At a time when the global fundraising landscape is becoming more challenging and early-stage investment cycles are taking longer, the Israel Innovation Authority (IIA) has announced a significant and welcome update to its Early Stage Fund for DeepTech startups at the Pre-Seed and Seed stages.
The primary goal of the program is to reduce the risk for investors backing breakthrough technologies while providing entrepreneurs with the financial runway they need to build globally competitive companies.
Beginning July 15, 2026, a series of important changes will take effect, designed to help early-stage startups overcome today’s fundraising challenges.
The Israel Innovation Authority’s maximum investment for Pre-Seed startups will increase from ILS 1.5 million to ILS 2 million (approximately USD 700,000) – an increase of roughly 33%.
The maximum non-dilutive investment for Seed-stage companies will increase from ILS 5 million to ILS 6 million, representing more than USD 2 million in government funding.
The maximum participation for Series A companies will remain ILS 15 million.
The maximum eligible financing rounds will also increase:
Companies operating in Priority Area A or led by founders from underrepresented populations will be eligible for even higher funding caps:
To simplify the application process, startups will now need to submit a Term Sheet covering only 15% of the planned investment round at the application stage.
Once approved by the Israel Innovation Authority, companies will have six months to complete the remainder of their private fundraising round – significantly improving their chances of securing investment under today’s market conditions.
The expanded funding limits create exciting opportunities for founders, but they also increase the importance of strong financial management and operational discipline.
Managing grants from the Israel Innovation Authority requires accurate financial reporting, ongoing bookkeeping, detailed expense tracking, regulatory compliance, and timely reporting throughout the life of the project.
For many startups, securing the grant is only the first step. Successfully managing the funding afterward is just as critical.
At Shimony Financial Services, we have spent more than 40 years helping technology companies, DeepTech startups, international businesses, and venture capital funds (VCs) build strong financial foundations for growth.
Our team of more than 90 finance professionals provides comprehensive financial services, including:
We understand that professional financial management for startups is far more than accounting. It is a strategic function that supports every stage of a company’s journey -from Pre-Seed fundraising and Seed financing, through international expansion, scaling, and ultimately mergers and acquisitions (M&A).
Our experience enables us to provide fast, scalable, and tailored financial solutions, allowing founders and management teams to stay focused on what matters most: developing innovative technologies and building the next generation of successful Israeli startups.
Whether you’re preparing an application for the Israel Innovation Authority, managing grant funds, or looking to strengthen your startup’s financial infrastructure, having the right financial partner can make all the difference.
At Shimony Financial Services, we’re here to help ensure your financial operations are investor-ready, compliant, and built to support long-term growth.
