Financing business-research cooperation for Innovation in the organic sector
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1 Financing business-research cooperation for Innovation in the organic sector - Science Day, Biofach, 13 February 2015 Dr. Borris Haupt Bayern Innovativ GmbH - Partner of Enterprise Europe Network
2 Disclaimer: This project has received funding from the European Union s COSME Programme ( ) under grant agreement No The presentation and given information is not legally binding. Bayern Innovativ does not accept responsibility for any use made of the information contained therein.
3 EC Support of innovative SME COSME ~ 2,3 Mrd. Horizon 2020 ~ 80 Mrd. 1. Financing 2. Enterprise Europe Network 3. Entrepeneurs 4. Framework 1. Collaborative Projects 2. SME Instrument 3. Eurostars 4. Fast Track to Innovation
4 Horizon 2020 strong participation of SME Excellent Science Industrial Leadership LEIT Societal Challenges all challenges 20% Partcipation of SME (as target) 7% SME Instrument (approx. 2.8 bn )
5 Leadership in enabling and industrial technologies (LEIT) o ICT: open disruptive innovation o Nanotech, or other advanced tech for manufacturing and materials o Space research and development Societal Challenges (SC) o Diagnostics devices and biomarkers o Sustainable food production and processing o Blue growth o Low carbon energy systems o Greener and more integrated transport o Eco-innovation and sustainable raw material supply o Urban critical infrastructure o Biotechnology-based industrial processes o Mobile e-government applications (2015 only) o SME business model innovation (2015 only)
6 Collaborative Projects 13 % SME Instrument 7 % Top Down Bottom up Topic-oriented Market-oriented At least 3 Partner from 3 Countries 1 SME sufficient
7 Horizon 2020: SME-Instrument New Approach of the EU to Fund Ambitious Innovation Projects of SME
8 SME Instrument: Market-oriented Innovation Projects Source: European Commission
9 Why participate? Rank among the best ( Champions league ) European SMEs Visibility at a European and global level Business/management coaching Networking opportunities Support for follow-up financing
10 Who should apply? For innovative SMEs with an ambition to develop, grow and have an international impact Focused on established SMEs with high growth potential Single company support (consortia of several SMEs possible) Activities at TRL 6 or above No obligation for applicants to sequentially cover all three phases; still a "linear" process is strongly encouraged 70% funding (exceptions possible)
11 KMU-Instrument Technology Readiness Level (TRL) TRL 1 basic principles observed and reported TRL 2 technology concept and/or application formulated TRL 3 Analytical and experimental critical function and/or characteristic proof of concept TRL 4 Technology validated in laboratory environment TRL 5 Technology validated in relevant environment (industrially relevant environment in the case of key enabling technologies) TRL 6 Technology demonstrated in relevant environment (industrially relevant environment in the case of key enabling technologies) TRL 7 System prototype demonstration in operational environment TRL 8 System complete and qualified through test and demonstration TRL 9 Actual system proven in operational environment
12 SME Instrument three phases Phase 1 Phase 2 Phase 3 Concept & Feasibility Assessment ~ 6 months 10 page business proposal Innovation Project Demonstration Market- Replication Support through Enterprise Europe Network Business Coach 0,5 2,5 Mio. ~ months 30 page business plan Market launch No direct funding Champions League Prototype Market
13 Source: European Commission SME Instrument Cut off Dates
14 Evaluation criteria Possible economic Impact Excellence in innovation Commercialisation potential SME potential (Implementation) achieving the envisaged results Evaluation can be stopped if proposals fail to achieve a threshold for 'impact' criterion
15 Call for Sustainable Food Security o Sustainable Food Production Systems o SME Instrument: Resource-efficient eco-innovative food production and processing
16 SFS /2015: Resource-efficient eco-innovative food production and processing Specific Challenge: To remain competitive, limit environmental degradation and optimise the efficient use of resources, the development of more resource-efficient and sustainable food production and processing, throughout the food system, at all scales of business, in a competitive and innovative way is required. Current food production and processing systems, especially in the SME sector, need to be revised and optimised with the aim of achieving a significant reduction in water and energy use, greenhouse gas emissions and waste generation, while at the same time improving the efficiency in the use of raw materials, increasing climate resilience and ensuring or improving shelf life, food safety and quality. New competitive eco-innovative processes should be developed, within the framework of a transition towards a more resourceefficient, sustainable circular economy. Source: European Commission
17 Themes Call id 2014 Call id 2015 Phase 1 Phase 2 Phase 1 Phase 2 Sustainable food production and processing SFS projects 0.9m SFS ~5 projects 8m SFS projects 1.7m SFS ~10 projects 15m Source: European Commission
18 Topics of funded Phase 1 projects SFS /2015 Transitioning to microalgae as a sustainable, high-quality large-scale food source through launching the first daily drink containing spirulina BeadCAP-DNA: 30-minute on-site DNA test kit Increasing grain quality through advanced oxidation treatment during storage Fermentation processes for functional foods from RAPeseed, Sunflower and Other EU matrices Devoted to Young animals. Improved machine vision for guidance of optical system for cost-effective and environmentally safe in-situ removal of ectoparasites from farmed fish High Pressure Processing (HPP) equipment for large beverage productions New eco-efficient and healthy professional espresso coffee machine Colour-code labelling for continuous monitoring of quality and safety of packed chicken meat A truly-rapid, one-minute test system for the dairy industry to assess raw milk quality, detect sub-clinical mastitis and monitor udder health, reducing antibiotic usage and environmental impact An innovative fruit ripeness checker, to offer non-destructive testing in order to ensure resource efficient fruit processing Ripesense
19 Horizon 2020: Fast Track to Innovation The fully-bottom-up measure to promote close-to-the-market innovation activities
20 Proposals relating to any technology field under LEITs and Societal Challenges (bottom-up driven logic) Open to any legal entity - consortia of 3 to 5 participants About 100 grants will be given Permanently open call with three cut-off-dates per year Impact criterion given a higher weighting in evaluations Time-to-grant: 6 months
21 Funding of innovation actions (close-to-market) For proposal involving technological innovation, the Technologies are at least at TRL 6. Proposals shall include a business plan describing the business opportunities of participants and a credible commercialisation strategy. Particular attention should be paid to IP protection and ownership, and the possibility of commercial exploitation ('freedom to operate'). Initial market take-up no later than 3 years after submission.
22 at least 60% of the overall budget of the proposal must be allocated to consortium partner(s) from industry the minimum number of industry participants must be 2 in a consortium of 3 or 4 partners, and 3 in a consortium of 5 partners. The maximum EU contribution per project is EUR 3 million. The indicative EU contribution per project is expected to be between EUR 1 million and EUR 2 million. Funding rate 70 % (companies) + 25 % overhead
23 Cut-off dates: 29/04/ /09/ /12/2015 Similar expected for 2016
24 Enterprise Europe Network 53 Countries 28 EU 27 Non EU Support of about SME each Year about 2500 partnership agreements each year Founded 2008 More than 3000 Experts 600 Organisations
25 Bayern Innovativ Partner of the Enterprise Europe Network Contakt: Dr. Borris Haupt Bayern Innovativ GmbH Internationale Netzwerke Rathenauplatz Nürnberg Tel.:
26 First lessons learned Unsuccessful proposals were too much project focussed, not enough business opportunity oriented Description of company not convincing (why would this company succeed and not the competitor) No information on competing solutions Innovation content too low; product exists already on the market (just incremental improvement) Just ideas, no proof of existing commercialisation concept (TRL far too low) Just trying ones luck
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