Stayway, the Osaka-based operator of the Subsidy Cloud management support service, has announced a partnership with UntroD Capital Japan to deliver its platform to the deep tech investment firm. The collaboration is designed to add public funding as a strategic option alongside equity and debt for research and development startups. It will help UntroD portfolio companies identify suitable subsidies and incorporate non-repayable funds into their financing plans.
Addressing Funding Gaps in Deep Tech
UntroD has operated deep tech focused venture capital funds since 2015, offering investment and hands-on support in areas such as intellectual property, manufacturing, recruiting, and public relations. The firm observes that research and development startups often depend heavily on equity financing because of early stage losses, limited revenue predictability, and weak governance. In June 2026, UntroD completed a first close of a deep tech venture debt fund to begin supplying debt capital.
Public funding is especially important for deep tech companies that require long term research and development. The government has expanded support through programs such as NEDO's Deep Tech Startup Support initiative, which adopted 119 projects totaling approximately 68.46 billion yen between its 2023 launch and the ninth call as of June 2026. Still, subsidy information remains scattered across national and local governments, and grant applications require specialized expertise and significant resources.
Another challenge is that approved subsidies often take time before funds are actually transferred to startups. This delay increases the need for debt financing that can support cash flow during the waiting period. The two companies therefore agreed to integrate Subsidy Cloud into UntroD's hands-on support, aiming to expand both the scope and utilization of public funds for portfolio companies.
Subsidy Cloud Integration and Capabilities
Stayway will provide UntroD with access to a searchable database covering more than 9,000 subsidy and grant programs, with filters for region, industry, and intended use. The platform also includes a 24-hour chat consultation service connecting users with certified public accountants and other specialists. These tools are expected to help UntroD identify applicable public funding programs for portfolio companies earlier and with greater accuracy.
With this integration, UntroD can propose public funding as an additional option for equipment investment related to research and development. Non-repayable funds can be incorporated into capital planning at an early stage, allowing startups to reduce equity dilution and debt burdens. The service also supports cash flow management by combining public funding with UntroD's debt capital to cover periods before subsidy payments are disbursed.
Leadership Perspectives
UntroD fund manager Ken Kimura said the firm has supported research and development startups through lead investments and hands-on assistance since the Real Tech Fund was established in 2015. He emphasized that reducing reliance on equity-centric fundraising is essential for strengthening Japan's research capabilities. Kimura added that the Subsidy Cloud introduction enables optimal grant proposals and creates comprehensive support across equity, debt, and public funds.
Stayway Chief Executive Officer Jun Sato noted that subsidies are generally paid after project costs are incurred and that scattered information creates meaningful barriers for deep tech startups with long development timelines. He said UntroD has supported entrepreneurs from the seed and early stages, when capital is hardest to raise. Sato expressed his belief that adding subsidies to this support holds great significance for Japan's research and development strength.
The partnership reflects a broader shift among Japanese investors toward diversifying startup financing beyond conventional equity. By combining venture debt with digital tools for subsidy discovery, UntroD and Stayway aim to make public funding more accessible to deep tech companies. The arrangement is expected to help startups reduce financial burdens while advancing long term research and development projects.