ANNUAL PROGRAM STATEMENT (APS)

Media Innovation Activity

 

Funding Opportunity Title: Media Innovation Activity Support

Announcement Type: Annual Program Statement

Funding Opportunity Number: APS-MIA-FY2024-01

Issuance Date: December 22, 2023

Questions for First Round of Evaluations Due By: Questions are accepted on an ongoing basis

Deadline for Submission of Concept Papers: November 30,2024

Final Closing Date: December 22, 2024

Submit Concept Papers to: grants.mi@irex.org

The Media Innovation Activity, funded by United States Agency for International Development (USAID) and the Swedish International Cooperation Agency (SIDA), seeks to support innovative business ideas, focused on growth and impact, that will increase prospects of economic prosperity and contribute to long-term sustainability of media and media adjacent organizations.

The aim of this Annual Program Statement (APS) is to solicit applications from media (or media-adjacent) organizations for grants that will be used to secure loans that enhance business performance of the recipient.

Key information about the APS:

• The geographic focus under consideration includes the following:  Serbia
• Maximum grants anticipated to be awarded: 5
• The grant amount cannot exceed the total of USD 30,000.00.
• APS competition duration: 12 months, on a rolling basis
• The available funds for this APS may be allocated on a first come, first serve basis.
• The Media Innovation Activity may choose to fully fund, partially fund or incrementally fund the selected application(s).
• The number of grants and amount of available funding is subject to change and The Media Innovation Activity reserves the right to make no grants as a result of this APS.

The Media Innovation Activity seeks to improve the economic sustainability and business development of Serbia’s digital media, information, and communications sector, specifically for actors that support public access to accurate and relevant information. Under this APS, potential beneficiaries include, but are not limited to entities that provide information, IT services, content analytics, audience measurement, establishment of new digital platforms, cybersecurity, or other services that can facilitate public facilitate public access to fair and relevant information, critical thinking, or digital literacy skills necessary to navigate and participate in the 21st century information landscape (hereinafter, Beneficiaries). This APS seeks applicants who are interested in qualifying and applying for loans from commercial banks with the allocated funds, thereby improving their business portfolios by strengthening liquidity, securing working capital, and investing in equipment and/or technology. This opportunity allows beneficiaries to gain experience in working with banks, establishing a positive credit history, and improve their position to secure future funding from external sources.

Applications outside the geographic focus will not be considered. Applicants must demonstrate success in managing cultural and political considerations in the proposed focus country or region as well as success in addressing broader development objectives.

 

SECTION I - FUNDING OPPORTUNITY DESCRIPTION

A. Description of the Proposed Program

The Media Innovation Activity is pleased to offer a unique funding opportunity for digital media, information, and communications sector stakeholders seeking to enhance and/or expand their operations. Through this program, eligible beneficiaries may obtain capital in the form of grants which should be used to secure a collateral-backed banking loan that the Activity will facilitate. The funds acquired through this loan will be dedicated to making improvements to the beneficiary’s business itself, fostering innovation, growth, and resilience. A successful application will demonstrate how the applicant’s proposed activities will contribute to business innovation that results in greater economic independence. Selected applicants will be expected to follow an approved business plan and implement activities according to a milestone-driven framework. Subject to repayment of the loan, the initial collateral may be recovered by the beneficiary for the purposes of making improvements to the beneficiary’s business itself, fostering innovation, growth, and resilience.

Key Highlights:

• Financial Support: The Media Innovation Activity facilitates collateral support, enabling eligible organizations to access bank loans with improved terms and conditions.
• Business Enhancement: Subject to agreement with the bank, funds obtained from the loan can be utilized for a wide range of purposes aimed at enhancing the business model, including business upgrades, technology investments, workforce development, and more.
• Innovation Focus: Subject to agreement with the bank, this funding opportunity is designed to fuel innovation within the media sector, supporting initiatives that drive creativity, competitiveness, and industry advancement.
• Flexible Use: Subject to agreement with the bank, businesses have the flexibility to determine how best to allocate the loan funds to meet their specific improvement goals and strategic objectives.
• Application Process: Interested organizations are encouraged to apply through the designated application process, outlining their vision for business improvement and the expected impact of the funding.
• Collateral Unlocked: Once and if the loan is repaid to the bank and the collateral is unlocked, organizations should provide an investment plan through which it will be clear how the unlocked collateral will be utilized to enhance business operations of the organization. A Media Innovation Activity financial expert will guide the beneficiary through this process.
• Qualification for Future Support: Successful completion of the collateralized loan scheme will assist the recipient to obtain the financial track record and assist recipient to qualify for subsequent external funding opportunities. 

Grant Terms:

• Grant Period: The grant period should align with the loan payment terms but not more than 6 months before the end of the Project.

Purpose of Commercial Loan:

• Loan activities/business plans must be an integral part of the application to the Request for Application (RFA) or APS.
• The loans can be used for working capital, solving liquidity gaps, purchasing equipment or smaller investments.
• The applicant needs to present the expected effects of taking the loan and adequate repayment capacity.
• All proposed activities and associated costs in the budget must be allowable and allocable to the program's objectives.
• While refinancing of existing loans is discouraged, applicants with strong justifications may seek approval.

Reporting and Monitoring:

• Grantees are required to provide regular progress reports as specified in the grant agreement.
• Monitoring and evaluation activities will be conducted on an iterative basis to promote program compliance and to safeguard results.
• In order to measure impact of the proposed vehicle on the native financial management practices of the recipient, the Media Innovation Activity will track financial performance data, inter alia: interest savings compared to commercial loan available on the market and/or active in the organization’s loan portfolio and the applicant’s external financing portfolio before and after utilizing the mentioned product.

B. Application Process

The Media Innovation Activity will review candidates for grants using a two-stage process.

Applicants must first submit a concept paper of no more than 5 pages. Concept papers must be filled in using a template that can be found on the IREX / The Media Innovation Activity page and meet the identified needs of this solicitation. In addition, the Media Innovation Activity will assess the loan eligibility and compliance requirements of the applicant in order to obtain a cash collateral backed loan.

Direct download of the Concept Paper template

If a concept paper is approved, The Media Innovation Activity will contact applicants and provide instructions and templates to complete an application.

Please note the following: Do not submit a full proposal unless requested by The Media Innovation Activity. Only upon receipt of positive feedback on the concept paper is the applicant requested to assemble a full proposal for consideration, based on instructions provided at that time.

C. Concept Paper

In the first stage, interested applicants are required to submit a short technical concept paper of no longer than 5 pages that is specific and concise. The concept paper should demonstrate the applicant’s capabilities and expertise with respect to achieving the goals of this program.

Concept papers will be reviewed in terms of responsiveness to the APS, appropriateness of subject matter, and creativity. Applicants are encouraged to demonstrate how their proposed work will contribute to The Media Innovation Activity objectives as noted in concept paper template and within the geographical region of Serbia. Applications will go through an assessment process that needs to assure the repayment capacity of the applicant and proper usage and effects of external funding through a bank loan.

D. Grant Application Process

If a concept paper is approved, The Media Innovation Activity will contact applicants and provide instructions and templates to complete an application.

E. Unique Entity Identifier Number

Before approval of the grant, the applicant will be required to apply for a Unique Entity Identifier (UEI).

Here you can find instructions for UEI registration.

F. Administration of Grant

For awards to non-U.S. organizations that are Non-Governmental Organizations (NGOs), USAID Standard Provisions for non-U.S. Non-Governmental Organizations (NGOs) will apply, https://www.usaid.gov/ads/policy/300/303mab.

 

SECTION II – CONCEPT PAPER REVIEW INFORMATION

Evaluation Criteria for Concept Paper

Concept papers will be reviewed in terms of responsiveness to the APS, appropriateness of subject matter, clarity, and creativeness. Applicants are encouraged to demonstrate how their proposed work will implement innovative business ideas focused on growth and impact that will increase long-term prospects for business success and long-term sustainability for their media and/or media adjacent organizations.

Eligibility Criteria:

• The initiative should align with the criteria outlined in 2 CFR 200.331 (a).
• Eligible Organizations: Organizations whose business model and activities are in align with Media Innovation Scope (digital media, information, and communications sector stakeholders that support public access to accurate and relevant information)
• Geographic Focus: Projects must target underserved communities as defined in the program guidelines.

 

SECTION III - GRANT INFORMATION

A. Anticipated Start Date of this Grant and Performance Period

The Media Innovation Activity anticipates the start date upon award with a performance period of up to 12 months with the possibility to extend.

B. Grant Type

The Media Innovation Activity anticipates awarding up to 15 grants (hereafter called Agreement) to fund successful applications submitted in response to this APS.

 

SECTION IV- ELIGIBILITY INFORMATION

Types of Entities that May Apply

Registered non-U.S. non-governmental organizations and for-profit businesses may apply. For-profit businesses must be willing to forego profit on the grant funding (no profit will be included in the grant amount).

This APS is issued as a public notice to ensure that all interested and qualified organizations have a fair opportunity to submit applications for funding. Eligible organizations include:

• Civil Society Organizations (CSOs)
• Community Based Organizations (CBOs)
• Private Enterprises
• Professional Associations
• Foundations and Associations

 

SECTION V - PROJECT CONTACTS

The points of contact for this APS and any questions during the APS process are grants.mi@irex.org.

Any prospective applicant desiring an explanation or interpretation of this APS must request it in writing. A written reply will be provided to all prospective applicants before the submission of their applications. Oral explanations or instructions given before or after the award of a sub-grant will not be binding. Any information given to a prospective applicant concerning this APS will be furnished promptly to all other prospective applicants as an amendment of this APS, if that information is necessary in submitting applications or if the lack of it would be prejudicial to any other prospective applicants.

 

SECTION VI - OTHER INFORMATION

Issuance of this APS does not constitute an award or commitment on the part of IREX, nor does it commit The Media Innovation Activity to pay for costs incurred in the preparation and submission of an application, which are the responsibility of the applicant.

IREX reserves the right to fund, in part or in full, any or none of the applications submitted. Further, IREX reserves the right to make no awards as a result of this APS.

Environmental Considerations: Activities supported by The Media Innovation Activity will not support or engage in construction, reconstruction, rehabilitation, or renovation work. The Media Innovation Activity will also not engage in actions that normally have a significant impact on the environment as defined by 22 CFR 216 (2) (d):

1. Programs of river basin development;
2. Irrigation and water management;
3.  Agricultural land leveling;
4. Drainage projects;
5. Large scale agricultural mechanization;
6. Resettlement projects;
7. New land development;
8. Penetration road building and road improvement;
9. Power plants;
10. Industrial plants; and
11. Potable water and sewerage projects

In addition, The Media Innovation Activity will not support activities that:

• Support project preparation, project feasibility studies, engineering design for activities listed in§216.2(d)(l);
• Affect endangered species;
• Provide support to extractive industries (e.g. mining and quarrying);
• Promote timber harvesting;
• Lead to construction, reconstruction, rehabilitation, or renovation work;
• Support agro-processing or industrial enterprises;
• Provide support for regulatory permitting;
• Lead to privatization of industrial facilities or infrastructure with heavily polluted property;
• Assist the procurement (including payment in kind, donations) or use (including handling, transport, fuel for transport, storage, mixing, loading, application, clean-up of spray equipment, and disposal) of pesticides or activities involving procurement, transport, use, storage, or disposal of toxic materials--pesticides cover all insecticides, fungicides, rodenticides, etc. covered under the Federal Insecticide, Fungicide, and Rodenticide Act; and/or
• Procure or use genetically modified organisms.

Pursuant to 2 CFR 200.216 procurement of certain telecommunications and video surveillance services or equipment is prohibited.