Entrepreneurship and ideas funding

Incubator Programme (Carbon Trust)
The Carbon Trust can refer early-stage companies, who have developed innovative carbon-saving technologies with real commercial and technical promise, into their co-funded incubators. The incubators will provide strategic and business development consultancy, advice on corporate finance, legal advice, management team recruitment and mentoring, market research and engagement and guidance on intellectual property protection. The Carbon Trust provides up to £70K of advisory support per accepted start-up/spin-out company, paid directly to the incubator partners for services provided to the company being incubated. The incubator operates on a virtual basis – there is no physical space – and works with companies across the UK. Applications are accepted throughout the year and should be made directly to the Incubator partners listed on the Carbon Trust’s website.

Venture Capital (Carbon Trust)
Carbon Trust Investments acts as a co-investor in early-stage low carbon technologies and provides venture capital finance for UK-based investments. Typical investments range between £250k-£3m per deal as a minority stakeholder alongside private sector investors on the same terms. If you have a technology that has commercial potential, have a completed business plan and have potential co-investors in place then you may be interested. No application deadline is mentioned on the website.

High Growth and Innovative SME Facility (European Investment Fund)
The EIF manages the High Growth and Innovative SME Facility (GIF) on behalf of the European Commission. Under the GIF, the EIF invests in specialised funds, which provide venture capital for SME financing. The GIF is funded by the European Union under the European Commission Competitiveness and Innovation Framework Programme 2007-13 (CIP). The GIF's objective is to improve access to finance for the start-up and growth of SMEs, and investment in clean technology or eco-innovation. Under GIF, higher investment rates are allowed in the case of funds focused on eco-innovation. Note that the EIF does not finance SMEs directly.

NESTA
NESTA is the National Endowment for Science, technology and the Arts and is one of the UK's largest seed-stage investors. The fund aims to demonstrate how a blend of private and public capital can drive world-beating, innovative UK companies and is a model which is increasingly becoming replicated across the country. NESTA combines capital investment with non-financial support to help the UK's innovative early-stage companies turn their ideas into commercial success. It has strict investment criteria, and only works with companies that have high potential for growth, are at seed or start-up stage, and have the potential to attract syndicated support.

Entrepreneurship and Innovation Programme (EIP) (European Commission)
Around €430 million has been allocated to this programme supporting innovation (including eco-innovation) and SMEs in the EU. With a budget of € 2.17 billion for the overall period of 2007-2013 the programme aims to achieve its objectives through a number of actions with the two key ones being ‘CIP Eco-innovation funding’ (see below) and ‘Access to finance for SMEs through "EU financial instruments".

CIP Eco-innovation funding (European Commission)
This initiative is addressed mainly to organisations that have developed an environmental product, service, management practice or process which has a proven track record, yet is not fully marketed due to residual risks. The Eco-innovation initiative is intended to overcome those barriers to further market penetration and turn these products and processes into Europe's future eco-innovation successes! Applications from SMEs are particularly encouraged. The call for proposals under this programme currently is open, with the deadline for submissions of 9 September 2010.

Low Carbon Seed Fund (Carbon Trust)
The Low Carbon Seed Fund aims to take equity stakes in companies raising up to £1m, where the equity gap is most severe. The fund is focused on identifying early stage cleantech investment opportunities that emerge both from the Carbon Trust Incubators as well as from other sources. The fund may invest up to £500k in any UK-based clean energy business that meets the fund’s investment criteria. The total investment transactions will typically be between £500k and £1.5M. The fund must invest alongside other commercial investors on a pari passu basis.

Clean Energy Fund (Carbon Trust)
Carbon Trust Investments directly invests into clean-energy technology businesses through its Clean Energy Fund. Following its establishment in May 2002, it has been one of the most active UK investment funds in the sector. We typically invest between £250k and £3 million in a business, with the average transaction-size being between £500k and £10 million. The fund must invest alongside other commercial investors on a pari passu basis. The fund is advised by the Carbon Trust’s fund advisers CT Investment Partners.

Biosciences and biotechnology related grants (BBSRC)
Biotechnology and Biological Sciences Research Council (BBSRC) is one of seven Research Councils that work together as Research Councils UK (RCUK). It is funded from the Government's Department for Business, Innovation and Skills (BIS). This grants guide includes information on eligibility, terms and conditions of grants, and details of BBSRC funding schemes.

BBSRC follow-on funding (BBSRC)
Biotechnology and Biological Sciences Research Council (BBSRC) is one of 7 Research Councils that work together as Research Councils UK (RCUK). It is funded from the Government's Department for Business, Innovation and Skills (BIS). The follow-on funding is for ‘proof of concept’ at the very early stage of turning research outputs into a commercial proposition. It funds work to convert an idea into a robust business plan where a route to commercialisation is clear, for example a spin-out (seed or venture finance) or licensing opportunity. Typically grants are for £80K-120K normally over 12 months. The next application deadline is 30 October 2010.

BBSRC biotechnology young entrepreneurs scheme (BBSRC)
Biotechnology and Biological Sciences Research Council (BBSRC) is one of 7 Research Councils that work together as Research Councils UK (RCUK). It is funded from the Government's Department for Business, Innovation and Skills (BIS). The Biotechnology YES (Young Entrepreneurs Scheme) is an innovative competition developed to raise awareness of the commercialisation of bioscience ideas among postgraduate students/postdoctoral scientists.

British Business Angels Association
Business angels are private wealthy individuals who may be interested in taking a stake in your business in exchange for funds which can be used for investment and growth. As with Venture Capital these investors are looking for very high returns on their money. Business angels usually also offer to help you with growing your business and can help in all sorts of ways: from becoming someone who helps you run the business, to someone who just makes a few phone calls to introduce you to the people you need to know, especially new customers or other investors. Most business angels invest between £10,000 and £750,000 in a business, but sometimes they invest together in a syndicate which will usually be led by one of the investors. They look to invest for between 5 and 10 years, though occasionally they manage to sell out earlier than that. They are often the first investors fast growing companies will have and often invest when a company is at too early a stage for venture capital funds. The best way to find business angels is through your local angel networks. There are networks in every region of the UK and can be found by talking to BusinessLink and local business people or people in the industry your business is in. Many of the networks can be found by approaching the British Business Angels Association.

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