In the second of our StartUp Studio Insight blogs, non-dilutive funding experts Granted Consultancy provide a run-down of grant funding for R&D projects.
What types of grants are there?
There are two main types of grants – Capital/Business Growth grants and R&D grants.
Business Growth grants cover capital expenditure e.g. buildings or machinery, with project success often being predicated on job growth, and are typically for businesses once they have products ready to take to market.
Research and Development (R&D) grants fund new technology projects, accelerating the development of innovative products, processes or services from proof to concept to market to deliver a transformative impact to your business while absorbing the cost risks.
Benefits of grant funding:
- No Debt – no costs or need to provide security
- No Equity giveaway – ensuring you retain control
- Access to Partners – funding may cover the costs of academic and commercial experts and attract renowned organisations
- External Validation – via a competitive process that has been scrutinised, supporting later access to investors.
How do you know you are eligible for an R&D grant?
The main focus when applying for R&D grant funding should be on the outputs of a defined project. There are typically four categories for assessing project eligibility:
Innovation – Is your R&D project novel, disruptive and innovative with wider economic, social and environmental impacts?
Scalable – Does your project have high commercial growth (and ideally export) potential?
Funding – are you seeking £50k-£5m funding for feasibility, prototyping and/or testing?
Business – Have you proven the concept, put a team of (UK/EU) experts in place and investigated IP protection?
When to apply
As a guide, it typically takes between 9-12 months from engaging with Granted Consultancy to first drawdown of grant funds; taking into account finding the right funding competition, developing the application, waiting during the assessment window, progressing through due diligence and then completing project kick off.
Get in touch!
If you have an R&D project that you would like to explore funding for, please contact Granted Consultancy on email@example.com