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  5. Package of Measures for Supporting Businesses in Resuming their Business Operations Formulated

Package of Measures for Supporting Businesses in Resuming their Business Operations Formulated

- As an effort under the Project for Encouraging SMEs to Advance the Productivity Revolution -

May 22, 2020

As part of the Project for Encouraging SMEs to Advance the Productivity Revolution, the Ministry of Economy, Trade and Industry (METI) has been advancing the Subsidy Program for Sustaining Small Enterprises (hereinafter referred to as the “subsidies for sustainability”), the Subsidy Program for Monodzukuri, Commerce and Services (hereinafter referred to as the “subsidies for monodzukuri”) and the Subsidy Program for Introducing IT to Businesses for Productivity Improvement in Services, etc. (hereinafter referred to as the “subsidies for introduction of IT”). Aiming to strongly encourage businesses to resume their business operations in a full-fledged manner in response to the lifting of the Declaration of the State of Emergency, METI, under these subsidy programs, will improve the details of the ongoing support measures targeting efforts that SMEs and small enterprises have been tackling in accordance with the industry-based guidelines and other instructions.

I. Outline of the Package

Through these subsidy programs, i.e., the subsidies for sustainability, the subsidies for monodzukuri, and the subsidies for introduction of IT, under the Project for Encouraging SMEs to Advance the Productivity Revolution, an initiative for continuously supporting SMEs and small enterprises to improve their productivity, METI has been providing a “special framework” in which businesses proactively making investment to overcome negative impacts caused by the novel coronavirus disease are entitled to enjoy increased subsidies and raised upper limits of subsidies. Moreover, from the viewpoint of strongly encouraging businesses to resume their operations in accordance with the industry-based guidelines and other instructions in response to the lifting of the Declaration of the State of Emergency, METI formulated a Package of Measures for Supporting Businesses in Resuming their Business Operations (see the Appendix) as an initiative in which the details of the support measures provided under these subsidy programs are improved.

1. Raising the subsidy rates under the special framework (Category B and Category C)

Under the special framework of the Project for Encouraging SMEs to Advance the Productivity Revolution, an initiative established under the FY2020 Supplementary Budget, METI will raise the subsidy rate from 2/3 to 3/4 if applicant businesses have been making investment in efforts classified in Category B (“shifting to non-face-to-face business models”) and those classified in Category C (“development of teleworking environments”) to a level above the predetermined level (one-sixth or more of the expenses subject to the subsidy programs), which is the investment recommended by the industry-based guidelines and other instructions.

Categories of target efforts by businesses under the special framework (Note: These categories are commonly applied to the three subsidy programs above.):

- Category A Response to damages to supply chains Subsidy rates: 2/3
- Category B Shifting to non-face-to-face business models Subsidy rates: 2/3→ 3/4
- Category C Development of teleworking environments Subsidy rates: 2/3 → 3/4

2. Establishing a framework for business resumption

Aiming to strongly encourage efforts by SMEs and small enterprises for resuming their business operations, METI, as part of the subsidies for sustainability (the special framework and the regular framework) and the subsidies for monodzukuri (the special framework), will add another framework for newly providing a fixed amount of subsidies with an upper limit of 500,000 yen (the framework for business resumption) targeting businesses investing in measures for preventing the novel coronavirus disease in accordance with the industry-based guidelines and other instructions.

Details of support measures under the framework for business resumption:

- Subsidy rates Fixed amount of subsidies (10/10)
- Upper limit of subsidies 500,000 yen (or up to 1/2 of the total amount of subsidies)
- Target businesses Businesses successfully selected as recipients of the subsidies for sustainability (the special framework and the regular framework) or the subsidies for monodzukuri (the special framework)
- Expenses subject to the subsidy programs Expenses spent for measures for preventing the novel coronavirus disease, which are taken in accordance with industry-based guidelines and other instructions
(Example: Expenses spent for antiseptics, face masks, cleaning, partitions, ventilation equipment, etc.)

Note: These expenses target those spent after May 14, 2020, when the Declaration of the State of Emergency was lifted from 39 prefectures.

II. Future schedule of calls for applicants

Concerning the three subsidy programs of the subsidies for sustainability, the subsidies for monodzukuri and the subsidies for introduction of IT, today, on May 22, 2020, METI will start a call for applicants, in which the details of the Package of Measures for Supporting Businesses in Resuming their Business Operations mentioned above have been reflected. Moreover, the details of the package will also be applied to successful businesses selected as recipients of the subsidies for sustainability or the subsidies for monodzukuri under the calls for applicants in May 2020.

This package of support measures will be implemented by making use of the budget allocated to the Project for Encouraging SMEs to Advance the Productivity Revolution, which was established under the FY2020 Primary Supplementary Budget as a measure for addressing the novel coronavirus disease. METI will make additional budget allocation if necessary.

Closing dates of the previous and next calls for applicants

- Subsidies for sustainability: Previous closing date: May 15 (Fri.), 2020 Next closing date: June 5 (Fri.), 2020
- Subsidies for monodzukuri: Previous closing date: May 20 (Wed.), 2020 Next closing date: August 3 (Mon.), 2020
- Subsidies for introduction of IT: Previous closing date: March 31 (Tue.), 2020 Next closing date: May 29 (Fri.), 2020

Note: METI will continue to open calls for applicants after the next closing dates and will intermittently provide closing dates for the respective calls.

For more information, see the section titled “Wishing to make use of subsidy or aid programs” on the website below.

Contact counter for this package

Office for the Project for Encouraging SMEs to Advance the Productivity Revolution, Planning Department, Organization for Small & Medium Enterprises and Regional Innovation, JAPAN

Phone: 03-6459-0866

Service hours: From 9:30 to 12:00 and from 13:00 to 17:30, except Saturdays, Sundays and national holidays

Related document

Division in Charge

Policy Planning and Coordination Division, Commissioner’s Secretariat, Small and Medium Enterprise Agency