According to Algeria’s local startup incubator, Innoest Company, 19 creative projects in the Algerian province of of Tébessa have received the startup label in multiple fields. The Delegate Ministry in Charge of the Knowledge Economy and Startups gave the startups the label, which would allow them to begin the effective execution of their initiatives and contribute to the dynamic development of the North African country, according to Fathi Gasmi, the manager of this incubator.

Here Is What You Need To Know

• The innovative initiatives in question are related to transportation, logistics, tourism, agri-food, new agriculture, and aquaculture activities, and the Tébessa incubator is in the lead due to the vast number of startups that have received labels. 

• In terms of funding for innovative projects on a national level Gasmi stated that his incubator received 455 unique projects through its website, which launched in March 2021, and that his team reviewed and approved 30 of them, which are currently being watched by the Innoest Compagny team, with 19 of them winning the startup label.

• The remaining projects are in the feasibility study stage, when they will be evaluated for feasibility, performance, job creation, and socioeconomic impact using the same methodology. 

• Gasmi stated that the Tébessa startup incubator has signed various agreements with important industries as well as educational and training institutions in order to encourage the creation and monitoring of start-ups in order to generate income and jobs. He also emphasized the incubator’s work in terms of restoring oxygen generators in hospitals in Tébessa and nearby provinces as part of the fight against the Covid-19 pandemic.

• He gave an update on the design of the first prototype of an Algerian oxygen generator, which will be deployed soon.

• It’s worth noting that the province of Tébessa has set aside 140 acres for the formation and gradual development of 28 mini-activity zones in all of the province’s communities to accommodate innovative initiatives.

Startup Label In Algeria

Algeria’s recent decree creating a national committee for the labelling of startups, incubators and innovative projects is a big game changer. As a result of the decree, from 2021, labelled startups in the north African country will pay zero tax on their corporate profits, VAT and professional services. 

The country has also, recently launched a national fund for startups.

startup labels Algeria startup labels Algeria

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

21 new startup labels have just been awarded by the Tunisian Ministry of Communication Technologies, bringing the overall number of awarded labels to 400 under the “Startup Act” program. Awarding the startup label is part of the “Startup Act” program, which has as its main objective, the promotion of those starting businesses in Tunisia or foreign businesses which are settling there. 

The Tunisian Startup Act Has Given Startups In The Country A Voice

Unarguably, Tunisia leads other African countries in bold startup legislations. The Tunisian Startup Act, passed in May, 2018, puts in place the following measures in favour of startups:

• Tunisian Startup Act defines startups as an entity having legal existence not exceeding eight (08) years from the date of its constitution.
• More than two-thirds (2/3) of Tunisian startups’ capital must be natural persons, venture capital investment companies, collective investment funds, investment, seed money and any other investment body according to the legislation in force or by foreign Startups to qualify as startups under the Act.
• The business model envisaged by the Tunisian Startup Act is one that is highly innovative, utilizing cutting-edge technology.
• Under the Act, any individual promoter of a Startup, public agent or employee of a private company, may benefit from the right to Startup Leave for creation of a Startup for a period of one year renewable once
• Any promoter of a Startup may benefit from a Startup scholarship for a duration of one (01) year. Only three (03) shareholders and full-time employees in the relevant Startup may however benefit from the scholarship awarded.
• Young graduates who create startups are free from taxation for three years.
• The profits from the sale of the securities relating to the shares in the Startups are exempt from the capital gains tax.
• Startup labels are also part of the innovations Tunisia’ s Startup Act has introduced.

Tunisia startup label Tunisia startup label

Read also: What Difference Have Startup Acts Made In African Countries Where They Exist?

Lessons from Tunisia’s seeming success with its Startup Act

Tunisia’s Startup Act has largely succeeded because of a collaboration between the public and private sectors. For instance, Smart Capital, the company in charge of administering the Tunisian Startup Act is privately managed, although with public shareholding. The company was approved by the Tunisian Financial Markets Council, and works with the country’s Ministry of Communication Technologies and Digital Economy and the Ministry of Finance. Smart Capital’s mission is simple and straight-forward: design and implement the Startup Tunisia initiative (including among others, the Startup Act and the Fund of Funds ANAVA), in order to make Tunisia a country of startups at the crossroads of the Mediterranean, MENA region and Africa.

Read also:How Small Businesses Can Get Maximum Value From Mobile

Thus, handing over the administration of the Act to a private entity has saved the Act from the bugs of bureaucracy and inefficiencies that eat up most government commissions and agencies in Africa. The company has been promoting Tunisian startups and planning several launches of funds in support of startups, recently.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer

Barely two years after Tunisia passed its Startup Act, 379 startups have now been registered under the Act, the last set –twenty-six startup labels– just awarded by the Ministry of Communication Technologies. Awarding the startup label is part of the “Startup Act” program, which has as its main objective, the promotion of those starting businesses in Tunisia or foreign businesses which are settling there.

The Tunisian Startup Act Has Given Startups In The Country A Voice

Unarguably, Tunisia leads other African countries in bold startup legislations. The Tunisian Startup Act, passed in May, 2018, puts in place the following measures in favour of startups:

• Tunisian Startup Act defines startups as an entity having legal existence not exceeding eight (08) years from the date of its constitution.
• More than two-thirds (2/3) of Tunisian startups’ capital must be natural persons, venture capital investment companies, collective investment funds, investment, seed money and any other investment body according to the legislation in force or by foreign Startups to qualify as startups under the Act.
• The business model envisaged by the Tunisian Startup Act is one that is highly innovative, utilizing cutting-edge technology.

Read also: Egypt’s Dsquares Secures New Funding For Expansion Outside Egypt

• Under the Act, any individual promoter of a Startup, public agent or employee of a private company, may benefit from the right to Startup Leave for creation of a Startup for a period of one year renewable once
• Any promoter of a Startup may benefit from a Startup scholarship for a duration of one (01) year. Only three (03) shareholders and full-time employees in the relevant Startup may however benefit from the scholarship awarded.
• Young graduates who create startups are free from taxation for three years.
• The profits from the sale of the securities relating to the shares in the Startups are exempt from the capital gains tax.
• Startup labels are also part of the innovations Tunisia’ s Startup Act has introduced.

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer