Do I need SME partners in my project?

It depends of several factors.

Yes if:

  • SMEs are wanted/required/expected in the call text
  • They have a clear role in the project
  • They can make a contribution to innovation, new products, marked access etc.
  • The results for the SMEs will be fairly close to market

No if:

  • Their role in unclear and you just take them in as “added value”
  • There are no or minor business opportunities in the project life time or the first years after the project is finished

The EC wants SMEs in H2020 because:

  • SMEs - driving force of economic growth and job creation in Europe:
    • 20.7 Million SMEs in the non-financial business economy (~99% EU enterprises)
    • 85 % of new jobs in the private sector created by SMEs that provide more than two thirds of jobs (more than 87M)
    • SMEs account for more than 58% of the total gross-value added

SMEs are important for new jobs and innovation in Europe. And you may get credit by taking SMEs into your project.

Remember:

  • SMEs are business oriented and they need commercial results to survive
  • SMEs seldom can afford to participate in projects where they will have minor business opportunities
  • SMEs need results that are close to market

If you consider to take in an SME be sure that the company really is and SME:

  • < 250 employees
  • ≤ € 50 Million Annual Turnover
  • ≤ €43 Million Annual Balance Sheet
  • The above applies to the total of connected companies if:
    • The SME is controlled by a mother company by more than 25%
    • The SME controls child companies with more than 25%

(Commission Recommendation 2003/361/EC)

In particular, be aware of how spin-of companies may be controlled (owned) by their mother institution.

 

If in doubt seek advice at OUS Research Support.

SMEs must do a self-assessment to be registered by the EC as partner. Ask for help if the SME has a complicated corporate structure.

Beneficiary Register: SME Self-Assessment Guidance

 

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