Question & AnswerQ&A (Republic Act No. 11337)
The short title of Republic Act No. 11337 is the "Innovative Startup Act."
The State's policy is to foster inclusive growth through an innovative economy by streamlining government and nongovernment initiatives to create jobs, improve production, and advance innovation and trade, encouraging the establishment and operation of innovative new businesses and to develop a startup ecosystem in the Philippines.
A startup is defined as any person or registered entity in the Philippines which aims to develop an innovative product, process, or business model.
Startup enablers are persons or registered entities registered under the Philippine Startup Development Program that provide goods, services, or capital crucial to supporting the operation and growth of startups.
Host agencies include the Department of Science and Technology (DOST), Department of Trade and Industry (DTI), Department of Information and Communications Technology (DICT), and other national government agencies, local government units, or public academic institutions that provide programs, benefits, and incentives to startups or startup enablers.
It is a program composed of benefits, programs, and incentives for startups and startup enablers promulgated through national government agencies and NGOs, with lead agencies DOST, DICT, and DTI overseeing its development, monitoring, and expansion.
Benefits include subsidies for registration and permits, prioritized processing of applications, subsidies for use of facilities and office spaces, and grants-in-aid for research, development, training, and expansion projects.
Philippine Startup Ecozones are special economic zones promoted by the Philippine Economic Zone Authority (PEZA) to support growth of startups and startup enablers through private, local government, or national government initiatives, offering applicable investment benefits.
The SGF is created under DOST, DICT, and DTI to provide initial and supplemental grants-in-aid for startups and startup enablers that have passed selection and application processes.
The DFA is mandated to create startup owner visas for foreign startup owners, startup employee visas for their foreign employees, and startup investor visas for foreign investors in startups registered in the Philippines.
Bearers of the startup visa shall be exempt from securing an Alien Employment Permit (AEP) issued by the Department of Labor and Employment (DOLE).
The Department of Science and Technology (DOST), Department of Information and Communications Technology (DICT), and Department of Trade and Industry (DTI), in coordination with pertinent government agencies.
The DICT, in consultation with the DTI and DOST, shall develop and maintain the Startup Philippines Website as the primary source of information on statistics, programs, events, benefits, and services for startups and startup enablers.
Host agencies will promulgate policies and guidelines, assess impact and applicability of benefits, promote access to benefits and incentives, and ensure immediate and efficient provision of such benefits under the Act.
The DBM shall assess and create positions, temporary or permanent, in coordination with host agencies to provide the administrative and technical capacity needed to implement the programs and benefits under this Act.