HUB71 REVAMPS INCENTIVE PROGRAM AND OFFERS UP TO AED 750,000 TO FURTHER SOLIDIFY ITS COMMITMENT TO STARTUP GROWTH FROM ABU DHABI
- Abu Dhabi’s global tech ecosystem to enhance the startup growth journey by taking ownership interest in startups joining its growing community
- Startups to receive AED 250,000 worth of in-kind incentives and an initial AED 250,000 cash incentive in exchange for equity
- High-performing startups are eligible to receive a top-up of up to AED 250,000 in exchange for additional equity
Abu Dhabi, United Arab Emirates – 16 October 2023: Hub71, Abu Dhabi’s global tech ecosystem, today announces it has enhanced its Incentive Program that will now provide startups with up to AED 750,000 in cash and in-kind incentives, providing greater value for disruptive tech companies joining its fast-growing community.
Startups joining its revamped Incentive Program called the Company Building Program will receive up to AED 250,000 worth of in-kind incentives in the form of support services and AED 250,000 in cash for equity, assisting founders in accessing readily available capital. For the first time, Hub71 will gain an ownership interest in startups selected to join its Company Building Program, offering comprehensive support packages designed to nurture the potential of high-growth companies and empower founders with the resources to create a lasting impact.
Hub71’s shift to a new incentive model strengthens the tech ecosystem’s commitment to increasing the value provided to founders and high-performing tech companies out of Abu Dhabi. Upon completion of the one-year Company Building Program, top-performing startups selected by Hub71 can receive up to an additional AED 250,000 cash incentive in exchange for further equity.
Hub71 will provide the AED 250,000 cash incentive through a Simple Agreement for Future Equity (SAFE) based on founder-friendly terms tailored for the Abu Dhabi Global Market (ADGM) jurisdiction. The SAFE aims to enhance the growth journey for ventures in Abu Dhabi, the fastest-growing startup ecosystem by value in the Middle East and North Africa region and the sixth fastest globally. Founders will be able to generate cash upon onboarding to fund the growth of their businesses without the immediate decrease of ownership to existing shareholders. When the startup proceeds with a formal funding round, Hub71 will exercise its right under the SAFE to take an equity interest in the startup. This newly established approach is designed with founders in mind, providing simplicity and flexibility to funding high-growth startups seeking to expand globally from Abu Dhabi.
Ahmad Ali Alwan, Deputy CEO of Hub71, said: “Building on our reputation for championing the growth of early-stage tech companies, our new SAFE model and Company Building Program represents a natural progression for Hub71, which has been a launchpad for over 200 startups in the Hub71 program that have raised almost AED 5 billion collectively. This impact and shift to provide greater value to our startup community solidifies our commitment to founders as we aim to enhance the growth trajectory of innovative companies with the simplicity and flexibility needed to ensure they succeed. Our dedication will go beyond financial support; we are deeply invested in the success of startups in our community and will remain engaged in ensuring their sustainable growth and development in Abu Dhabi and beyond.”
Startups that join Hub71's Company Building Program enter a vibrant community where they can benefit from an extensive network of corporations, investment partners, and government entities, unlocking the advantages of Abu Dhabi's marketplace. To further accelerate growth, startups enroll in a three-month course as part of the Program to receive expert mentorship, tailored advice and critical support. Founders will gain the expertise and guidance of Hub71, which will facilitate introductions to its partners, increasing the prospect of commercial deals and successful fundraising.
Hub71 is Abu Dhabi’s global tech ecosystem that enables founders to build globally enduring homegrown tech companies in any sector by providing access to global markets, a capital ecosystem, a global network of partners, and a vibrant community filled with highly skilled talent, governed by forward-thinking regulation.
Backed by the Government of Abu Dhabi and Mubadala Investment Company, Hub71 is growing its vibrant community of tech startups, investors, government, and corporate partners to ensure the availability of investment, commercial activities, and incentives from the public and private sectors. Through Hub71’s entrepreneurial infrastructure, value-add programs, enabling services and support packages, founders can build and scale widely adopted technologies with purpose and impact. Hub71 is on a mission to introduce new minds and technologies to Abu Dhabi, finding new ways to build globally enduring technology companies and sustain the nation’s continuous economic development.
For more information visit www.hub71.com and follow us on @Hub71AD #Hub71.
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