Algeria’s startup ecosystem is evolving fast. With new laws, public funds, and growing incubator support, there’s never been a better time to build a startup locally. But many young entrepreneurs still ask:

What are the key mechanims available for startups in Algeria?

In this article, we break down the essential mechanisms every Algerian startup founder should know, from official labels to funding tools and support programs.
 

To find out more about the startup ecosystem, click on the Link

1/ Label Startup & Projet Innovant:

Granted by the Ministry of Knowledge Economy, Startups and Micro-enterprises, based on the evaluation of a National Committee composed of experts, incubator representatives, and public authorities. This mechanism is governed by Executive Decree No. 20-254 (September 2020), which defines the criteria and procedures for obtaining both the Startup Label and the Innovative Project Label.

It gives startups legal recognition, opens access to major support mechanisms, and simplifies administrative procedures. It also positions your company as a trusted and high-potential venture within the national ecosystem. Offering :

Access to the Algerian Startup Fund (ASF):

• Tax and customs exemptions (import of equipment, VAT)

• Priority for incubation, acceleration, and international programs

• Access to public procurement opportunities dedicated to innovative companies

• Simplified procedures with CNRC, ANDI, customs, and banking institutions

• The Label Projet Innovant targets early-stage projects that involve R&D, prototyping, or technological development, even before company creation dedicated for example for students and researchers.
   

Eligibility criteria:

To qualify for the label, companies must meet the following criteria.

• Length of existence: The company must have been in existence for less than 8 years.

• Innovation: The company's business model must be based on innovative products/services.

• Sales: Respect a ceiling set by the Comité National des Startups.

• Share capital: At least 50% owned by individuals or approved investment funds.

• Workforce: Not to exceed 250 employees.

• Growth potential: Show significant growth potential.

How to apply?

A 100% online procedure on www.startup.dz. You can check your elegibility, create your startup profile, and submit your request. 
The application is reviewed by the National Committee, which meets monthly. If approved, your startup receives the Label valid for 3 years, renewable once.

2/ Algerian Startup Fund (ASF) 

The Algerian Startup Fund (ASF) is a public investment fund launched in 2020, with a mission to deliver tailored investment solutions that meet the needs of Algerian startups. With a capital of 2.4 billion dinars and a portfolio of over 100 funded startups across 20 business sectors, ASF plays a key role in fostering innovation and entrepreneurship. Offering: 

• Venture Capital: Provides equity investment to help high-potential startups accelerate their growth. Three levels of financing have been set: 2 million, 5 million and up to 20 million dinars.

• Advisory Support: Assists startups in identifying and accessing the most suitable funding mechanisms.

• Seed Funding: Offers financial support during the early stages of project creation and company formation.

How to apply ?

 
Startups must first obtain the "Label Startup" then submit their funding application to ASF. Funding applications are made entirely online at www.asf.dz, by filling in the dedicated form and submitting start-up documents such as a business plan.

3/ Intellectual Property (IP) Incentives.

If your startup holds the Label Startup or Label Projet Innovant, you are exempt from paying fees related to patent filings and trademark protection through INAPI (Institut National Algérien de la Propriété Industrielle).

This means you can:

• Patent your invention without paying the usual administrative costs

• Register your brand or logo as a trademark at no cost

• Reinforce your legal protection and market positioning early on

Tip: Don’t forget to mention your label status when submitting your IP request to INAPI, it’s the key to unlocking this exemption.

4/ Regulatory framework for startups 

A dedicated legal and fiscal framework have been established to support startups.

a) Label-Linked Tax & Customs Incentives

• Full exemption from VAT and customs duties on imported equipment and materials for R&D or prototyping

• Access to public funding programs such as the Algerian Startup Fund (ASF)

• Zero IP filing fees for patents and trademarks via INAPI

b) R&D and Open Innovation Tax Deduction. 

• Companies (private or public) that invest in R&D or co-develop projects with labeled startups can deduct up to 30% of those expenses from their taxable income

• Applies to tech transfer, innovation partnerships, and startup equity investment

• Annual ceiling: 200 million DZD

c) Public Procurement Access for Startups

• A dedicated quota of public tenders is now reserved for SMEs and labeled startups (percentage varies by sector)

• Innovative startups can access simplified procedures and tailored tender lots

• Favorable scoring criteria for innovation in technical evaluation

d) Simplified Business Creation & Legal Recognition

• Fast-track procedures

• No minimum capital requirement for startup registration

e) Export Support for Innovative Startups

• Labeled startups benefit from priority access to trade fairs, soft-landing programs

• Reduced administrative barriers for exporting digital services and tech products

• Possibility to open foreign currency accounts under simplified

5/ Support programs

Labeled startups in Algeria benefit from a growing network of incubators and accelerators offering tailored support: from ideation to market entry but also mentoring, technical guidance, and access to funding.

Platforms such as Soolvit acts as a gateway to national and international opportunities, allowing startups to join innovation challenges, access funding programs, and connect with corporate partners across Europe, Africa, and the MENA region.

Discover latest programs available for startups now: www.soolvit.com
 

6/ Algerian Startup Expedition Program (ASEP)

a government-led initiative that connects Algerian startups to top global innovation hubs like Silicon Valley, Seoul, and Shenzhen. Offering: 

• Fully-funded international immersion trips

• Access to investors, accelerators, and tech ecosystems

• Tailored workshops, pitch sessions, and B2B networking

• Market insights to prepare for global expansion

A program dedicated to Startups with the Label Startup must show strong growth potential, early traction, and readiness to scale internationally while representing Algeria abroad.

 Know more about ASEP: https://asep.dz/