Periodic Reporting for period 1 - EIT_XKIC_A2F (EIT Cross-KIC Strategic Access to Finance)
Reporting period: 2023-01-01 to 2023-12-31
The Cross-KIC (Knowledge and Innovation Community) collaboration seeks to enhance the support to start-ups by reducing silos between the EIT (European Institute of Innovation and Technology) and the institutions - the EIC (European Innovation Council), and the EIF (European Investment Fund). Positioning the EIT KICs as the points of reference on start-up support will create synergies that will help avoid double funding, enhance co-investment opportunities, thus breaking innovation barriers in Europe by developing this one-stop-shop cohort for entrepreneurs and investors within the European ecosystem.
This more cohesive approach to start-up funding and support will increase the consequent social impact, and the goals of the EU, including increased access to funding for start-ups, the post-pandemic challenges, and the objectives underpinning the green deal.
The Cross-KIC (xKIC) collaboration also aligns with the New European Innovation Agenda that aims to position Europe at the forefront of the new wave of deep-tech innovation and start-ups. Specifically, this will be worked towards considering the Horizon Europe goals, including digitising and transforming European industry and services, as well as the UN SDGs (Sustainable Development Goals) such as gender equality, good health and well-being, industry innovation and infrastructure, and long-term impacts such as the creation of new jobs.
Thus far, all EIT KICs have successfully launched sector-specific business creation (BC) programmes to provide business development, incubation, and acceleration services to high potential start-ups and SMEs (small and medium enterprises) for them to achieve and progress breakthrough innovations that can be scaled rapidly across markets. By working in collaboration, individual KICs’ approaches to Access to Finance (A2F) offerings will be streamlined and revenue-generating mechanisms (fees for services and consulting offered to start-ups, scaleups and SMEs involved) will be optimized. As such, part of this effort will also contribute to the Financial Sustainability (FS) of the EIT KICs, while directly increasing the number of start-ups benefiting from the EIC, and EIF support. Through their business creation programmes, the EIT KICs are building a pipeline of innovative start-ups with high scale-up potential and ability to deliver on Horizon Europe’s and EIT’s societal impact goals. At the same time, KICs’ financial resources and ability to invest are limited. It is therefore crucial to mobilize additional risk capital and build a stronger investment ecosystem to support innovative startups and connect them with VCs and corporates which can adopt and scale-up new solutions.
This xKIC activity will help the KICs leverage additional investment in innovation and help KIC-supported start-ups and scaleups attract additional risk capital from the VC and corporate sector. The upscaling and market uptake of innovation will contribute to the modernization of the EU economy and to the transition of EU’s industry to a sustainable model of inclusive growth in line with the Green Deal in all the sectors where KICs operate. The proposal is expected to thus maximise the value-added offering for European start-ups in line with the overarching goal of enabling synergies with EIC and EIT KICs.
Primarily, the EIC work-package (WP) seeks to impact the ecosystem by simplfiying the support structures for start-ups to better services their needs and help them move solutions to market faster and ultimately reach European citizens. The Cross-KIC EIC WP2 focuses on developing long term strategy, a service-based model and implement a Fast Track that will better position EIT by showcasing each individual KICs’ expertise and broad regional outreach. Through this project, EIC and its beneficiaries will have more direct access to the sector-specific support through each KIC’s contribution and existing network.
Further, the major outcome of WP3 EIF will be a single, open innovation and investment platform focusing initially on Agri-food and Bioeconomy sector jointly led by EIF and EIT participating KICs, and a meaningful size for the market stakeholders, including on the investment capital side to be seeded and leveraged.
This first vehicle/vertical VCoE to be launched in 2023 and ramping-up in terms of membership following years, will create value by investing in one critical strategic area of the Green Deal (Agri-food and Bioeconomy) and associating following stakeholders: Corporates, Private VCs, Public Authorities and Start-ups. It will create value by removing silos and allowing EIF and multiple KICs to address together needs of start-ups and SMEs, across the broad Agri-food and Bioeconomy sectors. With this large scope of cooperation, we create massive synergy along multiple dimensions: technology, industry, private public, etc. We share knowledge within a common platform, allowing participants to access a large deal flow, discuss and invest together. By combining operational / business development expertise with financing power, we lower or remove certain risks in European ventures. We also prepare the exit routes for the successful ventures.
This more cohesive approach to start-up funding and support will increase the consequent social impact, and the goals of the EU, including increased access to funding for start-ups, the post-pandemic challenges, and the objectives underpinning the green deal.
The Cross-KIC (xKIC) collaboration also aligns with the New European Innovation Agenda that aims to position Europe at the forefront of the new wave of deep-tech innovation and start-ups. Specifically, this will be worked towards considering the Horizon Europe goals, including digitising and transforming European industry and services, as well as the UN SDGs (Sustainable Development Goals) such as gender equality, good health and well-being, industry innovation and infrastructure, and long-term impacts such as the creation of new jobs.
Thus far, all EIT KICs have successfully launched sector-specific business creation (BC) programmes to provide business development, incubation, and acceleration services to high potential start-ups and SMEs (small and medium enterprises) for them to achieve and progress breakthrough innovations that can be scaled rapidly across markets. By working in collaboration, individual KICs’ approaches to Access to Finance (A2F) offerings will be streamlined and revenue-generating mechanisms (fees for services and consulting offered to start-ups, scaleups and SMEs involved) will be optimized. As such, part of this effort will also contribute to the Financial Sustainability (FS) of the EIT KICs, while directly increasing the number of start-ups benefiting from the EIC, and EIF support. Through their business creation programmes, the EIT KICs are building a pipeline of innovative start-ups with high scale-up potential and ability to deliver on Horizon Europe’s and EIT’s societal impact goals. At the same time, KICs’ financial resources and ability to invest are limited. It is therefore crucial to mobilize additional risk capital and build a stronger investment ecosystem to support innovative startups and connect them with VCs and corporates which can adopt and scale-up new solutions.
This xKIC activity will help the KICs leverage additional investment in innovation and help KIC-supported start-ups and scaleups attract additional risk capital from the VC and corporate sector. The upscaling and market uptake of innovation will contribute to the modernization of the EU economy and to the transition of EU’s industry to a sustainable model of inclusive growth in line with the Green Deal in all the sectors where KICs operate. The proposal is expected to thus maximise the value-added offering for European start-ups in line with the overarching goal of enabling synergies with EIC and EIT KICs.
Primarily, the EIC work-package (WP) seeks to impact the ecosystem by simplfiying the support structures for start-ups to better services their needs and help them move solutions to market faster and ultimately reach European citizens. The Cross-KIC EIC WP2 focuses on developing long term strategy, a service-based model and implement a Fast Track that will better position EIT by showcasing each individual KICs’ expertise and broad regional outreach. Through this project, EIC and its beneficiaries will have more direct access to the sector-specific support through each KIC’s contribution and existing network.
Further, the major outcome of WP3 EIF will be a single, open innovation and investment platform focusing initially on Agri-food and Bioeconomy sector jointly led by EIF and EIT participating KICs, and a meaningful size for the market stakeholders, including on the investment capital side to be seeded and leveraged.
This first vehicle/vertical VCoE to be launched in 2023 and ramping-up in terms of membership following years, will create value by investing in one critical strategic area of the Green Deal (Agri-food and Bioeconomy) and associating following stakeholders: Corporates, Private VCs, Public Authorities and Start-ups. It will create value by removing silos and allowing EIF and multiple KICs to address together needs of start-ups and SMEs, across the broad Agri-food and Bioeconomy sectors. With this large scope of cooperation, we create massive synergy along multiple dimensions: technology, industry, private public, etc. We share knowledge within a common platform, allowing participants to access a large deal flow, discuss and invest together. By combining operational / business development expertise with financing power, we lower or remove certain risks in European ventures. We also prepare the exit routes for the successful ventures.
WP2
Task 1 - Coordination: Oversaw Work Package activities, conducted regular meetings with partners to ensure goals were met and facilitated stakeholder communication.
Task 2 - Service Based Model (BAS): Implemented a model enhancing EIC beneficiary services, with KICs creating unique offerings to improve accessibility and value.
Task 3 - Fast Track: Optimized support for startups for swift EIC accelerator progression, with each KIC tailoring their services to startup needs.
Task 4 - Data: Formulated data management protocols for security and efficiency, including an API for data exchange among KICs, EIT, and EIC.
WP3
Participating KICs have been exploring the VCoE open innovation and investment model, the features, benefit and impact for their verticals. Monthly meetings have
been used to share experience from KIC already implementing a VCoE model (eg:Health and Food) and discussing internally for interest and fit with existing
programs and ecosystem.
EIT Food has initiated VCoE implementation and define features. VCoE-Food will offer a digital platform to stakeholders to share investment and collaboration
opportunities but also networking. The digital tool will serve to make this connection scalable. An RFP and open call has been done to select and engage with a
supplier.
Task 1 - Coordination: Oversaw Work Package activities, conducted regular meetings with partners to ensure goals were met and facilitated stakeholder communication.
Task 2 - Service Based Model (BAS): Implemented a model enhancing EIC beneficiary services, with KICs creating unique offerings to improve accessibility and value.
Task 3 - Fast Track: Optimized support for startups for swift EIC accelerator progression, with each KIC tailoring their services to startup needs.
Task 4 - Data: Formulated data management protocols for security and efficiency, including an API for data exchange among KICs, EIT, and EIC.
WP3
Participating KICs have been exploring the VCoE open innovation and investment model, the features, benefit and impact for their verticals. Monthly meetings have
been used to share experience from KIC already implementing a VCoE model (eg:Health and Food) and discussing internally for interest and fit with existing
programs and ecosystem.
EIT Food has initiated VCoE implementation and define features. VCoE-Food will offer a digital platform to stakeholders to share investment and collaboration
opportunities but also networking. The digital tool will serve to make this connection scalable. An RFP and open call has been done to select and engage with a
supplier.