Israel Launches $25M Seed Investing Program Joshua Shuman
Plan aims to boost early-stage startups with new incentives
Very early-stage technology startups’ fundraising potential will get a boost from a new 80 million shekel ($25 million) Israel Innovation Authority program following three years of stagnation in seed funding, the independent public agency said.
The new Hybrid Seed Incentive Program created by the Economy and Industry Ministry’s Israel Innovation Authority (IIA) encourages seed investors by limiting their investment risk in early ventures after a funding slowdown was exacerbated by the pandemic.
Since 2017, figures show an average annual decrease of about 25% in the number of startups formed in Israel, a trend that the coronavirus crisis has intensified.