Terms and Conditions

Fase1 is a business incubation program for Puerto Rican residents who want to transform great ideas into successful startups. Our incubator focuses on providing access to educational content on entrepreneurship and fostering new ideas through our business cycle, which includes specialized training, mentorship, and access to our startup community in a dynamic, high-impact environment. 

Fase1 is a program of the Puerto Rico Science, Technology and Research Trust (the “ Trust ”), which is part of the Small Business Incubators and Accelerators (SBIA) Program, funded with federal funds from the Puerto Rico Community Development Block Grant for Disaster Recovery (CDBG-DR) Program, allocated for the long-term recovery of Puerto Rico following the 2017 hurricanes, administered by the Department of Housing (Housing). 

The Trust is a non-profit organization created to maximize Puerto Rico’s participation and job creation in the global knowledge and innovation economy by promoting investment and funding for the development of scientific and technological research. The organization manages and hosts more than a dozen initiatives ranging from grants and technical support to meetings and educational resources for researchers, entrepreneurs, farmers, investors, and other groups. Fase1 is part of the Trust’s entrepreneurship pillar, along with Colmena66 and parallel18, among others. 

Each year, 50 new ideas or early-stage startups are selected through an open call to participate in the Fase1 Intensive incubator. This incubator consists of a specialized 12-week curriculum to help new entrepreneurs validate their ideas and develop their minimum viable or functional products or services (MVPs) with the goal of promoting their rapid market launch. Throughout the curriculum, multiple workshops and technical training on early-stage entrepreneurship, individualized mentoring, professional services, and a coworking space are offered, among other benefits. 

At Fase1, we also have a virtual entrepreneurship academy, Fase1 Lab, which offers various short online educational modules, available at any time and free of charge through our platform. Our virtual academy serves as a prelude and preparation for those interested in participating in our Intensive incubator, which opens its doors once a year. Everyone in our community is welcome to apply for Fase1 Intensive during the open call period, which runs from January to April each year. 

1. Turning ideas into minimum viable products or prototypes, ready for market launch, by facilitating a greater level of knowledge and improved business capacity. 
2. Promote the creation of successful startups with the potential to generate jobs and boost the development of the local economic base. 
3. Provide the tools for our participants to work on validating their ideas with the potential to become successful startups.
4. Minimize the risk of failure for a new business by providing free and affordable access to education, training, and business resources. 

Fase1 Intensive will be held over twelve (12) consecutive weeks, including workshops with local and international resources and mentors who will discuss the most relevant business topics for the incubator’s objectives. Some topics include: Client/Consumer Definition, Idea Validation, Market Definition, Product Development, among others. All participants will be provided with different tools, workshops and activities that will help them in the development of their minimum viable product (MVP) or functional prototypes. Different topics will be provided weekly and work will be done on the development of the MVP. 

Please visit www.fase1.org for more details on the Program benefits. 

Required activities:

Participants must attend the following required activities:

1. First Fase1 Intensive Welcome Session or Event ( Kickoff ): Participation in the Fase1 Intensive Welcome activity will be required for the leader and additional team member who will participate in the Program.
2. 2 rehearsal session . This session will take place prior to the Demo Day event at the Fase1 Intensive facilities or wherever the Fase1 team directs. At a minimum, the participant who will present the startup at Demo Day must participate in person.
3. Fase1 Intensive Demo Day ( Closing ): Participation in the Fase1 Intensive Demo Day will be required for the owner or leader of the participating startup.
4. At least the Project Leader/Founder must be available to work on their Project/Idea during the twelve (12) weeks (mainly Saturdays) of Fase1 Intensive, from 9:00 a.m. to 4:00 p.m. Some sessions will be offered during the week from 6:00 p.m. to 8:00 p.m. in a virtual format exclusively.
5. Any other sessions that the Fase1 team determines are required during the duration of the incubator.
6. A maximum of two (2) justified absences will be permitted during the duration of the Intensive incubator, with prior written notice to the Fase1 team . The program may request additional information when deemed necessary.
   a. If the applicant does not participate in any of the Fase1 Intensive incubator activities or events without prior notification with the necessary justification, the Fase1 team may consider terminating their participation early or establishing corrective measures.
   b. Any exception or special permit will be evaluated and determined by the Program based on the individual conditions and circumstances of each case.

Procedure: 

Fase1 Intensive will be made available to interested parties in the form of an online application at phase1.org. This application will collect demographic information in compliance with SBIA program requirements and will request information, requirements, and deliverables related to your project/idea. 

Each applicant must complete and submit all information and supporting documentation required in the application. Failure to provide the requested information may result in the application being denied. 

Applicants will be able to access and submit their application to participate in the third generation (cohort) of Fase1 Intensive from February 3 (for the Fase1 waitlist) or February 5 (for the general public) until March 28, 2025. The application will be available through fase1.org. 

Communication: 

Communication regarding the opening of the call for Fase1 Intensive will be made through a notice published on the Fase1 Program website ( www.fase1.org ) and through Fase1 social platforms , press releases, emails, communications to organizations within the business ecosystem in Puerto Rico, among others. 

Applicants with questions or need technical assistance with their application can contact the Fase1 team at [email protected] . Multiple outreach events will also be held for interested parties. All events will be publicized and promoted through Fase1‘s social media channels. 

Application methods: 

Applicants may register only through the electronic platform registration system available on the Fase1 Program website ( www.fase1.org ). 

The documents required to complete the application must be attached in the format requested. All applications must be received within the established call period. Any applications received after the established deadline will not be reviewed or considered. 

Application limit: 

An applicant may submit multiple applications for different startups or business ideas per call. If an applicant submits more than one application for different ideas or projects, Fase1 may only select one of the applications to participate in the Intensive incubator. In this case, Fase1 will select the application that best meets the Program’s evaluation and selection criteria. 

On the other hand, if an applicant or different members submit more than one application for the same startup, the Program will select the most recent and complete application for evaluation. The Program may contact applicants with multiple or duplicate applications for clarification, if deemed necessary. 

Requirements 

Applicants to the Fase1 Intensive Program must meet the following requirements: 

1. Be a resident of Puerto Rico.
2. Be of legal age, 18 years or older.
3. Be a U.S. citizen or permanent resident.
4. Have menos de 5 employees , applicable to established
5. Have completed at least three (3) Phase1 Lab educational modules – All founders or owners who will participate in the incubator must have completed this requirement.

• • Please access the following link to register for Fase1 Lab: https://phase1.org/registrate/ .
  • Access the following link to visit the Fase1 Lab Virtual Academy: https://fase1.wisboo.com/home .

6. Have fully completed the Fase1 Intensive application for the corresponding generation, including the required supporting documents.
7. Have an innovative and scalable business idea.

• • For more information on the topic, you can see the Module: Fundamentals of Entrepreneurship in Fase1 Lab, the topics Innovative vs. Traditional Ways of Thinking and Scalable and Disruptive Business : https://phase1.wisboo.com/courses/modulo-1

8. Include a short video presenting your project/idea. This video should be approximately two minutes long.
9. Present a Business Model Canvas of your project/idea (optional)

• • For more information on the topic, you can see the Module: Validation in Fase1 Lab: https://fase1.wisboo.com/courses/modulo-3

10. Provide information and evidence of household income with your application ³ for all business or idea owners or founders. Any additional information requests must be provided within the timeframe established in Fase1.

Evaluation and selection process 

1. Fase1 team will conduct an initial evaluation of all applications received for each generation. For this initial phase, the following will be considered: compliance with the general eligibility criteria of the SBIA program, which includes being a resident of Puerto Rico, being of legal age, and being a U.S. citizen or resident agent. Applicants with an established business will be verified to ensure it is located and registered in Puerto Rico and has five or fewer employees.
2. The applicant will be verified to meet the other requirements such as having completed at least three (3) Fase1 Lab modules, having completed the application in all its parts including supporting documents, and having submitted a short video (two minutes or less) presenting their business idea.
3. The proposed project/idea will be assessed for profit, as applicable to small businesses.
4. Any application that does not meet the eligibility criteria or is deemed incomplete or unresponsive will be denied and removed from the selection process. Fase1 will send the applicant a written notification of the determination.

External Selection and Evaluation Process for the Fase1 Intensive Program: 

1. Fase1 Intensive applications that have passed the first stage of the evaluation process will continue to the second stage of external evaluation. The Fase1 team will evaluate the applications alongside a panel of three to five external judges comprised of experts and mentors in topics related to the development of innovative and scalable business ideas. This panel of judges will evaluate the applications individually, assigning scores and identifying the 50 highest-scoring applications.
2. Fase1 will review income information from the 50 highest-scoring applicants to identify low- and moderate-income individuals, based on thresholds established annually by HUD, in compliance with the National Objectives and HUD guidelines.
3. The Program will conduct a Duplicity of Benefits ^{4 analysis} of Fase1 intensive applicants, as provided for in the CDBG-DR Program.
4. The Fase1 team may contact applicants during the evaluation and selection process to request additional information or documents, if necessary.
5. Once the evaluation and selection process (internal and external) is completed, the Fase1 team will have fifteen (15) business days to inform the selected applicants in writing about their acceptance to the Fase1 Intensive incubator and confirm their participation.
6. Selected participants will have five (5) calendar days to submit their acceptance. If the acceptance along with any additional required documents is not received within those five (5) days, the next applicant on the list with the highest score will be selected.
7. Fase1 may take into consideration the qualifications of low- and moderate-income applicants and any Duplication of Benefits identified as selection criteria for the Fase1 Intensive incubator.
8. Applicants who are not accepted to participate in the Fase1 Intensive incubator will be notified in writing through an official Program communication and may submit a Reconsideration to the Program following the requirements of that process. Refer to the Reconsideration section for more details.

Fase1 will announce that the selection process has concluded and that participants for the applicable Fase1 Intensive cohort have been selected and notified. 

By accepting the invitation to participate in the Fase1 Intensive Program, participants guarantee and declare to Fase1 the following: 

1. Participants will declare that the information provided to Fase1 during the application phases is accurate, complete and true.
2. Each participant understands that in the event of failure to disclose information relevant to their project/idea that may have influenced the selection process, the Fase1 team may consider terminating their project/idea’s participation in the Fase1 Intensive early.
3. Participants agree not to infringe any intellectual property rights, confidentiality rights, privacy rights, or other rights of any applicable person or entity. See the Terms of Use available at https://phase1.org/terms-of-use/ .

Applicants wishing to challenge a Program determination may submit a Reconsideration request directly to Fase1 by submitting a written request via email to [email protected] or by regular mail to PO Box 363475 San Juan, PR 00936-3475, within twenty (20) calendar days of the date the notification was sent. In the event that the same notification is sent by mail and email, the earliest of the notification dates will be considered. Applicants must submit a Reconsideration request to the Program that provides individual facts or circumstances, as well as documents that support and justify their request. In the Reconsideration Request process, the Program will only evaluate facts and information that arise from the applicant’s file. It will be at the Program’s discretion to accept or reject new documentation based on its relevance to the Reconsideration request. 

Fase1 will evaluate and respond to the Reconsideration request within fifteen (15) calendar days of its receipt . Applicants will be notified of the determination of the Reconsideration request through a Notice of Approved Reconsideration Request or a Notice of Denied Reconsideration Request . Applicants who understand that the initial determination of the Program is erroneous, may submit, at their discretion, a Request for Reconsideration to the Program or a petition for Administrative Review to Housing, according to Regulation 4953 of August 19, 1993. 

The applicant may submit a Request for Administrative Review directly to PRDOH following the procedure established in Regulation 4953. The applicant must submit such request, in writing, within twenty (20) calendar days from the date a copy of the Program determination was sent or a notice of determination of denial of reconsideration request was filed in the agency’s record. 

If, after completing an Administrative Adjudicative Procedure for the review of the administrative application, the Puerto Rico Department of Housing determines that the applicant meets all eligibility requirements, it will notify the applicant that they have been accepted to participate in the Program. If the Department of Housing determines that the applicant does not meet the eligibility requirements, it will send a final written determination to the applicant, who may then file a petition for Judicial Review before the Court of Appeals of Puerto Rico within thirty (30) days following the filing of a copy of the notification. 

As part of addressing the Island’s recovery needs, the Program will receive any complaints related to general administration of CDBG-DR funds. It is the responsibility of Vivienda, as the recipient of the funds, to ensure that all complaints are addressed in a timely and consistent manner. Likewise, it must, at a minimum, provide a substantive written response to each written complaint received within fifteen (15) business days, if feasible. 

Individuals wishing to submit a formal written complaint regarding activities managed with CDBG-DR funds may do so via: 

• By email: [email protected] .
• Online: https://cdbg-dr.pr.gov/en/complaints/ (English) https://cdbg-dr.pr.gov/quejas/
  (Spanish). 
• By Mail:
  CDBG-DR Program
  Attn: CDBG-DR Program Legal Division – Complaints
  PO Box 21365 San Juan, PR 00928-1365 

Although formal complaints are required to be submitted in writing, they may be submitted verbally and by other necessary means, as appropriate, when the Department of Housing determines that the complainant’s particular circumstances do not allow for a written complaint. However, in these instances, the Department of Housing must convert such complaints into written form. Alternative methods include, but are not limited to: 

• By phone:
  1-833-234-CDBG or 1-833-234-2324 (TTY: 787-522-5950) 
• In person at:
  Central Housing Office or at the Program Specific Admission Centers
  *Service hours: Monday – Friday 8:00 am to 5:00 pm 

The Complaint Policy and all CDBG-DR Program policies are available in English and Spanish on the Housing website at: 

• https://www.cdbg-r.pr.gov/en/resources/policies/general-policies/
• https://www.cdbg-dr.pr.gov/recursos/politicas/politicas-generales/ .

Activities carried out under the Fase1 Program will be conducted in a manner that does not discriminate against any person on the basis of race, creed, color, national origin, religion, sex, disability, familial status, gender identity, sexual orientation, marital status, or age, in accordance with the Fair Housing and Equal Opportunity Policy for CDBG-DR Programs. 

In accordance with the Reasonable Accommodation Policy, any person with a disability, family member of a person with a disability, or authorized by a person with a disability (collectively, the “applicant”) may request a modification or reasonable accommodation in several ways. Applicants are advised to submit their request in writing to [email protected] to ensure it is received and responded to appropriately; however, verbal requests will also be accepted. 

The Fase1 Program has trained staff to provide timely and efficient communication to individuals who require access to or guidance in the English language. 

Questions or inquiries about the Fase1 Intensive Program can be directed in English or Spanish to the following email address: [email protected] . 

The Puerto Rico Science, Technology, and Research Trust reserves the right to unilaterally amend these terms and conditions in future publications. Participants will be notified electronically of this change. Continued participation in the Fase1 program will be deemed consent to the new version of this document.