Direct Funding

In general, direct public funding instruments can fund up to 70% of R&D projects and up to 40% of Investment projects.

Thus, combining private and public funding is key:

• Private funding: bank loans, green bonds, equity
• Public funding:
  • Direct: grants, recoverable advances, subsidized loans
  • Indirect: R&D tax credit, investment tax credit, superdeductions, enhanced amortization schemes

• What is the project timeline? When would you need or want it to start? Depending on the project timeline, there may be specific calls for projects and opportunity windows that should not be missed.
• Has the project already started? To access direct funding, no expenses should be incurred before submitting a government funding application.
• What is the objective of the project? It must align with the priorities and goals of the funding body.
• What is the geographical scope of the project? Determining whether the project is local, national, or international helps identify the relevant funding body and define the funding strategy.
• Can you match the funding budget with your own capital? Direct public funding instruments can fund up to 70% of R&D projects and up to 40% of Investment projects. Thus, a mix of private and public funding is key.

Grants are incentives available to businesses for projects in areas of government priority, such as innovation and Net Zero. They differ from other incentives, such as R&D tax credits, by providing cash for innovation projects before any expense has been incurred.

On the contrary, R&D tax credit are claimed at the end of the fiscal year, once eligible expenses have been incurred and documented.