KOSGEB is the Turkish acronym for “Small and Medium Industry Development Organization”. The agency funds projects to boost exports and develop local industries that can compete globally or reduce Turkish imports to support the state’s trade balance.
The funding is granted in such a way that almost all stages of product development are covered. The main stages include product development funding, where companies are expected to develop the product and demonstrate low-volume production. This low-volume production allows companies to understand and develop product-market fit strategies. The second stage is industrialization, where funding goes toward full-scale serial production investments. The third stage is selling to global markets. At this stage, funding is primarily spent on marketing activities and, if necessary, international certification of the product.
MTI Composites was awarded funding to develop 700C carbon fiber bicycle wheels in the second half of 2022. This is the first-stage funding, during which we develop the product. The funding mechanism operates on a pay-per-bill basis. Every expenditure already approved by KOSGEB is paid within 10 working days. This does not strain the company’s cash flow but rather allows them to follow the project plan in a timely manner.
Our core team consists of 3 people: a designer, a mechanical engineer, and a bike mechanic. Our advisory board consists of 3 people who support us in composite technologies, the composite industry supply chain, and mechanical design and investments. By the end of the 3rd quarter of 2023, our project will be finalized, and we will proceed with the next stage of industrialization funding.
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