Insights from the EU Science & Innovation YouTube Leak (EIC Accelerator, SME Instrument) Posted on March 18, 2021March 18, 2021 By Stephan Segler, Ph.D. With the 2021’s EIC Accelerator blended financing (formerly SME Instrument Phase 2, grant and equity) program being adopted shortly, many startups and Small- and Medium-Sized Enterprises (SME) are eagerly waiting for the call to open (read: EIC Accelerator Introduction). Most consultancies and professional writers have likely already gathered significant information on the new template and process but the latest video leak from the EU Science & Innovation YouTube Channel (here, here and here – they were ‘public’, then ‘private’ and are now ‘unlisted’) gives great insight into the details (read: The 2021 Work Programme). The Questions and Answers session served as a training for National Contact Points (NCP) and presented hour-long meetings with a variety of key stakeholders including developers of the AI Tool and Stéphane Ouaki, the chair of the investment committee of the EIC Fund (read: An Inside Look into Equity Financing). The following presents a shortlist of the insights given in the meetings as they relate to the EIC Accelerator. EIC Pathfinder and Transition sessions are also available but are not covered by this article. Attention: Since this information was presented informally, some of these points might be inaccurate or are subject to change over the coming weeks. The information was given in mid-March 2021. The Step 1 pitch video will be fully uploaded to the platform and not be submitted as a link. No template for the pitch deck will be given but a guide for the video. The pitch deck from Step 1 will not be used for the Step 3 interview. The challenge/topic will be chosen in Step 2 and not in Step 1. The AI Tool for Step 2 will be ready in mid-April 2021. In the long-term, the EIC envisions consultants to become part of their platform (for a fee, of course). The platform also contains Venture Capitalist’s (VC) and loan agencies. Involvement of NCP’s will be stronger with them receiving the application once submitted but this can be optional. The Step 1 threshold will likely be at the same level as the previous score of 13 (30-40% success rates) under Horizon 2020 (read: Interpreting the ESR). The remote (expert) evaluators have not been briefed yet since the Work Programme is not legally adopted. New investment guidelines for the EIC Fund will be published at the end of March 2021. The due diligence for equity investments aims at a 3-4 month duration. The due diligence looks closely at the capital structure of companies and, if an exit seems complex or impossible, it will not invest. The equity investments from the EIC fund were presented and showed a majority of funds moving towards MedTech (28%) as well as France as the main beneficiary for equity financing (31 beneficiaries – Israel as the second most-funded has 17). General steps for the EIC Fund’s due diligence process were presented in 9 steps (letter, contact, compliance, recommendation, discussion, decision, term sheet, agreement, signature). This article was last modified on Mar 18, 2021 @ 20:44 These tips are not only useful for European startups, professional writers, consultants and Small and Medium-Sized Enterprises (SME) but are generally recommended when writing a business plan or investor documents. Deadlines: Post-Horizon 2020, the EIC Accelerator accepts Step 1 submissions now while the deadlines for the full applications (Step 2) under Horizon Europe are: Step 1 Open now: Apply as soon as possible to be eligible for the next Step 2 submission deadline Step 2 (closing 17:00 Brussels Time) 1st cut-off 2025: - 2nd cut-off 2025: March 12th 2025 3rd cut-off 2025: - 4th cut-off 2025: October 1st 2025 Step 3 4th cut-off 2024: January 13th to 17th 2025 1st cut-off 2025: TBD 2nd cut-off 2025: TBD 3rd cut-off 2025: TBD 4th cut-off 2025: TBD The Step 1 applications must be submitted weeks in advance of Step 2. The next EIC Accelerator cut-off for Step 2 (full proposal) can be found here. After Brexit, UK companies can still apply to the EIC Accelerator under Horizon Europe albeit with non-dilutive grant applications only - thereby excluding equity-financing. Contact: You can reach out to us via this contact form to work with a professional consultant. EU, UK & US Startups: Alternative financing options for EU, UK and US innovation startups are the EIC Pathfinder (combining Future and Emerging Technologies - FET Open & FET Proactive) with €4M per project, Thematic Priorities, European Innovation Partnerships (EIP), Innovate UK with £3M (for UK-companies only) as well as the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) grants with $1M (for US-companies only). Any more questions? View the Frequently Asked Questions (FAQ) section. Want to see all articles? They can be found here. For Updates: Join this Newsletter! by Stephan Segler, PhDProfessional Grant Consultant at Segler Consulting General information on the EIC Accelerator template, professional grant writing and how to prepare a successful application can be found in the following articles: A Quick FTO Guide for EIC Accelerator Applicants in a Rush 2023 Budget Allocations for EIC Pathfinder, Transition and Accelerator Developing the Unique Selling Points (USP) for the EIC Accelerator Explaining the Resubmission Process for the EIC Accelerator A Short but Comprehensive Explanation of the EIC Accelerator EIC Accelerator Success Cases Deciding Between EIC Pathfinder, Transition and Accelerator A Winning Candidate for the EIC Accelerator EIC Accelerator Interview Preparation Process: Scripting the Pitch (Part 1) EIC Accelerator Horizon Europe Phase 2 SME Instrument / EIC Accelerator EIC Accelerator 2021EIC Accelerator equityEIC Accelerator financingEIC Accelerator grantEIC Accelerator successEIC Accelerator templateEIC Accelerator videoIndustries & CompaniesInvestorsSME Instrument Phase 2SoftwareTimelineWriting Tips
EIC Accelerator How the EIC Can Incentivise Shorter and Clearer Applications for the EIC Accelerator (SME Instrument Phase 2) – Part 2 Posted on December 14, 2020December 10, 2020 Information for readers: The following is a description of a proposed evaluation process but it does not, in any way, reflect the current way EIC Accelerator applications are evaluated. For this, please read this article. This article is a continuation of Part 1 and is followed by Part 3 and… Read More
Horizon 2020 SME Instrument 2018 Changes Posted on March 19, 2019March 18, 2020 Before 2018, there were pre-defined industries (13 in total) which could apply to the SME Instrument. Starting February 2018, the funding is available to projects of all industries with no topic restrictions. The budgets and competitiveness of the old topics were highly disproportionate so this new development might level… Read More
EIC Accelerator Balancing Content for the EIC Accelerators Step 1 Video, Deck and Proposal (SME Instrument) Posted on April 25, 2021April 20, 2021 The EIC Accelerator blended financing (formerly SME Instrument Phase 2, grant and equity) has recently introduced a novel Step 1 to the application process. This is presenting a new challenge to professional writers, consultancies and freelancers but it is also an interesting new way of displaying an innovation project (read:… Read More