BEAM - Business with Impact Innovation Funding programme for Emerging Markets

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1 BEAM - Business with Impact Innovation Funding programme for Emerging Markets Emerging Mexican Circular Economy Market - Possibilities for Finnish Companies 07 March 2017

2 BEAM program in a nutshell BEAM is your partner in sharing risks when heading to emerging markets; risk-sharing via co-funding and by offering information, contacts and partnerships in your target markets A joint innovation funding program of Tekes and the Ministry of Foreign Affairs (MFA) The program creates new business activities for Finnish companies in the emerging markets and add well-being in target countries (Africa, Asia, and LAC) Project volumes can range from tens of thousands to hundreds of thousands euros Budjet: 50 M euros (Tekes 25%, MFA 25%, applicants 50%) Duration: Now around 60 projects on-going with a volume of EUR 18 M 2

3 BEAM Target groups The primary target groups of the BEAM program are SMEs and growth-oriented companies Consortia of companies research institutes, universities and applied universities Large companies as mediators and catalysts in multiparty ecosystem projects and access points to emerging markets NGO s / non-profits and associations Financially solid companies with revenue / own resources BEAM funds 50% of the project costs (i.a. salaries, travelling, purchased services/subcontracting, material/equipment and overheads) 3

4 BEAM offering Funding (as a loan or grant): Business development market analyses, market entries (Kiito and Tempo) up to s / grant (de-minimis) Product development and innovation Pilot and demostration projects Research and capacity-building Services: Market information and new business opportunities Networks and contacts in emerging markets 4

5 Main themes of BEAM Education Rise of educational level in developing countries relies on new innovations and investments. Finland can offer solutions like moveable container schools, e- learning and mobile services for education improvements. Environment Environmental challenges have become worse in the developing countries during the recent years. This creates a need for solutions which combine environmentally friendly innovations and economic growth. Healthcare Concepts like new transformable hospital, mobile health services, self-care solutions and diagnostics play an important role for the development of welfare in the third-world countries. Energy Sufficient and sustainable energy supply requires new innovations like decentralized renewable energy solutions, electrification, minigrids, energy efficiency and large scale renewable energy production. ICT / Mobile The economic growth in developing countries is rapid with ICT and new business models as enablers; Finnish companies can offer their know-how on solutions like mobile payment systems and digitalization.

6 6 Project and funding schemes Company specific Research Joint international calls Ecosystem preparation projects

7 TEKES RESEARCH AND DEVELOPMENT FUNDING FOR COMPANIES Project types and funding levels for companies Tekes funds companies projects that seek to increase their competitive advantage internationally COMPANIES RESEARCH PROJECTS Create new knowledge and competence DEVELOPMENT AND PILOTING Develop or renew products, services and business model. Demonstrate the functionality of your solution SME s Targeted competitive advantage at a selected international level MIDCAP COMPANIES turnover max. 300 M Targeted competitive advantage at a selected international level LARGE CORPORATIONS Targeted competitive advantage at a global level. Grant max. 50 % Loan 50 % / 70 % Grant max. 40 % Loan 50 % Grant max. 40 % Tekes requires that large companies buy services from SME s and / or research organisations or implement the project as a joint project with them. Loan 50 % Tekes requires that large companies buy services from SME s and / or research organisations or implement the project as a joint project with them. The share of the bought services has to be 40 % of the project's overall costs. The share of the bought services has to be 15 % of the project's overall costs.

8 8 Funding criteria Promotion of social development and creation of sustainable business through cooperation Impacts in Finland: growth potential for the company Novelty and RDI content Impacts with shorter and longer duration Economic and environmental or societal impacts in partner country Viable roadmap for extending collaboration and scalability in partner country BEAM Business with impact

9 Sibesonke Food Security and Poverty Alleviation Idea: 500M smallholder farmers globally feed 2B people despite low productivity and profitability of their farms. With critical and trusted information at their finger tips they could double both. Impact: BEAM helped securing significant co-financing that allowed mfarming to exceed 1M unique users and the company s revenues to triple. mfaming is a mobile service for small-holder farmers that helps them increase farm productivity and profitability. Uwe Schwarz CEO Sibesonke Ltd Farmers testing and discussing the crop selling on mfarming

10 Consortium: Honkajoki Oy, Doranova Oy, Fenno Water Oy and Lappeenranta University of Technology (LUT) Sustainable Agro ecological Approach for Animal Waste Rendering Plant Idea : Consortium will develop a sustainable business model and combine technologies in animal waste rendering, management and processing, bioenergy production for it and waste water treatment to achieve energy efficient and environmentally friendly way to treat hazardous and polluting waste. Impact: Project will improve health and welfare of a large population segment and reduce poverty by offering job opportunities to underprivileged citizens. Further, technological solutions developed during the project will counteract climate change. The project increases sustainable development by organic and green byproducts which will have environmental and economical effect. Together with LUT the consortium will develop a scalable concept (or business models) to meet the needs of emerging markets. According to our agro ecological operating model, we return recycled nutrients to the food chain in the form of animal feed, rendered fat, organic fertilisers, electricity and heat. Concept will utilize waste to its full potential. We create growth through recycling. Reetta Nevala Project Director, Honkajoki Oy

11 Solar Water Solutions: Clean drinking water from sea water using solar energy DM Funding from Tekes to a Pilot Installation and Related Research

12 Finnish Water Forum and Vesiotec Oy: Implementing the Finnish solution for water safety in water utilities of Vietnam DM Tekes BEAM funding was the needed resource to compile relevant stakeholders

13 Kajaani UAS: WaterCare Solving water problems in developing countries Create preconditions for Finnish cleantech companies piloting projects in developing countries Tekes enabled market research in Latin America and Palestine and planning company lead pilots

14 Malaria Dengue Zika Yellow fever Chikungunya University of Helsinki Tampere Technical University Ansa-project for prevention of mosquito-transmitted diseases New types of traps that allow mosquitoes to fly in but not out No need for insecticides, separate energy sources or artifical baits

15 NAMHUB: Green, safe and smart transport and logistics hub to Namibia Idea : Fast expansion of mega hub (transport and logistics activities in ports, roads, railway) in Namibia as a part of Southern Africa has huge demand for green products and services. Impact: Finnish-Namibian companies and research instances form an ecosystem for providing products, services, and capacity building to Southern African markets with 300 million costumers. Tekes BEAM ecosystem project made possible the new partnership: SAMK, University of Oulu, SYKE, VTT and Finnish companies. The partnership will lead several company led projects and business in Namibia. Minna Keinänen-Toivola Project manager, Ph.D. Satakunta University of Applied Sciences

16 16 Contacts Program Manager, Minh Lam Coordinator, Juha Miettinen BEAM Building Effective and Accessible Markets