Loans for game-changing innovations with strong commercial potential that will significantly improve the UK economy.
Programme: Innovate UK
Award: up to £10m
Opens: 9th Apr 2018
Closes: 13th Jun 2018
Innovate UK is to offer up to £10 million in loans to micro, small and medium-sized enterprises (SMEs). Loans are for highly innovative late stage projects with the best game changing and/or disruptive ideas or concepts. There should be a clear route to commercialisation and economic impact.
Projects should aim to develop new products, processes or services (or innovative use of existing ones) believed to be significantly ahead of anything similar in the field.
Your project should focus on late stage research and development (R&D) activities classified as experimental development. Innovate UK expect you to be able to show a clear route to commercial success for your project.
Innovation loans will be:
Your application should propose how long your project will last (including the availability and extension periods) and how long the repayment period should be, based on the needs of your business. Innovate UK will consider the suitability of your proposed timings in any loan offer that we make to you.
Innovate UK particularly welcome proposals from innovation-based businesses with significant ambition and potential for growth or scale up.
Projects should last up to 5 years, of which up to 3 years can focus on late stage research and development (R&D), and up to 2 more years on establishing a clear route to commercial success. Loan repayments will be required over a further period of up to 5 years.
Your proposal must demonstrate:
Your proposal must:
To take on an innovation loan for a project you must:
Loans of between £100,000 and £1 million are available. Projects should last up to 5 years and are expected to start by December 2018.
Businesses must be able to show that they:
Interest will be charged at the rate of 3.7% per year on outstanding amounts, payable quarterly in arrears.
You could get a loan of up to 100% of your eligible project costs. Since the loan will have favourable terms (particularly a below-market rate of interest) the value of this benefit over the life of the loan will be the equivalent of a grant and will be a form of state aid. For experimental development projects this grant equivalent, as a proportion of the eligible project costs, can be: