Support Services

• Zero percent Corporation Tax, Green Fund and Business Levy for the first five (5) years from listing on the TTSE, i.e. applicable for Year 1 through Year 5;

• Fifty percent reduction on Corporation Tax, Green Fund and Business Levy for the next five (5) years from listing on the TTSE, i.e. applicable for Year 6 through Year 10.

Frequently Asked Questions

Eligibility for Tax Exemption

How do SMEs qualify for the new tax incentives?

For a company to qualify for tax incentives under the Corporation Tax Act and the Miscellaneous Taxes Act, it must meet the definition of a “SME Listed Company” , under the Finance Act (16 of 2021) Chapters 8 and 11 amending both the Corporation Act and the Miscellaneous Tax Act, it states that:

“SME listed company” means a Small and Medium Enterprise company listed on the Trinidad and Tobago Stock Exchange, namely a company whose—

(minimum issued share capital is five million dollars and maximum issued share capital does not exceed fifty million dollars following the initial public offering;

(b) minimum and maximum capital base comprises of issued share capital only and does not include retained earnings and accounts transferred from such issued share capital or account;

(c) minimum of twenty five unconnected shareholders own a total of at least thirty per cent of the new issued share capital of the company; and

(d) capital is raised with the issuance of an initial public offering to be followed by a listing on the Trinidad and Tobago Stock Exchange no more than sixty days after allotment of the issue.”

If the SME is suspended from trading on the SME Market, does the SME still qualify for the remaining fiscal incentives if the tax holiday has not yet expired?

The SME must be listed in order to claim the tax incentive. For a company to qualify for tax incentives under the Corporation Tax Act and the Miscellaneous Taxes Act, it must meet the definition of a “SME Listed Company” , under the Finance Act (16 of 2021) Chapters 8 and 11 amending both the Corporation Act and the Miscellaneous Tax Act, it states that:

“SME listed company” means a Small and Medium Enterprise company listed on the Trinidad and Tobago Stock Exchange, namely a company whose—

(a)   minimum issued share capital is five million dollars and maximum issued share capital does not exceed fifty million dollars following the initial public offering;

(b) minimum and maximum capital base comprises of issued share capital only and does not include retained earnings and accounts transferred from such issued share capital or account;

(c) minimum of twenty five unconnected shareholders own a total of at least thirty per cent of the new issued share capital of the company; and (d)  capital is raised with the issuance of an initial public offering to be followed by a listing on the Trinidad and Tobago Stock Exchange no more than sixty days after allotment of the issue.”

(d) capital is raised with the issuance of an initial public offering to be followed by a listing on the Trinidad and Tobago Stock Exchange no more than sixty days after allotment of the issue.”

What is the procedure to access the fiscal incentives after listing?

The “SME Listed Company” will file a Tax Return indicating its eligibility for the tax exemption along with a Confirmation Letter from the Trinidad and Tobago Stock Exchange. The Confirmation Letter will indicate that the “SME Listed Company” has met all the requirements for listing on the Stock Exchange.

The SME Market was introduced in 2012, aligned with the Trinidad and Tobago Stock Exchange’s (TTSE) vision to further develop the local capital market and promote economic diversification.  With the creation of this tier, small and medium-sized companies are afforded the opportunity to raise capital on the domestic stock market and the SME Market serves to provide an alternative financing source for capital expansion.

The TTSE SME Market targets all SME owners and entrepreneurs who meet the eligibility criteria to list on the Exchange. 

Benefits

1. Tax Incentives: 10-year Tax Incentive can be used to strengthen the Balance Sheet
2. A full tax holiday for the first five years from listing on the TTSE (exemption from the payment of Corporation Tax, Business Levy and Green Fund Levy)
3. A fifty percent (50%) reduction in taxes for the second five-year period (Corporation Tax, Business Levy and Green Fund Levy)
4. Access to Equity Financing; no obligation to pay debt; no collateral requirements
5. Increased Brand Visibility, Enhanced Reputation, and Transparency of the Business
6. Price Discovery: Establishes a market value and eliminates the uncertainty for determining share value
7. ESOP Incentives: Shares can be offered as performance incentive to employees
8. Raising Capital:
9. Ability to raise funds through Additional Public Offering (APO)

For further information, please visit the TTSE SME Market website

 Or contact TTSE via email at smemarket@stockex.co.tt

This Grant is solely for local producers of alternatives to wheat flour. With the newly expanded Grant Fund Facility, SMEs can access financing for the acquisition of machinery and equipment to be used in the manufacture of alternatives to wheat flour. The facility provides individual Grants to cover 75%, up to a maximum of TT$340,000.00 (approximately US$50,000.00), of the cost of the acquisition. (The Grant does not cover working capital, or land, building and installation costs).

Cash refund offered to any national or international producer on expenditure incurred while filming in Trinidad and Tobago.

For nationals: 35% rebate on expenditure between TT$100,000 to TT$51,200,000.

For non-nationals: Tiered system of 12.5% to 35% on initial expenditure of US$100,000 to US$8,000,000. Additional 20% cash rebate on expenditure incurred on use of Qualifying Local Labour.

This grant is solely for micro and small enterprises involved in services related to: ship building, repair and maintenance; servicing of vessels, including yachts, such as fiberglass work, welding, woodwork, upholstery services, sail making, electronics and electrical work, painting and rigging; hospitality services; travel agency services; and yacht brokerage.

Micro businesses in the yachting industry will be eligible for a cash grant of TT$20,000.00 to cover 100% of the following business cost:

• New machinery, equipment and tools or upgrades thereof up to a maximum of TT$20,0000
• Raw materials up to a maximum of TT$20,000
• Utilities up to a maximum of TT$5,000
• Rent up to maximum of TT$15,000

The Grant will cover the following business costs for Small businesses in the yachting industry:

• New machinery, equipment and tools or upgrades thereof 75% of the cost of machinery, equipment or tools up to a maximum of TT$50,0000
• Raw materials 75% of the cost of raw materials up to a maximum of TT$30,000
• Utilities 100% of utilities cost up to a maximum of TT$5,000
• Rent 100% up to TT$10,000

Provides funding to companies for the implementation of international standards such as, but not limited to GMP, HACCP, ISO, etc. The grant allows companies to be reimbursed up to 50% of the total cost of the project value to a maximum of TT$35,000.00 per company per year.

Provides financial assistance to the Manufacturing Sector (including Agro-processing), for a range of applicable international standards to boost production of non-energy exports and contribute to import substitution. Funding is provided in the form of grants, up to a limit of TT$500,000.00 and will be limited to one grant per beneficiary and will partly cover the costs associated to meet recognized international standards.

Eligible local steelpan manufacturers can access individual Grants, up to a maximum of TT$250,000 per tranche, not exceeding TT$1,000,000.00 per entity, to fund the acquisition of new machinery, equipment, software, tools, raw materials and training.

Import Duty Concessions are granted to qualifying manufacturing and processing companies in Trinidad and Tobago. Import Duty Concessions allow such companies to receive exemptions on import/customs duties for items that they import as supplies for their manufacturing or processing needs.

Companies can be reimbursed up to 50% of the total eligible costs incurred in accessing new export markets or expanding within existing markets. A company shall receive financial support on pre-approved investments, purchases, costs or expenses. Co-financing funds export-oriented activities by domestic non-energy manufacturing and service companies in operation for a minimum of one (1) year. The grant is based on the size of the company:

• Small Companies- Generating less than or equal to TT$8 million in annual turnover 50% to a limit of TT$60,000.00. Funded portion will be paid directly to suppliers for small companies only.

• Medium Companies- Generating between TT$8 million and TT$15 million in annual turnover 50%to a limit of TT$55,000. Reimbursable.

Provides funding to stimulate and support investment in new and advanced technology and innovation as a competitiveness enhancement tool for enterprises in the non-energy manufacturing and services sectors.
It provides funding for the successful marketplace entry of innovative and technology driven business ideas in Financial, Maritime and Aviation Services, Software Design and Applications, Creative Industries, Fishing and Fish Processing, Agriculture and Agro-Processing.
Eligible companies can access funding in three (3) phases: Phase 1: Feasibility- 70% of the total cost of the project up to TT$100,000.00;
Phase 2: Product and service development- 50% of the total cost of the project, up to TT$750,000.00;
Phase 3: Product/Service Commercialization- up to TT$150,000.00

Provides financing to SMEs involved in Software Designs and Applications, Fish and Fish Processing, Aviation Services, Financial Services, Manufacturing, Agriculture and Agro-Processing, Maritime Services and Creative Industries, for the acquisition of new capital requirements/expenditure. Local businesses can access individual Grants, up to a maximum of TT$250,000 per beneficiary, to finance 50% of the cost of the acquisition.

The Rationale for the Enterprise Assistance Fund

The Business Development Unit is committed to the empowerment of individuals and communities in order to achieve National Development, by fostering financial independence and sustained improvement in living conditions.  This Enterprise Assistance Fund is but one of a range of services and resources geared towards the support of existing and potential entrepreneurs.

 Approach

A. The Business Development Unit views itself as a partner in each of the projects in which it becomes involved.  The well-being of its clients is its main focus.  In this regard, the focus of the Unit is two-fold:

i. The sustainability of the client’s venture; and

ii. Its impact on the community

This approach will ensure that the full social and economic benefits of the partnership can be realized.

TARGET MARKET

A. The preferred market for the Enterprise Assistance Fund is the creative, innovative entrepreneur in areas of service and manufacturing.  Primarily, the Fund identifies four (4) distinct categories as its core target groups:

i. The ‘regular’ entrepreneur shopping his ideas/proposals in search of funding;

ii. The disenfranchised individuals who, by virtue of their inability to access capital or support, have difficulty pursuing their entrepreneurial option;

iii. Using the concept of peer-group lending, loans will be made available to community or other groups with sound business ideas.  These groups should however, have been established for a period of at least one (1) year, and;

iv. Companies that have been in existence for at least (2) years.

 B. The BDU encourages proposals in the following areas of Enterprise:

i. Manufacturing

ii. Service Oriented Projects

• Graphic, Web Design and Marketing
• Catering
• Events Management
• Sanitation
• Vehicle Services
• Cleaning Companies
• Restaurants

III. Community Cluster Production

iv. Art and Craft

v. Fashion and Design

vi. Garment / Textiles Manufacturing (whole scale approach)

vii. Agro / Fish Processing E.g. Packaging, preserving (value added aspects of the fishing industry)

vii. Retail Services e.g.

• Dry goods – commercial / retail (security demanded must be at the highest allowable amount; and each case would be analyzed on its own merit)

• Food – fruits, vegetables, meats (mini marts)

ix. Tourism Sector Services e.g.

• Tours, reef boats, dive shops
• Game fishing, charters
• Taxi, maxi, vehicle rentals, limousines

x. Trade Related Activities

• To get products and services export-ready to meet international standards in order to penetrate foreign markets.

The Enterprise Assistance Grant Programme (E.A.G.P.) was established to assist in the jump-start of micro and meso enterprises on the island of Tobago. It was realised that under-capitalization and the lack of market research are critical factors contributing to business failure. As such, the E.A.G.P. can be utilized for the acquisition of capital assets which add value to the business venture and by extension promotes the project’s economic viability and sustainability. In addition to which, Grant recipients would also benefit from the Mandatory Business Training which aids in alleviating some of the issues relating to the lack of business research, customer service, as well as bookkeeping and budgeting.

Fund Objective

Since the Business Development Unit sees itself as a partner with all other stakeholders in the development of the economic landscape of Tobago, the E.A.G.P will focus on:

• Environmental sustainability
• Improve the value chain of businesses in the micro and meso sector
• Expand the base of economic activity – diversification
• Develop entrepreneurs through the injection of fund capital
• Allow for creative and innovative ideas to be converted to business success

Fund Limit

The Enterprise Assistance Grant Programme will provide funding for approved business projects up to a maximum of twenty-five thousand ($25,000.00).

Target Market

To ensure that the duplication of services is minimized and that access is afforded to the disenfranchised, the following would be targeted:

• Micro and Meso Entrepreneurs
• MUST, YTEPP,CCC Graduates, YAPPA, CEPEP employees
• University Graduates (UWI, UTT, COSTAAT, TTHTI)
• Village Councils, Churches and other NGOs
• Food Card recipients and other social services support groups

Sector Target

Although the list is not exhaustive, applications in the following areas will be encouraged:

• Small scale garment manufacturing and tailoring
• Preparation of baked goods
• Marketing and or Advertising services
• Small scale farming and agro processing
• Manufacturing
• Motor vehicle repairs – not for stocking spare parts for resale
• Landscaping & Horticulture
• Personal Health care

Micro and Small Enterprises that have been negatively impacted by the COVID-19 pandemic are invited to apply for the Entrepreneurial Relief Grant from the Ministry of Finance in collaboration with NEDCO. MSEs that earn less than TT $1,000,000 in annual revenues, and have been negatively impacted by the global pandemic. MSEs can access up to TT $20,000 in grant funding to help cover business-related expenses such as salaries, rent, stock and other working capital items. This grant is applicable to all existing businesses. Applicants must be a citizen or legal resident of Trinidad and Tobago who attained the age of 18 years and over. Business owners can only apply for one business even if they own more than one.

NEDCO’s Small Business Financing service is geared towards supporting micro, small and medium size enterprises in achieving their business’ goals. Our loan process assists clients to be financially capable and competitive, whilst ensuring their business operations are compliant with the requirements specific to their sector. We provide financial services for a wide range of businesses with the exception of primary agriculture, gambling and the purchase of alcohol. Over the last twenty (20) years we have assisted thousands of entrepreneurs to establish, build and expand their businesses and we look forward to helping you do the same. First-time borrowers can access up to TT$250,000 while repeat borrowers can access funding up to TT$500,000. NEDCO's interest rate is fixed at 8 % (simple interest). The maximum repayment periods are 5 years for general loans; 3 years for tock loans and 6 years for Maxi Taxi Loans. Loans can ONLY be granted to registered businesses to purchase stock, equipment, motor vehicles or conduct repairs/renovation towards a business venture. NEDCO will not consolidate debt from other financial institutions, statutory bodies or individuals. Collateral is required and may be accepted in the form of business equipment, vehicles, or cash collateral. Businesses can receive up to three (3) months grace period. Loan funds will be directed to the account of the supplier(s) of the goods / services based on the quotations and invoices you supply. However, exceptions are made for regional / international purchases. Your Business Relationship Officer will discuss options for the moratorium disbursement of funds.

The Government of the Republic of Trinidad and Tobago (GORTT) is providing support to businesses, with annual revenues of TT$ 500,000 to TT$25 million, which have been impacted by the COVID-19 pandemic.

This loan is available to Micro, Small and Medium Enterprises (MSME). The aim of this initiative is to reinforce the MSME sector’s position as an integral part of the economy.

The guarantee provided by the Government of the Republic of Trinidad and Tobago represents 100% of the loan amount. No MSMEs will be required to provide security.

The Government of the Republic of Trinidad and Tobago (GORTT) is providing support to businesses, with annual revenues of TT$ 500,000 to TT$25 million, which have been impacted by the COVID-19 pandemic.

This loan is available to Micro, Small and Medium Enterprises (MSME). The aim of this initiative is to reinforce the MSME sector’s position as an integral part of the economy.

The guarantee provided by the Government of the Republic of Trinidad and Tobago represents 100% of the loan amount. No MSMEs will be required to provide security.

The Government of the Republic of Trinidad and Tobago (GORTT) is providing support to businesses, with annual revenues of TT$ 500,000 to TT$25 million, which have been impacted by the COVID-19 pandemic.

This loan is available to Micro, Small and Medium Enterprises (MSME). The aim of this initiative is to reinforce the MSME sector’s position as an integral part of the economy.

The guarantee provided by the Government of the Republic of Trinidad and Tobago represents 100% of the loan amount. No MSMEs will be required to provide security.

The Government of the Republic of Trinidad and Tobago (GORTT) is providing support to businesses, with annual revenues of TT$ 500,000 to TT$25 million, which have been impacted by the COVID-19 pandemic.

This loan is available to Micro, Small and Medium Enterprises (MSME). The aim of this initiative is to reinforce the MSME sector’s position as an integral part of the economy.

The guarantee provided by the Government of the Republic of Trinidad and Tobago represents 100% of the loan amount. No MSMEs will be required to provide security.