The Business Growth Fund (BGF) focuses specifically on supporting and providing follow-on funding to successful grant recipient companies. The fund provides hybrid grant-equity funding which acts as a transition and a bridge from grant to venture capital (VC) financing. The financial assistant is a mix of two components – a grant portion and an equity portion that is similarly structured but more flexible than a VC financing.

The grant portion is to be disbursed to finance the tail end of the Technology Development Phase; while the equity portion is disbursed only upon the fulfillment of the grant milestone and upon starting of the initial phase of the business building phase.

The objectives of the fund are as follows:

  • Accelerate the development of local high technology companies by providing business funding to qualified grant recipients companies.
  • Provides funding for the “last mile” of the R&D&C value chain.
  • Ensures that qualified grant recipients are adequately capitalised during their crucial formative years to build a business track record
  • Build enough “commercial” value in the company to make companies attractive for follow-on financing by VCs & other financing institutions.
  • To demonstrate that grant recipients which have received strong market validation for their products/services are further supported to become full-fledged commercial enterprises.

Evaluation Process

BGF is opened to all successful grant recipient companies that can demonstrate a potential for business growth. The evaluation process of companies will be initiated upon receiving the Investor Factsheet from the company. The evaluation process involves three main phases.

The phases are:

Initial Assessment : Investor Factsheet

After receiving and reviewing the company’s Investor Factsheet, MTDC will follow up with an initial meeting with the company to better evaluate the business, team and the opportunity.

Processing : Company Presentation & Business Plan

During the presentation and discussion, the entrepreneurs and/or management of the company need to demonstrate a clear and convincing growth pathway for the company – such as what is its plans, how it is going to achieve that plan and what are the milestones required to monitor progress. In addition, the company should also know its funding requirement, how is the fund going to be utilised to achieve the growth and; finally, what is the next “leap” in the business after this growth is achieved, and how it will eventually attract follow-on funding from other sources such as VCs. For the presentation, in addition to the presentation slides, the company also needs to submit a 2- or 3-page Business Executive Summary. If MTDC decides to move forward with the evaluation of the company, it will request the company to submit a full and comprehensive Business Plan.

Approval of Process : Submission to TC & AC

After reviewing the full business plan, and if the idea is appealing, our Evaluation Officer will compile and prepare reports before presenting the proposal to the fund’s Technical Committee (TC) for deliberation and subsequently to put forward a recommendation (either to approve or reject the proposal) to the Approval Committee (AC) for a final decision. The AC is the final implementation body of the fund. The applicants may also be required to present their proposal to the respective committees. All successful and unsuccessful applicants will be informed officially after decisions were made by the AC.


Application Procedure

Companies applying for BGF need to submit a one-page Investor Factsheet to initiate the evaluation process. The Investor Factsheet can be submitted either through email or hardcopy as follows:

For Hardcopy:
Malaysian Technology Development Corporation (MTDC)Level 8 & 9, Menara Yayasan Tun Razak,Jalan Bukit Bintang,55100 Kuala Lumpur(BUSINESS GROWTH FUND)

Contact Us:

Noor Amal Morad
E-mail :
Tel: +6 03 2172-6000 Ext : 6042

Nor Aliza Sohot
E-mail :
Tel: +6 03 2172-6000 Ext : 6038

For more information, go to