’s and the state’s supervisory boards.
This document should contain information about how the company plans to develop within the framework of HTP and what financial results it expects to achieve.
Consideration of a Business Project
The business project, along with other necessary documents, is first considered by the Secretariat of the Supervisory Board and then by the Supervisory Board of the Hi-Tech Park. Based on the results of the analysis of the business project and other documents, the Supervisory Board decides whether to admit the company to the HTP or refuse registration.
What is Important for the Success of a Business Project
For successful entry into HTP, it is important to include the following information in the business project:
- Types of activities allowed for HTP residents (one or more).
- Activities for the implementation of these activities.
- Substantiation of the importance and significance of a business project for new technologies and the IT sector.
- The planned profit and other financial results that the IT company plans to achieve.
It is also important to properly design a business project.
What are the Requirements for an HTP Business Project
The HTP Supervisory Board welcomes short and informative business projects of up to 18 pages, including the title page, the content sheet, and the IT company’s passport. The Government of Belarus established the form of the business project.
In the business project, it is necessary to specify the total amount of IT services (works, goods) that the company plans to provide and justify the need to provide these services (works, sales of goods) and the sale of intellectual property objects.
Settlements with foreign partners on export operations in the business project are presented in foreign currency, and settlements with local partners are in Belarusian rubles. The data should be given by year (the billing period).
In a business project, the IT company must prove the uniqueness of its activities and the competitive advantages of the projects that it plans to implement as an HTP resident, as well as describe these projects in detail.
What Mistakes are Made in Business Projects
Some companies do not use the experience of specialists in drafting business projects and make mistakes in their design and selection of information. In particular:
1. Describe the field or type of activity that the IT company plans to conduct as a resident of the Hi-Tech Park.
2. Provide all settlements in foreign currency, including with Belarusian business partners.
3. Indicate the types of activities not allowed for residents of the Hi-Tech Park.
Errors in the business project affect the decision of the Hi-Tech Park’s supervisory Board. When considering a business project, the Supervisory Board may conclude that it is not important for the development of high technologies. In this case, IT companies will refuse to join the Hi-Tech Park.
Registration of a Business Project for Joining the HTP
The requirements for the design of a business project imply that it includes mandatory sections:
1. The Cover Page Contains the Following Information:
- The business project’s name reflects the activities stated in the project.
- The name of the IT company.
- Information about the developer of the business project.
- Signature of the director of the company.
- Requirements for the confidentiality of the document.
2. Content
The content of the business project includes the names of sections, subsections, applications and links to pages.
3. Summary
A resume briefly describes the company’s business model and specialization. This section also indicates the developments the company plans to implement as a HTP resident. In addition, the summary describes the expected performance at the end of the planning horizon, including the following indicators:
- Revenue.
- Profit.
- Profitability.
- Annual labour productivity.
- The number and average monthly salary of employees.
Sections of the Business Project
1. Description of the Company, the History of its Creation and Development, Strategy for Further Development
In this section, you need to provide detailed information about the company, including its history of creation, development, and strategy for further growth. You should provide information about the founders, investors, and mentors, as well as their residency and work experience. You must also describe the company’s structure, previous digitized expertise, a list of activities as an HTP resident, and real estate and equipment information.
It is important to emphasize that the company does not receive revenue from activities not permitted for residents of the Hi-Tech Park.
In this section, you should also specify information about the company’s personnel, business process characteristics, and key performance indicators.
2. Description of the Goods, Works, and Services that the IT Company Plans to Produce during the Implementation of the Business Project
This section should contain a detailed description of the goods, works, and services the company plans to provide for its business project. It is necessary to specify the characteristics of products or services, as well as their advantages and features.
3. Analysis of Sales Markets
Here, it is necessary to justify the demand for the offered goods, works, or services and the value of the company’s offer. It is also necessary to conduct a market analysis, identify the target audience and competitors, and highlight the company’s unique advantages.
4. Current and Planned Results of Financial and Economic Activities
It is necessary to present the company’s current financial performance and plans for future improvement. It may include forecasts for revenue, profit, costs and other vital indicators.
5. Investment Plan
This section describes the company’s investment objectives in detail in a table.
6. Corporate Social Responsibility
This section includes a list of educational activities that the company is willing to finance. The information is presented as a table broken down by year.
7. Company Passport
This section is designed according to the established pattern. It contains information about the company, including the form of ownership, data on state registration, the size of the authorized capital, and its distribution among the founders. The passport also indicates which businesses the company invests in.
Features of the Business Project Expertise
After the IT company has submitted its business project to the Supervisory Board of the Hi-Tech Park, the Supervisory Board can send the business project for examination. It may be a scientific, technical or legal expertise.
Auditors, external companies, scientific organizations, lawyers, and scientists can act as experts. In connection with the examination, the Supervisory Board considers the documents on the entry of an IT company into the Hi-Tech Park for longer — the period can be extended to a maximum of 10 days.
The Supervisory Board will refuse the IT company to join the HTP if the expert opinion is negative.
For consultations and preparation of a business project, we recommend contacting experienced specialists who advise companies wishing to become residents of the Hi-Tech Park. Regarding confidentiality, we will develop a business project for you and advise you on all issues of interest related to joining the Hi-Tech Park.
Contact us
If you have any questions or disputes regarding the preparation of a business project for joining the Hi-Tech Park in Belarus, we will be happy to help! Our long-term experience in divident payment will help you resolve any disputes in this area.
- +37529366-44-77 (WhatsApp, Viber, Telegram);
- info@ambylegal.by.
