BUD Fund and Easy BUD in 2026: Current Terms and Scheme History

Status and purpose

The BUD Fund supports eligible Hong Kong enterprises developing brands, upgrading or restructuring operations, and promoting sales in the Chinese Mainland and eligible other markets. It remains open for applications, subject to the funding balance. General and E-commerce Easy applications are batched; the official site lists 31 December 2026 at 23:59 HKT as the current batch cut-off. Easy BUD follows its own application rules.

The Mainland and other-market programmes

The BUD Fund began by supporting Hong Kong enterprises developing brands, upgrading operations and promoting sales in the Mainland. Its scope later expanded to economies covered by Hong Kong free-trade and investment agreements. The names describe target-market tracks, not a general subsidy for any local website expense. A project must connect the proposed activities to development of an eligible market.

A merchant planning to sell into a new market should define the customer, distribution route, products, target dates and evidence of demand before selecting a funding category. “Build a Shopify store” is a possible implementation element, not a sufficient business objective by itself. Explain how the store, content, payments, logistics and local promotion serve the eligible market and how success will be measured.

Who can apply

The current core test is a non-listed enterprise registered under Hong Kong’s Business Registration Ordinance with substantive business operations in Hong Kong. Eligibility is not determined by an SME employee-count threshold. Applicants should document staff, finances and business transactions in Hong Kong. Approval depends on the project and evidence; turnover does not automatically determine an award.

Evidence of a real Hong Kong operation

HKPC assesses substantive Hong Kong operations using factors including staff, financial records, business transactions and customers. A business registration certificate alone does not establish substantive operations. The applicant must understand its application and submit truthful information.

Before budgeting a project, gather the company structure, registration, employment and transaction records, then check whether the proposed legal entity is the one that will contract, pay and deliver the work. Identify related-party suppliers and procurement evidence early. This avoids preparing a persuasive marketing plan for an applicant that cannot demonstrate the underlying eligibility or costs.

Current funding at a glance

The official 2026 guidance uses a 1 (government):3 (enterprise) matching ratio: government funding covers at most 25% of approved cost. The cumulative ceiling is HK$7 million and at most 70 approved projects per enterprise across BUD tracks. General applications have a HK$800,000 ceiling per approved project. Easy BUD has a HK$150,000 ceiling per application. E-commerce Easy has a HK$800,000 project ceiling and HK$1 million cumulative ceiling within the overall HK$7 million. At any one time, total approved funding across approved applications and ongoing projects whose final reports have not been accepted must not exceed HK$800,000. Check expenditure-specific limits and audit requirements in the guide.

Build a budget around an actual deliverable

Possible project measures include brand positioning and visual identity, marketing content and photography, new product or service development, management systems, equipment, sales channels, intellectual-property registration and trade exhibitions. Listing a measure does not guarantee that its cost is eligible. For every item, state the supplier, deliverable, target-market link, quotation, payment milestone and who will own the resulting asset. Check the current guide for category-specific exclusions, caps and procurement requirements.

The current 1:3 matching ratio means a project with HK$400,000 of approved expenditure would have at most HK$100,000 government funding and HK$300,000 enterprise contribution, before considering any other cap or reduction. This is an illustration, not an approval estimate. Plan cash flow around the approved agreement and reporting timetable.

Easy BUD: the simplified route for specified projects

Easy BUD is a simplified application route within the BUD Fund, not a separate grant. It is open to non-listed businesses registered in Hong Kong with substantive operations here. The June 2026 guide asks for the latest audited accounts and either employee MPF records or sales invoices/receipts. Applicants must also declare that they have complied, and will continue to comply, with target-market licensing, qualification and certification requirements. The applicant itself must implement the project; a target-market affiliate cannot do so under Easy BUD.

Which activities fit Easy BUD?

The June 2026 guide limits Easy BUD to specified measures that directly develop business in an eligible target market. They include target-market advertising and physical exhibitions; intellectual-property registration; qualifying testing and certification; promotional mobile apps, company websites and materials; and establishing an online sales platform. Website work must support sales in the target market. Measures may be combined in one project. The guide limits management fees for advertising or an online platform to six months, and caps the total cost of enhancing an existing company website at HK$100,000 per application. Staff recruitment, equipment procurement and projects solely for the Hong Kong market are not covered by Easy BUD; check every proposed cost against the current list.

Funding, timing and cash flow

Easy BUD offers up to HK$150,000 per application. The 1:3 Government-to-enterprise matching ratio means the Government covers at most 25% of approved project costs and the applicant contributes at least 75% in cash. An applicant may submit one Easy BUD application every three months. Applications are accepted online throughout the year and processed continuously; the normal target is 30 clear working days after a complete application and all requested information are received. Each project must finish within 12 months. One final external-audit fee is capped at HK$5,000, follows the same matching ratio, and counts within the HK$150,000 application ceiling. There is no advance payment: any grant is paid only after completion and acceptance of the final report and audited project accounts. The final amount depends on recognised project expenditure. Plan to cover project costs until payment.

Easy BUD and E-commerce Easy are different routes

Easy BUD can include the establishment of an online sales platform, but it remains a specified-measures route with a HK$150,000 application ceiling and the BUD Fund’s eligible-market geography. E-commerce Easy is a separate route for e-commerce projects targeting the Mainland and ten ASEAN markets, with a HK$800,000 project ceiling and a HK$1 million cumulative ceiling. General BUD applications can cover a broader range of eligible work. Choose the route by the actual measures and destination, rather than treating the names as interchangeable.

Eligible markets and projects

The Mainland Programme covers development of the Mainland market. The other-economies track covers eligible FTA/IPPA economies and the eight additional Belt and Road markets added from 15 June 2026: Saudi Arabia, Bangladesh, Egypt, Hungary, Pakistan, Kazakhstan, Mongolia and Brazil. The latter expansion applies to General and Easy BUD applications; E-commerce Easy remains focused on e-commerce development in the Mainland and ten ASEAN markets. Examples of possible measures include market-facing brand work, promotion, e-commerce, product or service development, systems, equipment, and relevant registration, where the proposal and spending satisfy the current guide. No listed expense is automatically reimbursable.

Market scope and project route are separate questions

Eligible markets expanded in stages across the Mainland, ASEAN, Europe and other economies. A dated list from an earlier stage is not today’s complete eligibility list. Select the destination first, then confirm whether General, Easy BUD or E-commerce Easy covers it. Check the latest market list and the separate rules for the application route before committing to a destination.

A proposed website can serve several regions, but the application still needs a credible connection between the funded activities, target market and expected results. Break out translations, local content, channel setup, market-specific advertising and technical work rather than assigning the entire global storefront budget to one destination without evidence. Check the current guide for whether each item and territory qualifies.

How funding terms changed

Before the 2021 expansion, BUD guidance cited a HK$4 million cumulative ceiling, 1:1 matching, a 40-project limit and a 75% initial payment; expansion to 37 economies was then proposed. These were earlier rules or proposals. The dated timeline below traces the later increases. The current official FAQ states an optional initial payment of 20% for General and E-commerce Easy projects; Easy BUD is paid after completion and acceptance.

Key policy milestones

In October 2019 the government proposed doubling separate Mainland and FTA-track enterprise ceilings; January and April 2020 changes followed, which made the split between the Mainland and other-market tracks more flexible. In February 2021 the budget proposed a rise to HK$6 million and wider reach. The government announced on 29 July 2021 that Japan and Korea would enter the first expansion phase effective 30 July—not merely the earlier proposed month. The ceiling later rose to HK$7 million in November 2022. These milestones explain why dated BUD guidance gives different figures; use the current guide when applying.

The 2025 sustainability adjustments changed matching from 1:1 to 1:3, reduced the optional initial payment from 75% to 20%, and lowered the per-project General/E-commerce Easy ceiling to HK$800,000. Official guides from different years may show different figures; check the publication date and terms in force at the time.

Practical next steps

Define the target market and a measurable brand, upgrade or sales objective. Choose General, Easy BUD or E-commerce Easy according to the actual project, then check the latest guide, eligible expenditure, budget caps, procurement and reporting obligations. Prepare proof of Hong Kong operations and submit through the official online system. Keep control of the application and check uncertain requirements with HKPC directly.

A defensible application sequence

Begin with a three- to five-year direction for the target market, then select a deliverable that can be completed and measured within the proposed project period. Explain why the activity is needed, who will perform it, why each cost is reasonable and what evidence will show completion. Keep quotations, contracts, invoices and proof of payment consistent with the application. If the project changes, seek the official route for amendment before treating a supplier’s alternative as approved.

Company turnover does not by itself determine an award, and a consultant cannot guarantee the maximum grant. HKPC says it has appointed or endorsed no fee-charging consultant for BUD; the applicant remains responsible for truthful materials. A company can still obtain professional help, but should compare scope and fees transparently, retain control of its application and use the official BUD hotline or guidance to resolve eligibility questions.