Post on 12-Apr-2017
EU public funding. The basics on H2020@finodexproject #publicfunding #myFIWAREstory
Miguel Garcíamiguelgarcia@zabala.es
Albert Alonsoaalonso@zabala.es
16/11/2015
H2020. How is it structured?6
Tackling Societal Challenges• Health, demograhic change and wellbeing• Food security, sustainable agriculture and
the bio-based economy• Secure, clean and efficient energy• Smart, green and integrated transport• Climate action, resources efficiency and
raw materials• Inclusive, innovative adn reflective
societies• Secure societies
Creating Industrial Leadershipand Competitive Frameworks
• Leadership in enabling and industrialtechnologies• ICT• Nanotech, Materials, manuf, and
Processing• Biotechnology• Space
• Access to risk finance• Innovation in SMEs
Excellence in the Science Base• Frontier research (ERC)• Future and Emerging Technologies (FET)• Skills and career development (Marie Curie)• Research Infrastructures
Different areas and sub-areas
H2020. The work programmes I7
Biannual document per sub-area divided in topics/objectives
Actual Work Programmes are here 2016-2017
http://goo.gl/OKiivf
H2020. The work programmes II8
Topic. A concrete description of what is required for a proposer
An open call is a subset of topics with a deadline for submission.
Actual calls are available:http://goo.gl/FGe0iX
H2020. The topics9
Topics need to be addressed properly by each proposal
A proposal is submitted in general by a consortium of partners via
Participants Portalhttp://goo.gl/HPcVyV
Instruments for funding. Beneficiaries11
Any kind of organisation from the
EU or H2020 associated countries
You need to be registered at the Participants Portal
and have a PIC (at least a provisional one)
General rules (might be exceptions)
All organisations are identified as profit (SMEs, corporates…) or non-profit (research
foundations, etc.)
Instruments for funding. The TRL levels12
TRL level concept is needed to understand what a topic is asking for.
Commercial EndProducts
III. Pilot Production orDemonstration Project ManufacturingII. Applied ResearchI. Disruptive
Research
Product Idea Prototype First TestProduct
Instruments for funding. How much I’m getting then?13
Profit
Non for profit
Every topic is aligned to a specific instrument for funding: Innovation Action (IA), Research and Innovation Action (RIA) or Coordination and Support Action (CSA)*
IA RIA CSA
TRL >6 TRL<5 NO TRL
70% 100% 100%
100% 100% 100%
*There are additional instruments but out of the purpose of this webinar specially tailored to SMEs
FUNDING RATE DEPENDING ON THE INSTRUMENT AND THE TYPE OF ORGANISATION
Instruments for funding. How are the proposals?14
Cooperation. At least 3 organisations from
3 different eligible countries*
General rules* to be aware of:
Applications submitted in 1 or 2 phases
(depends on the topic)
*There are exceptions
Results : 4-5monthsStarting: 8 months after submission deadline
The submission is an online form plus a
proposal (PDF). The longer ones 60 pages
Instruments for funding. Who wins the open calls?15
All the results are public and open and different analytics can be launched thanks to the availability of H2020 results (and earlier programmes) at the EU open data portal.
H2020 results (last update: 24/06/2015)https://goo.gl/ymTmFQ
What is funded? 17
Personnel costs
Subcontracting
The budget is divided in standard categories. Here we show the main ones for simplicity
Other direct costs
Indirect costs
+
TOTAL costsxFunding Rate = TOTAL funding
What you invest
What you get
What is funded? Personnel costs 18
Salaries
Social security
Pensions
Etc.
+
Need to demonstrate the time that every employee has devoted to the project and their hourly cost
Hours devoted in the project are tracked via timesheet or internal
reporting system
External hires can also be considered as personnel if accomplishing some rules.
What is funded? Subcontracting19
Invoices+
Keep track of invoices and payment slipsRecommended to follow the best value for offer
approach to select your subcontractor
Minor issues. Non-core tasks (i.e. project website)
What is funded? Other direct costs20
Travel & subsistence
Equipment
Other
+
Keep all the invoices related to the expenses
Related to the project only. Equipment refers to
depreciation and proportional use in the
project.
What is funded? Indirect costs21
Personnel
Other direct costs+
Flat rate for everyone (25%). Used to cover expenses like phone, general supplies, etc. not directly linked to
one project
Direct costsx25% = Indirect costs
What is funded? An example 22
Personnel costs – €50,000
Subcontracting - €3,000
SME participating in a IA topic.
Other direct costs - €4,000
Indirect costs - €13,500
+
TOTAL costs€70,500
xFunding Rate70%
= TOTAL funding€49,350
What is funded? Justification23
No admin burden. You just send the amounts spent,
not the supporting documents
Justification of costs more or less every 18 months
(reporting periods)
You can be audited up to 5 years after the project
ends. BUT
The official time framework is decided by
projectBUT
Justification of costs is done after the expenditure is done (actual numbers)
You are pre-financed up to a third of the fundingBUT
Introduction: SME Instrument & FTI25
All you guys have surpassed the research stage
SME Instrument and FTI help you to reach the market
SME INSTRUMENT
SME Instrument: Specific Objective26
Support highly innovative SMEs with a clearcommercial ambition and a potential for high growthand internationalisation
Flexibility:- SMEs on their own or SME
consortia- Broad topics (almost a bottom-up
approach)- 4 cut-off dates per year until 2020
SME Instrument: Phases27
Phase 1: 50.000 euros to carry out a feasibility study (6months implementation)
10 pages proposal. Threshold 13/15
Examples of activites: risk assessment, market study,user involvement, Intellectual Property (IP) management,innovation strategy development, partner search,feasibility of concept (this is the basis for the Phase 2proposal).
SME Instrument: Phases28
Phase 2: Demonstration projects funded at 70%.Funding between 0,5 and 2,5 million euros (12-24months implementation).
30 pages proposal. Threshold 12/15
Examples of funded activites: demonstration, testing,prototyping, piloting, scaling-up, miniaturisation, design,market replication
SME Instrument: Phases29
Phase 3: No direct help. indirect support measures andservices as well as access to the financial facilities.
Building a community of successful European SMEs andeasing investment by VC and big companies.
SME Instrument: Project characteristics30
- Demonstration of TRL 6 : Technology validated in a operation environment
- Your product brings an added value compared to the competence
- Willingness to grow and embrace the international market
- Present a well-draft business plan (Phase 1) and a detailed and refined business plan (Phase 2 & FTI)
- Demonstrate the implementation capacity of the company / consortia with complementary profiles and skills
SME Instrument: TIPS31
- Overall funding rate: 7,9% for Phase 1 and Phase 2: For Phase 2 proposals coming from Phase 1 it doubles.
- In the ESR you can identify the score criteria of the evaluators. Try to address all the criteria.
- Show your accomplishments until now.- Use the first page as a elevator pitch to engage the
evaluator.- This is not a lottery. It is not about being lucky.- However submitting and improving the proposal
works. Almost 44% of the beneficiaries of last cut-off date were re-submitters.
SME Instrument: Success Stories32
CYSNERGY: innovative system able to reduce the electricity consumption in industries in a percentage up to 40%.
Phase 1 funded in 18/06/2014 and Phase 2 funded in 17/09/2015 (submitted twice Phase 2).
SME Instrument: Success Stories33
HDIV, a technology that follows a security by design approach, generating self-protected web applications
Company applying directly to Phase 2 (twice,17/12/2014 and 17/06/2015)
They were funded under the security topic although the first idea was to submit in ICT
Phase 1 beneficiaries
Phase 2 beneficiaries
FTI: Characteristics34
3-5 Entities with strong presence of Industry (forprofit entities) including SMEsFully bottom-up approachClose to market activities1-3 Million Euros funding (70% budget)Obligation to reach the market in 3 years afterbeginning the project3 cut-off dates per yearTrial during 2015-2016 to evaluate its performance
FTI: TIPS35
Include the whole value chain of the product /service: Supplier – Manufacturer – End customer
Describe the extended and refined version of thebusiness plan
Be concise. You have 30 pages
ESR with detailed comments about the project. Use itto improve your proposal.
FTI: Statistics36
Information of the first cut-off date:269 proposals (231 in the 2nd, -14%)48 (18%)proposals above threshold (12)16 (6%) proposals funded12,92 cut-off date for funding
FTI: Success Stories37
Link to the beneficiaries of FTITraditional sectors seem more successful: energy,transport, manufacturingICT sector has shown lower funding rateThe average composition of funding consortia doesnot show significant differences with the rest ofapplicants
And last but not least…40
The important thing is growing your business,
the funding is just an incentive!