LOW CARBON FUNDS FOR SMEs SBN Winchester 9th December 2016

Today Who are Future South What do we do Where are the funds How to win Do’s and don’ts Hampshire Community Bank A case study David Green Award Q and A

Future South (previously Future Solent) Greentech South Hampshire Community Bank Energise Solent Energy Company Energy Projects

Future South Support to Business £4 Million grant scheme to assist companies in commercialising low carbon ideas Find new markets for export Facilitate 200 Greentech apprenticeships with SMEs within 2 years

Delivered to Date £30m total inward investment Total of £1.1 million awarded as grants to 20 businesses allowing them to create low carbon innovations, renewable energy and energy efficiencies. Supporting the creation of 226 jobs (as at July 2016) average salary c£27k Attraction of £5.3m in private investment 80+ companies intensively supported

Who has the funds Innovate UK BEIS DCLG Other Govt depts. Local Enterprise Partnerships – EM3 and Solent LEP EU H2020 SME Inst Crowd funding Angel Venture Capital

What purpose Renewable Energy Innovations Energy storage Energy efficiency/audits Reduce CO2 Waste to Energy Smart Cities/IOT Air pollution

Prepare Have a very clear project in mind Research research research Find help/Get an innovation voucher What are the required outputs and work back from them What is your USP How are you different What is your idea Have you protected it Check state aid rules Make the business case Find match funding Understand market/competition/cash flow/risks/

What help is available National Contact Points Enterprise Europe Network EM3 and Solent Growth Hub University Business Schools Innovation vouchers

Bidding for Funds 2 Stage Process EOI - Expression of Interest (get match in place/prep business case/3 year cash flow/state aid rules) Full Application Funds - job creation (£6,000 typical per job creation) or CO2 reduction or new product process service

Do’s and don’ts It’s not worth a punt!! Do get help - Ask a critical friend to review Don’t try and fit your idea into a fund - Respond to the NEED and the OUTPUTS Do show how you will take it to market Keep Good Records – You WILL be Audited!!

Why do Companies fail? Don’t tell the whole truth at EOI Don’t answer the question Don’t know what their USP is!!! Try to force their idea into the wrong fund Don’t have the match/team/evidence ready Don’t prove there is a market for the product or how they will take it to market Don’t show how they will be sustainable

Hampshire Community Bank Raised £10 million Ready to lend to Hampshire SMEs Based on the German Regional Banks Model Lots of hurdles to overcome Focus will be on Green Sustainable Projects

Case study - REAP Sector – Battery storage Need – Improve battery performance and life Use: In Boats and vehicles to reduce emissions Team – Experienced team no prior fund bids R and D – In house. Match – 20% from Investors Funds – Applied to Green Growth & Innovate UK Made the business case and won £1.2 million Why – Researched mkt and brought in bid writer

David Green Award