With the Young Innovative Company funding Business Finland intends to accelerate the global growth of the most ambitious, rapidly growing startups in Finland. The funding can be used for the comprehensive development of business activities. For example, it can be used to strengthen a team, to develop a business model and growth strategy, and to open up new markets.
The funding is intended for a startup company that has been in operation for less than five years, and has proven its business concept, so that it already has paying customers. Business Finland funding can be applied for by companies registered in Finland.
Business Finland selects the most promising, rapidly growing startup companies for its Young Innovation Company funding programme. The companies have typically been in operation for at least three years, and have already used Business Finland funding services.
Business Finland can grant Young Innovative Company funding only if the company meets the following preconditions:
Age and size
Ownership and background
Strong efforts in innovation activities
The maximum amount of Business Finland funding amounts to €1.25 million, of which a maximum of €500,000 may be funded as a grant, and €750,000 as a loan. Business Finland funds 75% of the eligible project costs.
The funding is granted in at least three phases. The funding for the first phase is a €250,000 grant; typically for the period of 6-12 months. Business Finland sets goals for the company in its funding decision, which, if realised, enable the company to move on to the next phase of funding.
Goals are typically related to:
Business Finland evaluates the progress of a Young Innovative Company project after each funding phase. During the end of the first funding phase companies are asked to present their ideas to an evaluation panel made up of investors and experts.
The panel evaluates the company's business potential, its growth potential and development needs and its suitability as an investment target and provides Business Finland with a statement regarding the company's suitability as an investment target. The panel has an advisory role in relation to Business Finland's funding decision.
The evaluation is performed on the basis of the material provided by the company, and on the basis of a corporate presentation.
Before submitting an application for funding, please contact your Business Finland account responsible in order to identify if the Young Innovative Company funding service is the best match for your goals.
Company has to be less than five years old when the funding decision for the first phase is made. Please, submit funding application well in advance, no later than two months before company turns five years (calculated from registration date).
Funding applications are submitted through the Business Finland online service. In the application you are asked to describe the current status of your company's business, staff and resources, the vision for growth, project objectives, project plan and cost estimate.
Please include a project plan and a business plan in the application. The plans are free-form.
At the application phase, the company must provide a confirmation from an auditor that it meets the preconditions for the Young Innovative Company funding.
Please attach the following financial information to the application:
You can use your own templates or Business Finland's templates to submit the financial information to Business Finland. Please note that the templates are not mandatory and the information can be submitted to Business Finland, for example, as part of your business plan.
Business Finland pays out project funding on the basis of reports and cost statements. Progress with the project must be reported to Business Finland in accordance with the schedule announced in the funding decision. Submit the report and cost statement through Business Finland's online services.
The following costs are not eligible: