How to prepare successful business proposal under H2020 Dr. Leona Damalakiene Workshop Horizon 2020: Opportunities for SMEs organised by Agency for Science, Innovation and Technology (MITA) together with the Ministry of Economy Vilnius, 4 th of September, 2016
The EU Framework Programme for Research and Innovation Overall aim: To support close-to-market activities giving a strong boost to breakthrough innovation. The prime target are highly innovative SMEs with a clear commercial ambition and a potential for high growth and internationalization. Phase 1: Feasibility assessment Phase 2: Innovation project Phase 3: Commercialisation Dedicated for: exploring and assessing the technical feasibility and commercial potential of a breakthrough innovation that a company wants to exploit and commercialize, including risk assessment, design or market studies, intellectual property exploration. Outcome: Feasibility study (technical and commercial), including a business plan. Lump sum: 50,000 Funding rate: 70% Duration: 6 months Dedicated for: innovation projects underpinned by a sound and strategic business plan (potentially elaborated and partially funded through phase 1 of the ), including prototyping, miniaturisation, scaling-up, design, performance verification, testing, demonstration, development of pilot lines, validation for market replication and other activities aimed at bringing innovation to investment readiness and maturity for market take-up. Outcomes: a new product, process or service that is ready to face market competition and a business innovation plan incorporating a detailed commercialisation strategy and a financing plan in view of market launch. 0,5 2.5 M Funding rate: 70%* Duration: 1 to 2 years * in exceptional, specific cases up to 100% Dedicated for: assistance in applying for further EU risk finance, and a range of other innovation support activities and services offered via the Enterprise Europe Network, including coaching.
The EU Framework Programme for Research and Innovation Thematic topics relevant to biotechnology sector 2016-2017: Supporting innovative SMEs in the healthcare biotechnology sector Specific Challenge: The healthcare biotechnology sector offers huge business and commercial opportunities; however it also requires heavy and risky investments which are often lacking in Europe, hampering the development of the industry. The challenge includes cell technologies in medical applications. Cell technologies include cell manufacturing (culture, multiplication, scale-up and automation), preservation, banking and transport; identification, cell sorting and delivery, imaging, tracking, process and quality control; genetic engineering and gene editing; production of therapeutic biomolecules. The medical applications of cell technologies include diagnostics and biosensors; cell and gene therapy, tissue engineering, bio-artificial organs, haematology, immunotherapy, and vaccine and antibody production; predictive toxicology, synthetic biology, and modelling development and disease processes. However, the diversity, complexity and variability of living cells pose challenges for bringing safe, reliable, regulatorycompliant and cost-effective products to the market and to the patient. SMEs developing cell-based products and processes have limited financial resources to take the critical steps to move from proof of concept to practical application while at the same time addressing considerations such as scale-up/scale-out, automation, logistics, regulatory pathways and business models. Particular attention should be given to dialogue with regulators and compliance with safety and regulatory requirements, such as those pertaining to cell procurement, GMP, ethics, clinical trials, ATMPs and medical devices. The challenge addresses cells from any eukaryotic source though their eventual application must be to human medicine.
Other thematic topics for 2016-2017: The EU Framework Programme for Research and Innovation Open Disruptive Innovation Scheme; Accelerating the uptake of nanotechnologies advanced materials or advanced manufacturing and processing technologies by SMEs; Dedicated support to biotechnology SMEs closing the gap from lab to market; Engaging SMEs in space research and development; Accelerating market introduction of ICT solutions for Health, Well-Being and Ageing Well; Stimulating the innovation potential of SMEs for sustainable and competitive agriculture, forestry, agri-food and bio-based sectors; Supporting SMEs efforts for the development - deployment and market replication of innovative solutions for blue growth; Stimulating the innovation potential of SMEs for a low carbon and efficient energy system; Small business innovation research for Transport and Smart Cities Mobility; Boosting the potential of small businesses in the areas of climate action, environment, resource efficiency and raw materials ; New business models for inclusive, innovative and reflective societies; Engaging SMEs in security research and development.
Expected Impact relevant for all topics: The EU Framework Programme for Research and Innovation Enhancing profitability and growth performance of SMEs by combining and transferring new and existing knowledge into innovative, disruptive and competitive solutions seizing European and global business opportunities. Market uptake and distribution of innovations tackling the specific challenges in a sustainable way. Increase of private investment in innovation, notably leverage of private co-investor and/or follow-up investments. The expected impacts should be clearly described in qualitative and quantitative terms (e.g. on turnover, employment, market seize, IP management, sales, return on investment and profit).
Deadlines for 2016 2017: The EU Framework Programme for Research and Innovation Phase 1: 9 th November 2016 15 th February 2017 3 rd May 2017 6 th September 2017 8 th November 2017 Phase 2: 13 th October 2016 18 th January 2017 6 th April 2017 1 st June 2017 18 th October 2017
Is the really for you? The EU Framework Programme for Research and Innovation WHO should apply: are you the next SME that is going to get financed? EC is looking for Europe's next innovation leader The Applicant is: High growth and highly innovative SME; Has global ambitions; Want to disrupt the established value networks and existing markets; Is driven, actively investing in innovation, and looking to grow. The applicant has advantages if: The company is based in an innovation hub; Received grants or venture capital funding; Received innovation-related tax benefits; Won an innovation prize in the last 2 years.
Is the really for you? The EU Framework Programme for Research and Innovation WHO should apply: are you the next SME that is going to get financed? TIPS you must know before you start: Size and age of the company matters: Established SMEs for 4 years or more count for more than 70% of the funded project proposals so far. Companies with 6 or more employees account to 2/3 of funded projects. Do this self-assessment quiz to understand if you fit to the scheme: Will you be able to pull your business with this idea? Will it deliver something people will be willing to buy / use or even something beyond people's imaginations? Will it be the game changer in the market that you are going to enter? EU funding is not a charity fund: SME instrument is not designed to help applicants to survive for a certain period. You should see the funding authority as an investor who wants something back for their investments: New jobs, new knowledge, better living and working conditions, better social cohesion, business growth, market development, more taxes collected
Will your idea change the world? WHAT you can propose? The EU Framework Programme for Research and Innovation How to convince evaluators to invest in your business? The innovation you propose: Creates something new and better for a society of tomorrow; Something that does not yet exist in the market; Can change the way we perceive things. The proposal you submit: Business-oriented approach: Not only the project must be interesting; you must convince why you and not your competitors are going to succeed. Who are you and those you are going to compete with Awareness of potential obstacles: Threats and opportunities you are facing on the market: how are you going to act? The technology is only one element of your business: Write to convince evaluators to invest in your business: each evaluator will look at 3 criteria (impact, excellence and implementation within the following aspects of the proposal) - The technology; - Market knowledge; - Commercialization plan; - Finances.
How to write a good application? The EU Framework Programme for Research and Innovation TIPS you must know Only 10% of submitted project pass the evaluation threshold Common mistakes: 1. Idea is unclear and not described convincingly: - Idea must be aligned with SME business strategy 2. Low innovation ambitions: - The proposed solution should have global reach and clearly demonstrate progress over existing competitive and state-of-the art solutions 3. Lack of understanding of 's purpose and structure - Take time and educate yourself about the programme or hire an expert to clarify what this is all really about 4. Solutions are described mostly from technological aspect while neglecting business opportunities: - Address not only industry but different legislative bodies, environmental / standardization agencies, general public, stakeholders (where relevant) - Present there is a public willing to pay for your innovation 5. Low awareness and understanding of market trends, market needs, current competitive and stateof-the-art solutions: - Name 3 competitors on EU/global level, describe their solutions, find limitations and present how you fill in the gap
How to write a good application? The EU Framework Programme for Research and Innovation TIPS you must know 6. Focus is mostly given to the research while innovation activities and business perspective are weakly described: - The entry level of TRL for is TRL6: research activities are envisaged only to very some extent. Focus is given to innovation activities; 7. Poor description of applicants capacities and competencies to successfully conduct the project - Evaluators evaluate what they read: do not just copy and paste your web site presentation; - Be convincing at WHY you are the one to do the job, connect that to overall business strategy 8. Proposed solution has not reached relevant TRL yet (TR6 or more); 9. Go to market strategy is not clearly presented: - Explain how you will address current customers, how will you expand the market or use alternative sales channels. - Be clear on IPR status of your innovation.
The EU Framework Programme for Research and Innovation Proposal structure 1. Excellence 2. Impact 3. Implementation Section 4: Members of the consortium Section 5: Ethics and security Administrative form (online) Template 1.1 Objectives 1.2 Relation to the work programme 1.3 Concept and methodology 1.4 Ambition Questions evaluators look for 1) The innovation aims at exploring new market opportunities addressing EU/global challenges; 2) The proposal provides a realistic description of the current stage of development and added value of its innovation as well as an understanding of the competing solutions. Includes good comparison with state-of-the-art, known commercial solutions, including costs, environmental benefits, gender dimension, ease-of-use and other features, or includes plans for achieving this information; 3) The objectives for the feasibility study and the approach and activities to be developed are consistent with the expected impact of the project; 4) The expected performances of the innovation are convincing and have the potential to be relevant from a commercial point of view (Value for money). It is potentially better than alternatives 5) The proposal reflects a very good understanding of both risks and opportunities related to a successful market introduction of the innovation, both from a technical, commercial point of view; 6) Overall perception including other pertinent factors not covered by the above questions.
The EU Framework Programme for Research and Innovation Proposal structure Questions evaluators look for 1. Excellence 2. Impact 3. Implementation Section 4: Members of the consortium Section 5: Ethics and security Administrative form (online) Template 2.1 Expected Impacts 2.2 Measures to maximise impact 50% of total text 1) The proposal indicates in a convincing way that there will be demand/market (willing to pay) for the innovation when the product/solution is introduced into the market; 2) The targeted users or user groups of the final product/application, and their needs, are well described and the proposal provides a realistic description of why the identified groups will have an interest in using/buying the product/application, compared to current solutions available; 3) The proposal demonstrates very good understanding of the needs for a realistic and relevant analysis of market conditions, total available market size and growth rate, competitors and competitive solutions and key stakeholders, or includes a plan for achieving this information; 4) It is described in a realistic and relevant way how the innovation has the potential to boost the growth of the applying company;
The EU Framework Programme for Research and Innovation Proposal structure Questions evaluators look for 1. Excellence 2. Impact 3. Implementation Section 4: Members of the consortium Section 5: Ethics and security Administrative form (online) Template 2.1 Expected Impacts 2.2 Measures to maximise impact 50% of total text 5) The proposal demonstrates the alignment with the overall strategy of the participating SME(s) and the need for commercial and management experience, including understanding of the financial and organizational requirements for commercial exploitation. The initial commercialisation plan is outlined and explains how will be further developed (in-house development, licensing strategy, etc); 6) The innovation /solution has a clear European dimension both with respect to commercialisation and with respect to competitor /competition evaluation; 7) The proposal includes a realistic and relevant description of status and strategy of knowledge protection, the need of "freedom to operate analysis", and current IPR situation, which could include a plan for achieving this information.if relevant, potential regulatory requirements are also addressed. 8) Overall perception including other pertinent factors not covered by the above questions.
The EU Framework Programme for Research and Innovation Proposal structure Questions evaluators look for 1. Excellence 2. Impact 3. Implementation Section 4: Members of the consortium Section 5: Ethics and security Administrative form (online) Template 1) The proposal demonstrates that the project has the relevant resources (personal, facilities, networks, etc.) to 3.1 Work plan 3.2 Management structure and procedures 3.3 Consortium as a whole 3.4 Resources to be committed 4.1 Presentation of Company 4.2. Third parties involved in the project develop its activities in the most suitable conditions. If relevant, describes in a realistic way how key stakeholders / partners / subcontractors could be involved; 2) Taking the project's ambition and objectives into account, the proposal includes a realistic time frame and a comprehensive description of work; 3) The team has relevant technical/scientific knowledge/management experience, including a good understanding of the relevant market aspects for the particular innovation. If relevant the proposal includes a plan to acquire missing competences; 4) Overall perception including other pertinent factors not covered by the above questions.
The EU Framework Programme for Research and Innovation Examples of proposals UAB Ars Lab Global PERES Bringing a breakthrough e-nose solution on global markets for portable and reliable food safety and quality control Open Disruptive Innovation Scheme UAB Nanoavionika EPSS Enabling Chemical Propulsion System for the Growing Small Satellite Market Engaging SMEs in space research and development UAB Saules vejo aruodai COLLECT AND REFLECT Reducing energy consumption and carbon footprint by implementing Collect and Reflect(TM) blinds for solar energy collection and reflection (Collect and Reflect) Stimulating the innovation potential of SMEs for a low carbon energy system Ruptela UAB INTRANSYS Delivering next generation Transport Management System to European transport SMEs Small business innovation research for Transport
The EU Framework Programme for Research and Innovation Thank you for your attention! Your are welcome to contact: - during the consultation time; - by e-mail: leona@aadvice.lt / +370 679 62 288 consulting@alea.lt / +370 698 724 07