The New EIC Accelerator: Insights from Our First EARMA Digital Session

Well, that was a first! With the sudden global shift to remote work, the EARMA community had to pivot overnight. Instead of gathering in person, my brilliant co-presenter Katrin Reschwamm and I took to the virtual stage on March 18th for the EARMA Digital Sessions.

Despite the technical hurdles of hosting our first fully digital conference session, the turnout and engagement were fantastic. Our mission? To break down the new European Innovation Council (EIC) Accelerator scheme within the upcoming Horizon Europe (HEU) framework.

Here is a recap of what we covered regarding the evolution of SME funding and how the EIC is preparing to fund the next wave of deep-tech disruptors.

SMEs make up 99.8% of enterprises in Europe, making them the true backbone of the economy

The EIC: A One-Stop-Shop for Innovators

With SMEs representing 99.8% of enterprises and employing 142 million people across Europe, they are the undeniable backbone of the economy. To support them, the EIC is evolving into a "one-stop-shop" for innovators, providing support from the initial idea all the way to market entry.

It isn't just about handing out grants; the EIC provides business coaching, accelerating services, and a network of 750 international business coaches. A major game-changer is the EIC Fund, advised by the European Investment Bank, which takes ownership stakes of 10% to 25% for investments between €0.5 to €15 million.

The European Innovation Council acts as a comprehensive support system for Europe's top innovators

The Rules of the Game: EIC Accelerator in HEU

As we look ahead to Horizon Europe (2021-2027), the funding landscape is getting a major upgrade. During the session, Katrin and I broke down the specific mechanics of the new EIC Accelerator:

• Who can apply: Single applicants.

• Target Maturity: Projects sitting between Technology Readiness Levels (TRL) 5/6 and 8.

• The Funding: Blended finance is the star here. Companies can request a grant component of up to €2.5 million , paired with an investment (equity) component ranging from €0.5 to €15 million.

  
  

The submission process has also been restructured into distinct phases: a Short Proposal, followed by a Full Proposal, and finally, a rigorous Interview stage before reaching the Grant Agreement Preparation (GAP) and Due Diligence (DD) phases.

The EIC Accelerator specifically targets later-stage innovations, bridging the gap from TRL 5/6 up to TRL 8

Lessons Learnt from H2020

To give RMAs practical advice for guiding their start-ups in this new remote reality, we shared critical lessons learned from the previous H2020 SME Instrument:

• Risk & Non-Bankability: You must clearly demonstrate that the project is too high-risk for traditional private investment. This has a major impact on evaluations.

• Letters of Intent: Keep them up-to-date. Bring fresh letters from potential clients, partners, or suppliers, especially for resubmissions.

• The Big Picture: Don't just focus on the technology; you must explain the broader eco-system and provide a comprehensive competitor analysis.

• Formatting Matters: Stick strictly to the proposal template structure and include pictures, graphs, and tables. Evaluators do not have much time to search for hidden information.

  
  

Navigating a digital conference was certainly a new experience, but the need to support our innovators remains constant. At Orientos, we understand that applying for blended finance is a monumental task. As the EIC landscape continues to mature, mastering these unwritten rules—from proving non-bankability to nailing the pitch interview—is what separates a funded breakthrough from a rejected draft.