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What is the European Business Angel Network (EBAN)?

Through EBAN, the Commission wishes to encourage and support networks connecting informal investors (or business angels) on the one hand and creators of SMEs on the other.

The Commission plans to co-finance up to 50% of the cost of projects which are in conformity with these objectives.

How can interested service providers participate in EBAN?

The Commission has launched a call for proposals:

  • Interested service providers must ask the Commission in writing to send them the "Grant application form" as well as the "General terms and conditions applicable to grant agreements of the European Communities." The call for proposals is managed by DG Enterprise, Enterprise Policy. For contact details see: list of Commission Services in charge of financial support schemes

  • Applicants who wish to form part of the first selection must submit their proposals using the above mentioned form by 30 September 1998 at the latest, the postmark being accepted as proof. This first selection will cover all eligible actions, which will have to be started at the latest in 1999. For projects to be started in 2000 (all eligible actions), the deadline for submission of proposals is 30 September 1999.

  • The tenderer must be from a Member State of the European Economic Area (EEA).

  • The services may be provided in the EEA and in the 11 countries applying to join the European Union.

The proposals submitted and selected must be carried out within:

  • 6 months for feasibility studies and the establishment of structures;

  • 12 months for dissemination actions.

What are the selection criteria for EBAN?

Proposals must cover one of the following actions:

  • Dissemination of the concept of a business angels network, through seminars and/or any other communication instrument;

  • Feasibility studies on the creation of networks at regional, national and Community level;

  • Creation and co-ordination of networks; the network will aim to connect SMEs and private investors (by means of information technology, printed matter or meetings) and to provide additional services to its members in order to facilitate SME financing with equity or quasi-equity;

  • The applicant must be legally constituted and registered;

  • The applicant must have the necessary legal, financial and moral integrity to carry out the subsidised action successfully;

  • Applicants must have proven experience in financing young companies and in the evaluation of the overall risks presented by these companies;

  • For projects involving the dissemination of the concept of business angel networks, applicants must be pan-European entities, or have a network on a European scale, and must have experience both in organising international conferences and in the area of informal venture capital.

What are the award criteria for EBAN?
  • Conformity of the project with the objectives of the support program;

  • Quality of the project: indication of motivation and of the resources which will be used (in particular as regards budget, place of establishment and geographical area covered, relations with other networks of business angels, relations with venture capital institutions, operating methods and coordination);

  • Absence of double financing of the same expenditure by the European institutions;

  • Management structure;

  • Cost-effectiveness;

Which applicants are excluded from participation in a contract?

Any service provider may be excluded from participation in a contract:

  • Who is bankrupt or is being wound up, whose affairs are being administered by the court, who has entered into an arrangement with creditors, who has suspended business activities or who is in any analogous situation arising from a similar procedure under national laws and regulations;

  • Who is the subject of proceedings for a declaration of bankruptcy, for an order for compulsory winding-up or administration by the court or for an arrangement with creditors or of any other similar proceedings under national laws or regulations;

  • Who has been convicted of an offence concerning his professional conduct by a judgement which has the force of res judicata;

  • Who has been guilty of grave professional misconduct proven by any means which the contracting authorities can justify;

  • Who has not fulfilled obligations relating to the payment of social sEurority contributions in accordance with the legal provisions of the country in which he is established or with those of the country of the contracting authority;

  • Who has not fulfilled obligations relating to the payment of taxes in accordance with the legal provisions of the country of the contracting authority;

  • Who is guilty of serious misrepresentation in supplying or failing to supply the information that may be required.

How can SMEs benefit from EBAN?

Interested SMEs should contact directly the business angel networks that will be selected through EBAN or they can first seek guidance on innovation financing sources and how to prepare for them from the Gate2Growth Initiative .

A list of Business Angel Networks participating in the EBAN programme will be kept up to date on this site.


Back to top Last Updated: 09-01-2002
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