Making Innovation Affordable Jo Derbyshire European Commercial Manager

Pera Group: Creating Growth and Opportunity  Industry driven research and innovation centre  450+ people across various European locations  Evolved from not-for-profit to Employee-Management owned  Three business units: Pera Technology Pera Consulting Pera Training

Pera Technology  Helping companies harness the potential of science and technology to create new and valuable products, processes and services for sustainable business Idea Development R&D Services Partnering Grant Funding

Pera Technology - Profile  Operating across a broad range of market sectors  Open innovation model  Expertise in Engineering & Physical Sciences (r&D) Prototyping and Integration Composites & Textiles Polymer Science BioPolymers Process Engineering Mechanical Engineering & Design Finite Element Analysis Computational Fluid Dynamics Microwave Engineering Radio Frequency Technologies Acoustics & Vibration Embedded Control Systems Wireless Control Systems Sensor Technology Medical Diagnostics Environmental Science Coatings Technology

Horizon bn EUROs over 7 years (FP7 = 50bn) All subject to final ratification before Christmas Launches 1 January 2014 New simplified application procedures Still collaborative measures but also single company SBIR Mechanism for SMEs - aims to fill early stage funding gap More finance equity funding available

Horizon 2020 SME SBIR instrument main features Targeted at all types of innovative SMEs Only SMEs allowed to apply for funding (single company support possible) Competitive Market-oriented, EU dimension Bottom-up while addressing societal challenges and/or key enabling technologies Grant-based staged funding

New SME Instrument The new instrument will integrate SME support into one comprehensive, simple and easily accessible scheme. It will target highly innovative SMEs showing a strong ambition to develop, grow and internationalise, regardless of whether they are high-tech and research- driven or non-research conducting, social or service companies. Only SMEs will be able to apply for funding, and even single company support will be possible to ensure market relevance and to increase commercialisation of project results. SMEs can decide how best to organise the project and with whom to collaborate.

EU Policy on SMEs 99% of all European businesses are SMEs. 85% of new jobs in the EU between were created by SMEs R&D expenditure by SMEs is lower in the EU than in the U.S. and less than a third of EU SMEs have innovative activities €1 of EU Framework Programme funding leads to an increase in industry added value of between €7 and €14. The expected long-term macro-economic impact of the current Seventh Framework programme amounts to 900,000 jobs, of which 300,000 in research, and an extra 0.96 % of GDP. Studies show that SMEs who are active outside their country of origin are more innovative: 26% of internationally active SMEs introduced products or services that were new for their sector in their country compared with just 8 % of domestically- focused SMEs. EU research funding is designed to encourage such cross-border links.

Equity and Debt Funding Greater use of financial instruments will help leverage further private research and innovation investments, including venture capital investments. The EC had budgeted a total amount of € 3.5 billion for financial instrument facilities - one-third of this amount should be dedicated to SMEs and small mid-caps. Two financing facilities will be available: A debt facility providing loans, guarantees and other forms of debt finance to entities of all forms and sizes, including research and innovation-driven SMEs An equity facility providing finance for early- and growth-stage investments, with a particular focus on early-stage SMEs with the potential to carry out innovation and grow rapidly. They will be implemented via a partnership with the European Investment Bank Group and/or other international financial institutions and national intermediaries.

Horizon 2020

Contact Jo Derbyshire Pera Technology Ltd Nottingham Road Melton Mowbray Leicestershire LE13 0PB