An applicant enterprise may also opt to apply for initial payment of the estimated amount of the expenditure items eligible for EMF before the commencement of a promotion activity, to be followed by a corresponding application for final payment of the balance of the amount of the eligible expenditure items after the completion of the activity concerned.  An application for initial payment and its corresponding application for final payment constitute one single application for funding support under EMF for the activity concerned.  The funding ceiling per application will apply in considering the total final amount of government funding to be provided for the activity.

TID will assess each application for initial payment and the corresponding application for final payment of the promotion activity in accordance with the eligibility criteria, conditions of use and requirements as well as procedures as specified in this Guide to Application.  For each successful application for initial payment, the applicant enterprise will receive an initial payment of up to 75% of the total preliminarily approved government funding.

TID will determine the total final amount of government funding for the activity concerned upon receipt of the corresponding application for final payment.  If, upon assessment, the amount of initial payment for the activity concerned is less than the total final approved amount of government funding, the remaining balance of funding support for the eligible expenditure item(s) claimed will be disbursed to the applicant enterprise.

If the amount of initial payment is assessed to be in excess of the total final approved amount of government funding, or if the application is subsequently rejected due to non-compliance with the eligibility criteria and/or conditions of use of EMF, or if the applicant enterprise fails to complete the activity concerned, or if the applicant enterprise does not submit an application for final reimbursement on the activity concerned within the specified application period, the applicant enterprise shall refund to TID any payment in excess of the amount of initial payment or the initial payment together with any interest as required.

An applicant enterprise opting for initial payment must submit in duplicate a signed “Funding Agreement for Initial Payment” (Funding Agreement) upon its first application for initial payment to undertake to complete the promotion activity concerned within the time frame as specified in the Application Form, the duration of which should not exceed one year from the claimed commencement date of the promotion activity, submit a corresponding application for final payment after the completion of the activity concerned, and refund the initial payment or any payment in excess of the amount of initial payment together with any interest as required to TID according to the result of assessment of the application for final payment.  The signed Funding Agreement will apply to all subsequent applications for initial payment of the applicant enterprise.  An applicant failing to observe the terms and conditions of the Funding Agreement will be subject to administrative measures including the suspension of application services under EMF.  The suspension of services will include the suspension of the issuance of cheques for other approved funding of the applicant enterprise and its connected enterprises and/or related enterprises (i.e. enterprises of the same owner(s), shareholder(s) and director(s) of the applicant enterprise).  TID may also take legal proceedings to recoup the initial payment or any payment in excess of the amount of initial payment together with any interest as required.