Giving Europe an innovation boost
Since its launch in 2007, the Entrepreneurship and Innovation Programme (EIP) has promoted several initiatives and produced important results: over 50 000 SMEs have already benefited from its guarantee scheme under the financial instruments and more than 11 000 SME co-operation agreements have been put forward. In 2010, the EIP will continue to support the Union's entrepreneurial and innovative capacity, including advising SMEs on intellectual property rights.
The EIP is one of the specific programmes of the overarching €3.6-billion Competitiveness and Innovation Framework Programme (CIP). In particular, the EIP seeks to improve SME access to finance; to create an environment conducive to SME co-operation; to support all forms of innovation, particularly eco-innovation, by enterprises; to promote a culture of innovation in European businesses; and to encourage administrative reform that unlocks the entrepreneurial and innovative potential of European firms. In 2010, the EIP, guided by its work programme 
[359 KB] , will continue to fund initiatives in these areas, with the underlying aim of boosting Europe's capacity to create more sustainable growth and jobs. This is particularly important in light of the rising levels of unemployment caused by the recent global economic and financial crisis.
One of the EIP's major initiatives is the Enterprise Europe Network. The network, which is made up of about 600 partner organisations in 45 countries, offers support and advice to businesses across Europe and has already put forward more than 11 000 SME co-operation agreements. From the beginning of 2008 until June 2009, over 9 000 local events had been organised with the participation of around 360 000 SMEs and the involvement of 3 000 staff members. The network's partners are a 'one-stop shop' for entrepreneurs seeking to expand their markets, looking to transfer technology or wishing to access European funding opportunities. The second annual conference was organised in Stockholm where about 800 network experts took stock of 2009's activities and looked ahead to the main directions for 2010. Here you can read some of the network's success stories.
The importance of finance
In survey after survey, one of the main challenges cited by SMEs is the difficulty in raising the necessary funds, especially when it comes to financing growth and innovation. This problem became even more acute with the financial crisis, although with growing liquidity in the system, things are moving back to 'business as usual', according to Eurobarometer [38 KB] , the EU's public opinion monitoring service.
The CIP financial instruments aim to increase the investment volumes of venture capital and similar funds, providing leverage to SME debt-financing instruments and improving the financial environment. Interventions are directed at areas where a market gap has been identified. More than 50 000 SMEs have already benefited from its guarantee scheme.
Moreover, the EIP finances actions which foster sector-specific innovation, clusters, networks, public-private partnerships, as well as the use of innovation management. Initiatives funded in this area include supporting the Europe INNOVA network and benchmarking exercises, such as the Innobarometer and the European Innovation Scoreboard.
Protecting intellectual property rights
In addition, the EIP aims to raise awareness and provide support on intellectual property rights (IPR) issues via the European Helpdesk on IPR and the China IPR SME Helpdesk. The European Helpdesk on IPR supports the beneficiaries of EU-funded programmes and other EU SMEs with a view to maximising the return of research and innovation efforts. For its part, the China IPR SME Helpdesk offers first-line advice and support to European SMEs with regard to the protection and enforcement of their IPR in China.
Innovative approaches to business
Supporting all kinds of innovation and creating an environment conducive to it are cornerstones of the EIP, which is reflected in the 2010 work programme as well. In addition to general innovation, the EIP provides specific backing for eco-innovation activities - such as supporting the take-up of environmental technologies and co-investment in eco-related risk capital funds (see box) - that develop innovative solutions to the most pressing environmental concerns facing Europe and help place the EU at the forefront of the emerging 'green' sector.
As part of the EIP's continued efforts to support activities promoting entrepreneurship, the 2010 work programme will provide backing for the second edition of the successful European SME Week where over 1 200 events were organised in 35 participating countries last year (read about the 2009 event). The EIP will also continue its efforts to promote female entrepreneurship in order to get more women into business.
A clean start
Eco-innovation focuses on developing technologies that are not only green but also clean. European start-ups in this area can find it challenging securing the kind of venture capital they need to get their projects off the ground.
The Capricorn Cleantech Fund - worth an estimated €112 million, of which €15.2 million have been provided by the EIP - invests in start-ups focusing on such clean technologies as energy efficiency, 'zero-harm' sewage, greenhouse gas emissions reductions, and biofuels. Some of the enterprises it has funded have become so successful that they are now listed on NASDAQ or have been bought up by major technology multinationals.
Contact
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General Coordination Unit,
Directorate-General for Enterprise and Industry
The text only of the articles can be republished as long as the source of the article is quoted: Enterprise & Industry magazine (http://ec.europa.eu/enterprise/magazine/index_en.htm), © European Union, 2008 - 2012
