stw valorisation grants: do's and don'ts

Valorisation Grant STW

ir. Alain le Loux MBABusiness Accelerator - Kennispark Twente

E-mail: a.j.f.leloux@utwente.nl

© Kennispark Twente, ir. A.J.F. le Loux MBA

• About STW & related programs• STW Valorisation Grant• Characteristics STW Valorisation Grant Phase 1• Characteristics STW Valorisation Grant Phase 2• Assistance BDT Team• Assignment versus rejection Valorisation Grant • Statistics STW Valorisation Grant • Other (subsidy) opportunities• Questions ?

Topics

• Technology foundation: non profit organization• Dutch foundation, but open for international

participants• Different projects and programs

– Grants– Open call– Partner in fundamental Research (PhD)

About STW

• Technology Foundation STW• Van Vollenhovenlaan 661 • 3527 JP Utrecht• Telephone +31 30 6001 211 • Fax +31 30 6014 408

• Internet: www.stw.nl • In English: http://www.stw.nl/English/

Contact details STW

• STW Open Callshttp://www.stw.nl/open+calls.htm

• ICT research programshttp://ict.stw.nl/

• Dutch Program for Tissue Engineering http://www.dpte.nl/site/index.php?id=148

• Green and Smart Process Technology http://www.stw.nl/Programmas/GSPT/Default.htm

• Nano Technology http://www.nanoned.nl

• Neural Networkshttp://www.stw.nl/Programmas/Neuranet/Default.htm

Related programs

• Partners

• The Valorisation Grant is an individual grant to researchers to develop innovative high-tech businesses based within an university or research institute developed knowledge

• Inspired by the U.S. Small Business Innovation Research (SBIR) program

• Four themes– Life sciences– High tech systems & materials– ICT– Chemical & process technology

STW Valorisation Grant programme

• Two rounds per year (April / October)• Main applicant should be employed at an university

or a research institute• Based on competition/contest

– Best project plans will be granted

• More information on the Internet:– http://www.stw.nl/Programmas/ValorisationGrant/

STW Valorisation Grant programme

• The Valorisation Grant consists of two phases, which should be separately requested. To submit Phase 2, a Phase 1 proposal must be honored and completed.

• Phase 1: feasibility study (result: Business plan)– Investigation into the technological and commercial feasibility of the

proposal. For this phase, a maximum of 25,000 euros will be requested. The duration of this phase shall not exceed 0.5 years.

• Phase 2: Valorisation phase (result: Start-up)– The first steps of the valorisation process: such as developing a product,

attracting a launching customer and conducting negotiations with private financers. The purpose of this phase is come to the point where private financers can finance the further commercial development and company.

– Request up to 200,000 euros for a maximum period of 2 years.

Two phases

PHASE 1•Conditions

– Main applicant is employed at university/ research institute

– Proposal max. 15 pages– Agree on IP policy (legal

aspects)– Maximum attempts: 2

•Assessment/review - Dragon’s Den– Presentation (7 minutes) and

discussion with the committee (8 minutes)

– Committee mix of science and business

PHASE 2•Conditions

– Main applicant is employed at university/ research institute

– Business plan max. 20 pages– Commitment external

financer for phase 3– Maximum attempts: 2

•Assessment/review - Dragon’s Den– Same as Phase 1 (10 / 10

minutes)•Two years; after one year a formal review

PHASE 1 VS. PHASE 2

• STW Valorisation Grant Phase 1 (€ 25,000)– Review project plan & coaching– Assistance with Intellectual Property & patent requests– Pitch training, preparing pitch presentation

• STW Valorisation Grant Phase 2 (€ 200,000)– Extensive review project plan & coaching– Preparation presentation

• Structure, distinctiveness, commercial, attractive, etc.

» Assistance from BDT team is for free.

Assistance BDT team

• STW doesn’t deposit the money into a bank account. • Monthly you can send (original) invoices to STW. • Money doesn’t go directly to the applicant.• STW will deposit it into the bank account of the University of

Twente.

Costs

STW

Applicant Universityof Twente

€results

€

results & invoices

Assignment versus rejectionThe Commission writes down the

Strengths and Weaknesses of the Plan

• Criteria– Technological innovation– Commercial potential– Approach / project plan– Motivation applicant

Assignment: an example

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2

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4

5

Rejection: an example

Assignment: an example

• What is really innovative? • What is the difference with

other technologies?• How much lead time do you

have in advance?• Why is this technology better?• Who will be your (potential)

customers?• In which markets can you sell

the technology?• How do you contact the

potential customers?

• Business model: How to make money?

• How do you organize your marketing & sales?

• How do you protect your ideas and technology?

• Think outside-in: What’s in it for a customer?

• How do you compete with your competitors?

• Which activities are planned, what will be the output?

Important ‘questions to answer’

Statistics STW Valorisation Grant2004-2008

Phase 2 Approvals29

41% of Phase 2 Submissions

Phase 2 Approvals29

41% of Phase 2 Submissions

Phase 1 Submissions261

Phase 1 Submissions261

Phase 1 Approvals107

41% of Phase 1 Submissions

Phase 1 Approvals107

41% of Phase 1 Submissions

Phase 2 Submissions71

66% of Phase 1 Approvals

Phase 2 Submissions71

66% of Phase 1 Approvals

261 (100%)

107 (41%)

71 (27%)

29 (11%)

• TOP, loan credit € 10,000 to € 40,000– http://www.kennispark.nl/ondernemen/top-regeling/

• Small Business Innovation Programme (SBIR) - TNO– www.tno.nl/sbir – Technologies looking for entrepreneurs/ research driven organizations

• Phase 1: feasibility• Phase 2: development of the idea• Phase 3: commercialization

• WBSO (only for real registered companies): funding of R&D– http://www.senternovem.nl/wbso/

• Subsidy intermediaries– http://www.nlsi.nl (Dutch Subsidy Institute)– http://www.pnoconsultants.com/countries/NL/EN/Pages/default.aspx

Other (subsidy) opportunities

Research

Screening &

Scouting

Phase 0 Phase 1 Phase 2 Phase 3 Phase 4

2

1 SigmaBees 5 Smart Signs 9 e-Cone 13 Co-op2 Vier-Twee 6 Security Matters 10 Open Decision Spaces 14 MobiHealth3 Bibix 7 BloomWise 11 BCI 15 Recore Systems4 Mobile2Connect 8 CHOIR 12 PRIPS 16 Ambient Systems

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3

45

6

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9

13 14

16

15

10

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Some CTIT spin offs

Questions ?

© Kennispark Twente, ir. A.J.F. le Loux MBA

• Alain le Loux - Kennispark Twente

• E-mail: a.j.f.leloux@utwente.nl• Mobile: +31 [0]6 29 52 63 81

Contact details

© Kennispark Twente, ir. A.J.F. le Loux MBA