guide to eu services for sme internationalisation
TRANSCRIPT
Guide to EU services for SME internationalisation
LAST UPDATE: MAY2015
For comments concerning this document, please contact Brita HEMME, European Commission, DG GROWTH, Unit "SME Access to Markets", [email protected].
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Contents
Guidebook and studies on the internationalisation of SMEs ..................................................... 4
The main EU programmes containing options for the internationalisation of SMEs ................ 5
COSME .................................................................................................................................. 5
Horizon 2020.......................................................................................................................... 5
Partnership Instrument ........................................................................................................... 6
ICI+ 7
IPA II...................................................................................................................................... 7
ENI 7
Support service providers........................................................................................................... 8
SME Internationalisation Portal ............................................................................................. 8
Diverse target markets............................................................................................................ 8
Target market "Asia"............................................................................................................ 10
Target market "Americas".................................................................................................... 13
Business opportunities for SMEs that want to go international ............................................... 15
Market access information - websites ...................................................................................... 18
Helpdesks Trade Defence and Technical Barriers to Trade..................................................... 20
Intellectual Property Rights (IPR)............................................................................................ 21
Access to finance: Indirect EU funding (2014-2020) .............................................................. 22
Access to Finance portal of the EU...................................................................................... 22
European Structural and Investment Funds (ESIF).............................................................. 22
COSME equity facility / debt facility .................................................................................. 23
Horizon 2020 equity facility / debt facility .......................................................................... 23
The EIB Group ..................................................................................................................... 24
European Investment Bank (EIB) ........................................................................................ 24
Research & Innovation............................................................................................................. 25
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Entrepreneurial Mentoring ....................................................................................................... 27
Programmes benefiting SMEs in 3rd countries........................................................................ 28
Accession countries.............................................................................................................. 28
Eastern Neighbourhood countries ........................................................................................ 28
Southern Neighbourhood countries...................................................................................... 29
Latin American countries ..................................................................................................... 31
EU programmes benefiting Network partners from COSME countries and BCCs................. 32
Free Trade Agreements (FTAs) of the EU with third countries .............................................. 32
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Definition of "internationalisation" For the purpose of this paper, "internationalisation" refers to all activities that put EU-based SMEs into a meaningful business relationship with a foreign partner beyond the borders of the EU: exports, imports, foreign direct investment (FDI — relocation or outsourcing), international subcontracting and international technical cooperation. Guidebook and studies on the internationalisation of SMEs
• The guidebook: "Supporting the Internationalisation of SMEs" is available for download or for the free ordering of paper copies at the EU Bookstore: http://bookshop.europa.eu/en/supporting-the-internationalisation-of-smes-pbNBBN14001/ (Published by the Commission in 2014, presently available in 18 official languages, many inspiring good practice examples)
• Studies and statistics relevant for SME Internationalisation are available on the
website of the DG DG for Internal Market, Industry, Entrepreneurship and SMEs http://ec.europa.eu/growth/smes/access-to-markets/internationalisation/studies/index_en.htm
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The main EU programmes containing options for the internationalisation of SMEs
COSME 2014-2020, €2.3 billion, in charge: DG GROWTH COSME (Competitiveness of Enterprises and Small and Medium-sized Enterprises) aims to strengthen the competitiveness and sustainability of the Union’s enterprises, including by promoting their internationalisation. It largely continues the activities started under the previous programme, the Entrepreneurship and Innovation Programme (EIP,) and ensures continuity of initiatives and actions already undertaken under it, such as the Enterprise Europe Network and the IPR helpdesks. http://ec.europa.eu/growth/industry/international-aspects/index_en.htm List of countries other than EU Members States, participating in COSME: http://ec.europa.eu/DocsRoom/documents/9703?locale=en
Horizon 2020 2014-2020, €79.4 billion, in charge: DG RTD and several other DGs, including DG GROWTH List of countries other than EU Members States, associated to Horizon 2020: www.ec.europa.eu/research/bitlys/h2020_associated_countries.html
Horizon 2020, the new EU programme for research and innovation running from 2014-2020 with a budget of nearly €80 billion, provides funding for every stage of the innovation process from frontier science to close-to-market innovation. Key elements of Horizon 2020 include, amongst others, the development of the technologies and innovations that will underpin tomorrow's businesses and help innovative European SMEs to grow into world-leading companies: Amongst others:
• SME-tailored support to stimulate all forms of innovation in SMEs, targeting those with the potential to grow and internationalise across the single market and beyond
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• A dedicated SME Instrument and a Fast Track to Innovation pilot scheme to speed up the time from idea to market, and to increase the participation of industry, SMEs and first time applicants
Horizon 2020 promotes cooperation with countries around the world based on common interest and mutual benefit. International cooperation ensures that partners have access to talent and resources wherever they are located; that they can tackle global societal challenges effectively; and that companies participate in global value chains and can access new and emerging markets. Any European business can use Horizon 2020 as a tool to internationalise by partnering with non-European companies or other actors to carry out joint research and innovation activities. These activities could be, for instance: joint research where partners have complementary expertise; integration of a technology supply chain; demonstration or piloting of a new product, service or technology; accessing facilities, data or services etc. From 2007 to 2013 (FP7, the previous EU research programme), around 20% of all projects had at least one partner from outside Europe as part of the consortium. http://ec.europa.eu/research/participants/portal/desktop/en/home.html
Partnership Instrument 2014-2020, €954 million, in charge: The European Commission's "Service for Foreign Policy Instruments" (not attached to any DG) Through the Partnership Instrument, the EU cooperates with partners around the world to advance the Union’s strategic interests and tackle global challenges. The PI funds activities that carry EU agendas with partner countries forward, translating political commitments into concrete measures, inter alia by promoting adherence to global standards through regulatory co-operation, by helping to strengthen EU Market Access Teams on the ground, by fostering policy dialogue and technical assistance on issues such as Intellectual Property Rights, by promoting business co-operation, innovation and knowledge management, as well as by underpinning co-operation with international institutions. http://ec.europa.eu/dgs/fpi/what-we-do/partnership_instrument_en.htm
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ICI+ Instrument for Cooperation with Industrialised Countries (ICI) – also open for countries beyond Africa, the Caribbean and the Pacific Region (ACP) "ICI +" 2012-2013, €172 million and Preparatory Actions China/India/Asia Middle Income Countries (2007-2010, €32 million), in charge: DG DEVCO ICI+ aims at strengthening the EU relationships with strategic developing country partners in the pursuit of the EU's own global interests. It has been replaced by the Partnership Instrument as of 2015, but ICI+ continues to be operational for a couple of years until all projects have been finalised.
IPA II
The Instrument for Pre-Accession Assistance
(2014-2020, €11.7 billion, in charge: DG NEAR)
Via IPA, the EU supports reforms in the enlargement countries with financial and technical help. The "growth and competitiveness" pillar supports the socio-economic development in the region and contributes to creating a better business environment, in particular for SMEs: It aims to attract foreign investments, improves access to finance, increase clustering, networking and SME internationalisation. IPA II finances the technical assistance facility of the Western Balkans regional Enterprise Development and Innovation Facility (EDIF) which aims at increasing governments’ support for strategic investments, particularly in infrastructure, energy efficiency and private sector development. http://ec.europa.eu/enlargement/instruments/overview/index_en.htm#ipa2
ENI European Neighbourhood Instrument 2014-2020, €15.4 billion, In charge: DG NEAR ENI promotes enhanced political cooperation and economic integration between the Union and neighbour countries. http://www.enpi-info.eu/ENI
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Support service providers
SME Internationalisation Portal (COSME)
In charge: DG GROWTH This database is addressed to EU-based SMEs that plan to extend their business beyond the borders of the EU. It helps companies find public and semi-public support service providers for "internationalisation" at national level, at EU level and also in their target markets. Presently, 35 target markets around the world are covered. The database describes the support services available and provides the relevant contact details. The Enterprise Europe Network appears under "EU support" and is also linked from every page of the database. https://webgate.ec.europa.eu/smeip/
Diverse target markets
Enterprise Europe Network (COSME) In charge: DG GROWTH Network activity with "third countries" focuses mostly on matchmaking via the Partnership Opportunity Database, via company missions and via brokerage events. The Enterprise Europe Network is the only EU activity with this focus. The Commission encourages the other EU activities mentioned in this paper, to closely cooperate with the Enterprise Europe Network when it comes to matchmaking, company missions and brokerage events. http://een.ec.europa.eu/ The Network has partners in (presently) 6 COSME countries and Business Cooperation Centres in (presently) 18 countries outside the EU/COSME countries
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"COSME countries" covered: Albania, FYROM, Iceland, Moldova, Montenegro Turkey "Third countries" covered: Argentina Armenia Belarus Brazil Canada Chile China Egypt Georgia India Indonesia Israel Japan Jordan Korea Mexico New Zealand Norway Paraguay Peru Russia Serbia Singapore South-Africa Switzerland Taiwan Tunisia Ukraine USA The "call for expression of interest" continues to be open, so further countries might join after future cut-off dates.
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Target market "Asia"
In charge: DG GROWTH EU-Japan Centre for Industrial Cooperation (COSME) The Centre supports trade exchanges, investments and access to public procurements. It develops a better knowledge of the business environment in Japan through executive training programmes, studies, seminars, helpdesk and business information support and logistic support. http://www.eu-japan.eu/
EU Business in Japan This website comprises several chapters covering every aspect of doing business in or with Japan. The site also has a database with public service providers. Some parts of the website are accessible to members only. http://www.eubusinessinjapan.eu/ Step in Japan ‘Step in Japan’ is a free logistic support initiative for SMEs, which acts as a landing pad for EU-based SMEs planning on entering into or expanding within Japan. http://www.eu-japan.eu/other-activities/step-in-japan Training sessions Training sessions are available in Japan for EU companies of all sizes. They include scholarships for participants from small firms. http://www.eu-japan.eu/business-programmes/programmes-organised-by-the-centre
EU Project Innovation Centre (China) (supported by the EU) EUPIC is a comprehensive platform promoting trade, investment and technical cooperation between the EU and China. www.eupic.org.cn Support for European businesses in emerging Asian markets (co-funded by the EU) In charge: DG DEVCO, Programme: ICI+ The goals of the ten structures mentioned directly below are twofold: advocacy and business support.
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Advocacy: These structures strengthen the capacity of European businesses in the target markets to defend their interests (market access issues, local business environment) with one single voice. Business support: These structures provide "first entry support" services to all EU companies and assist them in establishing a business presence (e.g. trade, commercial presence, or investment) in the target country. SME Centre in China Consortium of mainly China-based pan- and bilateral European business support structures (led by the British Chinese Business Association) www.eusmecentre.org.cn http://ec.europa.eu/delegations/china/documents/projects/eu_sme_centre.pdf
Quiz: EU SME Centre — Are you ready for China? This online quiz allows SMEs to gauge their readiness in developing business in China, enabling them to diagnose whether they are heading in the right direction. http://www.eusmecentre.org.cn/quiz/
European Business and Technology Centre (EBTC) in India Consortium of EU-based EuroChambres and 38 business service intermediary organisations mostly based in Europe. The Centre assists the business, science and research community in Europe and India, generating new business opportunities and technology transfer and promoting European clean technologies in India. It is located in New Delhi, with antennae to be opened in Mumbai, Calcutta and Bangalore. The centre is run by Eurochambres, in partnership with 16 business and research organisations from four sectors (biotech, energy, environment and transport). Its objective is to become the point of reference for European companies and research entities that wish to enter the Indian market. The activities carried out cover a wide range of actions: information and intelligence services, assistance and specific sector activities. http://ebtc.eu/
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European Association for Business and Commerce (EABC) in Thailand This European Trade Organisation is situated in Bangkok, Thailand, and aims to contribute to the improvement of trade and investment for European companies in Thailand. Consortium of mainly locally based bilateral MS chambers of commerce (led by the German-Thai chamber). Designed to be the equivalent of a local European Chamber of Commerce. http://www.eabc-thailand.eu/ European Chamber of Commerce in Myanmar Consortium under the lead of the French-Burmese bilateral chamber of commerce, with EU-based EuroChambres as partner.
EuroCham Malaysia http://www.eumcci.com/ EuroCham Philippines http://www.eccp.com/ EuroCham Laos http://eccil.org/ EuroCham Cambodia http://www.eurocham-cambodia.org/ EuroCham Indonesia Advocacy services only http://www.eurocham.or.id/ European Indonesian Business Network (EIBN) Locally-based consortium of EU Member State bilateral chambers, led by the German-Indonesian Chamber, provides "first entry support and outreach" http://www.eibn.org/ European Vietnamese Business Network (EVBN) Consortium led by the French-Vietnamese Chamber of Commerce with the local bilateral Italian chamber of commerce, and 3 EU-based chambers. EuroCham Vietnam decided in February 2015 to cooperate with the consortium with a view to closely cooperate in the advocacy component which is its initial mission. http://evbn.org/
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Target market "Americas"
The European and Latin Amercian Business Services and innovation network (ELAN) In charge: DG DEVCO, Programme ICI+ This project is currently being set up. It will consist of two components: 1) an online information platform for SMEs and 2) a network of European and Latin American research and innovation centres. Online information platform for the use of EU-based SMEs The platform will cover at least Argentina, Brazil, Chile, Colombia, Mexico, Peru and Costa Rica (as regional hub for Central America). It will provide information regarding
• goods and services • specific market information • relevant market studies • data about relevant local business events such as fairs, events, etc.) • business opportunities • administrative procedures related to business activities • regulatory and standards issues (including sanitary and phytosanitary standards) • Intellectual Property Rights - as collected and elaborated by the IPR Help desk – • Procurement • financing mechanisms • Rules for investment • legal issues (social laws) • taxes
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Training opportunities for SMEs that plan to go to South East Asia, China or Korea In charge: The Commission's "Service for Foreign Policy Instruments" The following programmes will be implemented via international service contracts. The Commission has encouraged the future contract holders via the respective Terms of Reference of the call for tender to cooperate with the Enterprise Europe Network for the dissemination of opportunities EU-based SMEs.
EU Gateway/Business Avenues in South East Asia (Partnership Instrument) A pilot programme will run until the end of 2015, the roll out is presently being prepared for 2016. Building on the EU Gateway programme model, this project will promote trade and business cooperation with South East Asia and create valuable business links for European SMEs with emerging markets in the region. The project will use Singapore as hub, reach out to markets in Malaysia, Vietnam, Indonesia and Thailand – (possibly extending to other ASEAN countries). The objective is to recruit up to 200 European companies per year and organise 3 to 4 business missions per year into dual markets. Activities are intended to foster business-to-business links between EU-based and South East Asian-based companies. Priority sectors are energy, environment, and health technology. (2015) www.businessavenues.eu www.eu-gateway.eu (2016) http://ec.europa.eu/dgs/fpi/key-documents/2014-aap_en.htm Please scroll down and click on "annex J". Green Gateway to Korea (Partnership Instrument) The EU Green Gateway Programme for Korea aims to strengthen the presence of EU companies in Korea, through an increase and diversification of export or investments supporting green growth. It specifically focuses on
• Facilitating trade and business cooperation with Korea • Assisting EU companies, in particular SMEs, to create business links in Korea in clean
technologies, products and services
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• Assisting EU companies in gaining a better understanding of the local business culture, market rules and practices.
The target is to recruit up to 200 European companies per year and organise 4 business missions per year ( i.e. 20 over 5 years). http://ec.europa.eu/dgs/fpi/key-documents/2014-aap_en.htm Please scroll down and click on "annex I".
EU Gateway to China (Partnership Instrument) Gateway to China is a pilot project. Through it, business missions for EU companies (mainly SMEs) to China will be organised (expected 4 business missions for around 200 companies). The project will provide coaching and targeted information to selected companies, thereby complementing other instruments currently used to address market access barriers (regulatory dialogue, trade promotion and business centres). The project will help EU-based companies (especially SMEs), to expand their activities to China. As a pilot, this action will test the effectiveness of the Gateway methodology in addressing market access barriers in China. http://ec.europa.eu/dgs/fpi/key-documents/2014-aap_en.htm Please scroll down and click on "annex M".
Business opportunities for SMEs that want to go international Missions for Growth (COSME) In charge: DG GROWTH In a Mission for Growth, the Commissioner responsible for the "Internal Market, Industry, Entrepreneurship and SMEs" travels with a delegation of EU business representatives to a third country. A business delegation attracts an average 60 participants (large companies, SMEs and European/national business associations). The Mission usually lasts two days. The programme is a combination of
• political meetings with line Ministers in which the companies participate to allow them to articulate their concerns on market access and business environment factors
• briefing meetings for the companies to inform them on doing business in the host country
• B2B meetings for companies to meet companies of the host country
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• a visit to an industrial site and/or economic hub in the country to explore concrete investment and co-operation possibilities.
Each mission focuses on a specific industrial sector. Registration for the Mission is administered via a dedicated website ("B2Match"). Companies pay for their own travel and accommodation costs. http://ec.europa.eu/growth/industry/international-aspects/missions-for-growth/index_en.htm Cluster internationalisation Programme for SMEs (COSME)
In charge: DG GROWTH Beyond the borders of the EU, this programme concerns the "COSME countries" Albania, FYROM, Iceland, Moldova, Montenegro and Turkey and the "third countries" Brazil, India, Japan, South Korea, Mexico, Morocco, Tunisia and Chile. The programme includes:
• A “Cluster Go International” action to support the establishment of Strategic Cluster Partnerships across borders and in sectors of strategic interest. This action will inter alia contribute to developing a joint internationalisation strategy with common goals towards specific third markets. Participating SMEs will be able to contribute to the emergence of new industrial value chains.
• The web-based European Cluster Collaboration Platform mapping and profiling
cluster organisations inside Europe and beyond the borders of the EU. Inter alia, this platform is used for organising cluster matchmaking events with clusters in third countries. Presently, 950 clusters from Europe and 150 from beyond Europe are registered and profiled on the platform.
http://www.clustercollaboration.eu/ http://ec.europa.eu/growth/smes/cluster/internationalisation/index_en.htm Clean energy cooperation with India (Partnership Instrument) In charge: DG (tbd) This project is presently being set up. The project aims to enhance India's capacity to deploy low carbon energy production and improve energy efficiency, thus contributing to the mitigation of global climate change. Project activities will support India's efforts to secure the supply of energy and contribute to
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global energy security. Finally, the project will create opportunities for European businesses in the energy technologies sector (renewables, energy efficiency, electrical network equipment). Among the expected results of this action is improved access of EU companies to the Indian market, in particular for electrical equipment suppliers, energy generation equipment suppliers, transmission and distribution system operators and companies involved in energy efficiency technologies. http://ec.europa.eu/dgs/fpi/key-documents/2014-aap_en.htm please scroll down and click on annex F Low carbon business action in Brazil and Mexico (Partnership Instrument) In charge: DGs CLIMA and GROWTH These two projects aim at facilitating the adoption of low emission technology by existing industry, i.e. the transformation of industrial energy systems towards greater sustainability through energy efficiency and expanded renewable energy sources. The two projects will help establish and expand emerging industries that can deliver low emission technologies and solutions. This includes technology itself as well as the provision of environmental and energy consulting and services, e.g. for monitoring, measuring and analysis services. Last but not least, both projects will promote the internationalisation of EU SMEs. In fact, they will facilitate industrial cooperation between low emission solution providers from the EU and industrial partners, resulting in long-term cooperation between clusters and their member SMEs, research centres, science parks and incubation centres, etc. in the field of low emission technologies and related services. http://ec.europa.eu/dgs/fpi/key-documents/2014-aap_en.htm Please scroll down and click on annexes D and E.
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Market access information - websites Market access database In charge: DG TRADE This Database gives information to companies exporting from the EU about import conditions in third country markets:
• Tariffs: Duties & taxes on imports of products into specific countries • Procedures and Formalities: Procedures & documents required for customs clearance
in the partner country • Statistics: Trade flows in goods between EU and non-EU countries • Trade barriers: Main barriers affecting your exports • SPS: Sanitary and Phytosanitary Issues • Food safety/animal health/plant health measures • Rules of Origin: Preferential agreements & rules of origin • Services for SME: Services for SME
http://madb.europa.eu/madb/indexPubli.htm Export Helpdesk In charge: DG TRADE This site gives market access information for import into the EU, including a helpdesk. In addition, users can lodge product specific information requests. The Export helpdesk is a freely accessible online database which reflects the EU's import conditions for any type of product, be it machinery, handbags, textiles, food or wines. Businesses can look up • the applied customs duties for goods • rules and certificates of origin, trade statistics • VAT and excise duties in the EU Member States • the required documents for customs procedures • all product specific market requirements such as sanitary and phyto-sanitary rules,
technical standards, labelling rules etc. http://exporthelp.europa.eu/thdapp/index.htm
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Taxation and Customs: electronic databases In charge: DG TAXUD
This website provides a list of all Commission databases related to customs and taxation: http://ec.europa.eu/taxation_customs/common/databases/index_en.htm Euro-Mediterranean Trade and Investment Facilitation Mechanism In charge: DG NEAR To cover Algeria, Egypt, Jordan, Israel, Lebanon, Morocco, Palestine, Tunisia and Turkey. This joint initiative between the European Union (EU) and the International Trade Centre (ITC) will provide an online portal of information – the EuroMed Trade Helpdesk (see above). It will be modelled on the EU Export Helpdesk and will contain information on
• trade statistics • applied customs tariffs and preferential arrangements • rules and certificates of origin • VAT and excise taxes • general requirements and product specific market requirements (such as sanitary and
phytosanitary regulations, labelling regulations etc.) • business contacts (e.g. relevant institutions, chambers of commerce etc.) • news and events.
In addition, a problem solving network of national institutions, will be responsible for responding to enquiries posted to the online portal, so as to facilitate trade and investment. http://www.intracen.org/euromed/
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Helpdesks Trade Defence and Technical Barriers to Trade SME Trade Defence Helpdesk In charge: DG TRADE Trade Defence Instruments ensure fair trade for EU enterprises and help protect them against unfair trade measures, including low-priced imports due to prohibited subsidies or dumping practices from non-EU countries. The European Commission also provides advice and support if an enterprise that is exporting to a non-EU country is affected by an anti-dumping, anti-subsidy or safeguard measures applied by that country. http://ec.europa.eu/trade/trade-policy-and-you/contacts/#_trade-defence Technical Barriers to Trade (TBT) Enquiry Point In charge: DG GROWTH In order for EU small businesses to take full advantage of international trade, unnecessary and unjustified technical barriers need to be removed. The "EU TBT Enquiry Point" plays a central role in this. It coordinates and prepares the EU comments on the draft technical regulations and conformity assessment procedures notified by the WTO Members under the TBT Agreement. In order to fulfil this task, it relies both on the assessment of the competent Commission services and of the economic operators. By using this mechanism, economic operators can signal possible technical barriers to trade already at a draft stage and the EU can issue comments and engage in a dialogue with the notifying WTO Member to prevent them. The EU-TBT-Enquiry-Point also maintains a free on-line database, containing all TBT notifications and the related comments. http://ec.europa.eu/growth/tools-databases/tbt/en/
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Intellectual Property Rights (IPR) EU-US Transatlantic IPR portal In charge: DG GROWTH This portal is addressed to companies in Europe and in North America. The scope of the IPR information provided is, however, worldwide. The portal
• provides access a wide range of IPR resources such as IPR factsheets for individual countries.
• helps companies manage their IPR • gives access to IPR training material • provides contact to IPR enforcement authorities • links to external expert advice
http://ec.europa.eu/growth/tools-databases/ipr/index_en.htm
IPR Helpdesks for China, ASEAN and MERCOSUR (COSME) In charge: DG GROWTH The EU's IPR Helpdesks provide first line expert advice for SMEs on intellectual property rights, liaison with external experts and training. http://www.china-iprhelpdesk.eu http://www.asean-iprhelpdesk.eu http://www.mercosur-iprhelpdesk.eu/
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Access to finance: Indirect EU funding (2014-2020) There are no specialised funding opportunities for the internationalisation of SMEs. However, the following options should be explored:
Access to Finance portal of the EU http://europa.eu/youreurope/business/funding-grants/access-to-finance/ European Structural and Investment Funds (ESIF) In charge: DG REGIO ESIF can finance a whole range of SME internationalisation measures, e.g. the participation in trade fairs and foreign trade missions, market intelligence, assistance in identifying business partners, support to international activities of clusters and business networks, etc. The ESIF's financial services include export guarantees and loans. The European Regional Developent Fund (ERDF) also supports the creation of cross-European value chains and – in line with the smart specialization strategy - the development of more competitive clusters. The measures and allocations of the funds are determined at the national and regional levels based on seven-year Operational Programmes which are negotiated with the EU. Information on the individual Members States is available at: http://ec.europa.eu/regional_policy/index_en.cfm Under the SME competitiveness objective1, according to preliminary figures* for the period 2014-2020, about 20% of ESI funds or € 59 billion euros will be focused on SME support measures (32.4 billion euros by the ERDF and 26,6 billion euros by the Rural development Fund (RDF). A Guide on how to support internationalisation of SMEs using the ESIF is available for free (download / printed version) via:
1 Figures date from 20.10.2014 based on draft and adopted Partnership Agreements with EU Member States
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http://bookshop.europa.eu/en/supporting-the-internationalisation-of-smes-pbNBBN14001/
COSME equity facility / debt facility http://ec.europa.eu/growth/access-to-finance/cosme-financial-instruments/index_en.htm SMEs interested in these sources of finance can establish contact to suitable intermediaries via: www.access2finance.eu.
The Equity Facility for Growth (EFG) Through COSME EFG, the European Investment Fund invests in selected venture capital and private equity funds – acting as financial intermediaries – that provide funding to SMEs predominantly in their expansion and growth stages. COSME EFG also invests in funds helping portfolio companies to expand and to internationalise. The EFG is a successor to the High Growth and Innovative SME Facility (“GIF2”), under the Competitiveness and Innovation Framework Programme (CIP) implemented between 2007 and 2013. The Loan Guarantee Facility (LGF) Through COSME LGF, the European Investment Fund offers guarantees and counter guarantees to selected financial intermediaries (e.g. guarantee institutions, banks, leasing companies) to help them provide loans and leases to SMEs which they would otherwise not support. By sharing the risk, the COSME guarantees allow the financial intermediaries to widen the range of SMEs and the type of transactions that they can finance. Via the LGF, the EIF also offers guarantees for the securitisation of SME debt finance portfolios in order to enable financial intermediaries to generate new SME debt finance portfolios. LGF is a successor to the SME Guarantee Facility (SMEG), successfully implemented under the Competitiveness and Innovation Framework Programme (CIP) in the 2007-2013 programming period.
Horizon 2020 equity facility / debt facility The 'Industrial Leadership' pillar of Horizon 2020 helps companies and other types of organisation engaged in research and innovation (R&I) to gain easier access, via financial
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instruments, to loans, guarantees, counter-guarantees and hybrid, mezzanine and equity finance. http://ec.europa.eu/programmes/horizon2020/en/h2020-section/access-risk-finance Horizon 2020's "InnovFin" products (see below) operate in conjunction with the COSME equity facility / debt facility (see above).
InnovFin – EU Finance for Innovators Under this name, Horizon 2020 promotes a range of debt and equity products and advisory services in order to effectively give a boost to the availability of finance for research and innovation activities in Europe.
InnovFin consists of a range of tailored products – from guarantees for intermediaries that lend to SMEs to direct loans to enterprises - helping support the smallest to the largest R&I projects in the EU and in the countries associated to Horizon 2020. http://www.eib.org/products/blending/innovfin/index.htm
The EIB Group The EIB Group consists of the European Investment Bank and the European Investment Fund, the specialist arm providing SME risk finance.
European Investment Bank (EIB)
The EIB is the European Union's bank and the only bank owned by and representing the interests of the European Union Member States. It works closely with other EU institutions to implement EU policy. http://www.eib.org/about/index.htm
European Investment Fund (EIF) The EIF supports Europe’s SMEs by improving their access to finance through a wide range of selected financial intermediaries across Europe. To this end, it primarily designs, promotes and implements equity and debt financial instruments which specifically target SMEs. The EIB is the majority EIF shareholder with the remaining equity held by the European Union (represented by the European Commission) and other European private and public bodies.
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http://www.eif.org/
As the largest multilateral borrower and lender by volume, the group provides finance and expertise for sound and sustainable investment projects which contribute to furthering EU policy objectives. About 10% of its activity is focused on the EU's external and development policies (i.e. the area outside Europe). Learn about the activities of the group in the different global regions (http://www.eib.org/projects/regions/index.htm) and find the products for SMEs as they are being proposed by the intermediaries (i.e.partner banks and financial institutions) in the different Members States (http://www.eib.org/projects/priorities/sme/eu/index.htm) and in countries outside the EU: (http://www.eib.org/projects/priorities/sme/outside-eu/index.htm).
Research & Innovation EUREKA-Eurostars In charge: DG RTD This project is implemented in the EU Member States and in Iceland, Israel, Norway, Switzerland, Turkey, South Korea. It focuses on applied R&D and product development. Eurostars is a programme that supports research-performing SMEs, which develop innovative products, processes and services, to gain competitive advantage. Eurostars does this by providing funding for transnational innovation projects; the products of which are then rapidly commercialized. It is a transnational programme, where projects have partners from two or more Eurostars countries.
Average Project Profile
• 3 to 4 Participants
• 2 to 3 Countries involved
• 29 Month duration
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• 1.4 M€
https://www.eurostars-eureka.eu/home/what Horizon 2020 collaborative projects In charge: DG RTD SMEs work with at least 2 international partners (separate legal entities) from different EU countries (at least 3 in total) and request EU project support. To find partners, they can use the assistance of various partner search services, i.a. the Enterprise Europe Network. http://ec.europa.eu/research/participants/portal/desktop/en/funding/sme_participation.html (scroll down to "collaborative projects") Horizon 2020 SME Instrument In charge: DGs RTD and GROW Small and Medium-sized Enterprises that are EU-based or established in a country associated to Horizon 2020 can get EU funding and support for innovation projects that will help them grow and expand their activities into other countries – in Europe and beyond. Horizon 2020 funds high-potential innovation through a dedicated SME instrument Provided with about € 3 billion in funding over the period 2014-2020, the SME Instrument helps high-potential SMEs to develop groundbreaking innovative ideas for products, services or processes that are ready to face global market competition. Available to SMEs only, which can however organise a project in the way that best fits their business needs – meaning that subcontracting is not excluded – the new scheme has opened a new highway to innovation through phased, progressive and complimentary support. The SME instrument has been designed specifically for single or groups of highly innovative SMEs with international ambitions, determined to turn strong, innovative business ideas into winners on the market. The instrument provides full-cycle business innovation support from the stage of business idea conception and planning (phase I) over business plan execution and demonstration (phase II) to commercialisation (phase III). Participants will be able to call on business innovation coaching for the duration of their project.
• Phase I (proof-of-concept): Explore the scientific or technical feasibility and commercial potential of your new idea in order to develop an innovation project, with the help of a € 50,000 grant, and receive more support in case of a positive outcome!
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• Phase II (development & demonstration): Develop your sound, ground-breaking business idea further with the help of a grant in the order of € 500,000 to 2,5 million into a market-ready product, service or process!
• Phase III (go-to-market): Take advantage of additional EU support to enter the market successfully (no grants).
http://ec.europa.eu/programmes/horizon2020/en/h2020-section/sme-instrument#Commercialisation Entrepreneurial Mentoring Erasmus for Young Entrepreneurs (COSME) In charge: DG GROWTH This programme presently applies to EU Member States and "COSME countries" (http://ec.europa.eu/DocsRoom/documents/9703?locale=en). Erasmus for Young Entrepreneurs is a cross-border exchange programme which gives new or aspiring entrepreneurs the chance to learn from experienced entrepreneurs running small businesses in other participating countries. The exchange of experience takes place during a 1-6 months stay with the experienced entrepreneur, which helps the new entrepreneur acquire the skills needed to run a small firm. The stay is partially funded by the European Union. The host benefits from fresh perspectives on his/her business and gets the opportunities to cooperate with foreign partners or learn about new markets. Possible benefits for the new entrepreneurs include the exchange of knowledge and experience, networking opportunities across Europe, new commercial relations or new markets abroad. http://www.erasmus-entrepreneurs.eu/index.php
CONNECT Project - Brazil A pilot-project outside the Member States / COSME area has been run with Brazil from December 2013 to June 2015. Implementation has been done by the European Business & Innovation Centre Network (EBN). http://www.eubrazilconnect.com/
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Programmes benefiting SMEs in 3rd countries
Accession countries
In charge: DG NEAR Current beneficiaries are: Albania, Bosnia and Herzegovina, the former Yugoslav Republic of Macedonia, Iceland, Kosovo*, Montenegro, Serbia, and Turkey. The Instrument for Pre-accession Assistance (IPA) The Instrument for Pre-accession Assistance (IPA) is the means by which the EU supports reforms in the enlargement countries with financial and technical help. The IPA funds build up the capacities of the countries, resulting in progressive, positive developments in the region. The growth and competitiveness pillar aims at supporting the socio-economic development in the region, in line with EU 2020 targets and contribute to create a better business environment, in particular for SMEs, attract foreign investments; improve the functioning of the business sector, especially for SMEs and entrepreneurs, improved access to finance, increased clustering, networking and SME internationalisation. Indicative Strategy papers for the individual countries: http://ec.europa.eu/enlargement/news_corner/key-documents/index_en.htm?key_document=080126248ca659ce http://ec.europa.eu/enlargement/instruments/overview/index_en.htm#ipa2
Eastern Neighbourhood countries
In charge: DG NEAR
Applies to: Armenia, Azerbaijan, Belarus, Georgia, Moldova, Ukraine The European Neighbourhood Instrument (ENI) finances i.a. actions that support SMEs in the region:
• East Invest
The EU initiated a networking programme between Business Support Organisations (BSOs) from partner countries and the EU –. The East Invest Programme aims to promote trade and investment through networking and consolidation of business and
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SME associations in the Eastern partner region. So far more than 80 BSOs have participated in the programme.
• Financial Support In order to support SMEs directly and to provide them with better access to finance a wide range of programmes involving European Financial Institutions (EBRD, EIB and KfW) have been financed via the Neighbourhood Investment Facility. The portfolio of active projects amount for more than € 75 million over the region, mobilising 10 times more funds from EFIs.
• Free Trade Agreement Facility Additionally, the DCFTA Facility for SMEs has been established for the three countries which have signed an AA/DCFTA with the EU (Ukraine, Moldova and Georgia). The DCFTA Facility has the purpose to support SMEs in order for them to be able to:
o Finance necessary investments to comply with the provisions of the DCFTA; o Seize trade opportunities with the EU and within the region which have been
opened up due to the DCFTA; o Benefit from the inflow of foreign direct investment. o The grant element from the EU will be blended with EFIs loan to maximise the
impact of the DCFTA Facility: the DFCTA Facility aims at mobilising €150 million of EU grant, to leverage 10 times more funds from EFIs
Southern Neighbourhood countries
In charge: DG NEAR Applies to: Algeria, Egypt, Israel, Jordan, Lebanon, Libya, Morocco, Palestine, Tunisia. The following regional programmes of the European Neigbourhood Instrument (ENI) in support of private sector development are of particular interest to European enterprises:
• Euromed Invest (EU Support to business and investment partnerships in Southern Mediterranean) The objective of the action is to strengthen Euro-Med business and investment networks. It offers, inter alia, an online business matchmaking platform, a market intelligence portal, business roadshows, entrepreneurs mentoring and training sessions, business networks in key sectors such as agri-food, water and renewable energy, tourism, transport and logistics, cultural and creative industries. Its implementation is coordinated by the ANIMA Investment Network, a multi-country cooperation platform for economic development in the Mediterranean; http://www.euromedinvest.eu
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• Support to the development of culture and creative industries and clusters in the
Southern Mediterranean The objective of this action is to foster entrepreneurial co-operation in the culture and creative Industries. The action provides financial and technical support to pilot cluster projects in these sectors. http://www.cci-clusters.com
• Support to trade development in the Southern Mediterranean
This action helps to develop trade and business in the region through the implementation of the Agadir Agreement that was signed by Egypt, Jordan, Morocco and Tunisia in 2004 to remove barriers to trade and investment with the EU and between the countries themselves. http://www.agadiragreement.org
• Enhancement of the business environment in the Southern Mediterranean (EBESM) The objective of this action is to help SMEs to do business in North Africa and the Middle East by improving the regulatory environment in those regions in line with "the Small Business Act for Europe" (SBA). This action, which is conducted at the regional level is complemented by technical assistance and financial support allocated to individual countries according to their specific needs. http://www.ebesm.eu; http://ec.europa.eu/enterprise/policies/international/promoting-neighbourhood/mediterranean/index_en.htm
• Euro-Mediterranean Young Entrepreneurs (EMYE) The objective is to support young professionals aiming to run an enterprise and to reinforce relationships and opportunities between enterprises from the EU and North Africa. http://www.italafricacentrale.com/emye/index.php?lang=en&Itemid=105
• SMEs development supported by “Mediterranean Sea Basin” Programme The thematic objective entitled 'Business and SMEs development' of the ENI Cross Border Cooperation (CBC) “Mediterranean Sea Basin” Programme is to support start-up enterprises and enhance Euro-Mediterranean value chains and clusters. Diversification of tourism into new segments and niches is also part of this objective. 14 countries are involved– Algeria, Cyprus, Egypt, France, Greece, Israel, Italy, Jordan, Lebanon, Malta, Palestine, Portugal, Spain and Tunisia. Over € 209 million
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have been granted by the European Union to the ENI CBC Mediterranean Sea Basin Programme for the period 2014-2020. http://www.enpicbcmed.eu/enicbcmed-2014-2020/the-eni-cbc-med-programme
• SWITCH-Med The objective of the SWITCH-Med Initiative is to facilitate the shift toward Sustainable Consumption and Production (SCP) in the Southern Mediterranean Region including by supporting emerging green entrepreneurs, civil society and policy makers through policy development, demonstration activities and networking.
http://www.switchmed.eu)
Latin American countries
In charge: DG DEVCO AL-Invest
Since 1994, AL-INVEST has been a flagship programme of EU cooperation with Latin America. The programme promotes inclusive growth and aims at creating opportunities through facilitating the internationalisation of thousands of Latin American small and medium enterprises (SMEs), in collaboration with their European partners. AL Invest IV (2009-2013) : Brochure: https://ec.europa.eu/europeaid/brochure-al-invest-iv-facilitating-internationalisation-american-smes_en AL-INVEST V is foreseen to start operations in the first semester of 2016. It is designed to contribute to productivity growth and the sustainable internationalisation process of SMEs in Latin America through organisations that represent the private sector and promote its development, such as Chambers of Commerce, Trade Associations and Export Promotion Agencies, etc. Within the framework of the programme, Latin American SMEs will continue to benefit from training and technical assistance to improve their productivity and competitiveness, participate in business meetings in relevant trade fairs, and have access to quality information as well as to advise on market opportunities, potential clients or business partners and EU legislation and policies. https://ec.europa.eu/europeaid/regions/latin-america/al-invest-regional-aid-programme_en
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EU programmes benefiting Network partners from COSME countries and BCCs Technical Assistance and Information Exchange – TAIEX (Partnership Instrument) The objective is the implementation of EU bilateral cooperation agreements or similar policy agreements, with a focus on regulatory convergence in partners countries, to share with them experience, know-how and information on EU policies and legislation in the widest sense and to support the implementation of mutually agreed commitments. Activities include seminars, workshops, conferences, expert missions and study visits. TAIEX coordinates requests for assistance and cooperation to Member States for the delivery of short-term, tailor-made public administration expertise to address specific requirements at short notice. TAIEX was set up in 1996 to assist candidate countries to integrate the EU acquis. Its mission was later broadened to the European Neighbourhood countries. Given its successful implementation in these countries in the past, TAIEX has now been extended to potentially all countries. http://ec.europa.eu/enlargement/tenders/taiex/index_en.htm This page will soon contain a link to a users' guide. It already contains a link to the online application form. http://ec.europa.eu/dgs/fpi/key-documents/2014-aap_en.htm Please scroll down and click on "annex B".
Free Trade Agreements (FTAs) of the EU with third countries FTAs concluded: Chile, South Korea, Mexico, South-Africa FTA in negotiations / to be ratified North America: USA, Canada Asia: ASEAN (Singapore, Malaysia, Vietnam, Thailand), Japan, India Latin America: Andean Community, Mercosur South Mediterranean and Middle East Countries: Morocco, Egypt, Israel, Jordan, Lebanon, Algeria, Palestine, Syria, Tunisia, Libya, Gulf Cooperation Council Eastern Neighbourhood: Ukraine, Georgia, Moldova (more details are available on the website of DG TRADE)