--- title: EIC Fund - Overview & Investment Strategy description: Innovation funding and grants for SMEs and small mid-caps during 2021-2027. EU funding, EIC Accelerator, EIC Fund, Venture Capital. image: https://www.winnovart.com/hubfs/EIC%20Fund%20-%20Updates%20%26%20Insights.png --- [Skip to content](https://www.winnovart.com/news/eic-fund-overview-and-investment-strategy#main-content) [![](https://www.winnovart.com/hs-fs/hubfs/logo-new1.jpeg?width=286&height=75&name=logo-new1.jpeg)](https://winnovart.com) - [News](https://winnovart.com/news/tag/news) - Client Service Show submenu for Client Service - [Service Options](https://www.winnovart.com) - About us Show submenu for About us - [Who we are](https://www.winnovart.com/about-us/our-thsesis) - [Our Thesis](https://www.winnovart.com/about-us/our-thsesis) - [Our Team](https://www.winnovart.com/about-us/team) - [Careers](https://www.winnovart.com/about-us/careers) - [Winnovart Ventures](https://www.winnovart.com/about-us/introducing-winnovart-ventures) - Funding Highlights Show submenu for Funding Highlights - [EIC Funding](https://www.winnovart.com/news/tag/eic-funding) - [EEA & Norway Grants](https://winnovart.com/news/tag/eeanorway-grants) - [UK Innovation Funding](https://winnovart.com/news/tag/uk-innovation-funding) - [US Innovation Grants](https://winnovart.com/news/tag/us-innovation-grants) - [Blended Finance](https://www.winnovart.com/news/tag/blended-finance) - [Winnovart Surveys](https://winnovart.com/news/tag/surveys) - [Winnovart Explore Newsletter](https://winnovart.com/news/tag/winnovart-explore) - [Contacts](https://www.winnovart.com/contact-us) - [News](https://winnovart.com/news/tag/news) - Client Service Show submenu for Client Service - [Service Options](https://www.winnovart.com) - About us Show submenu for About us - [Who we are](https://www.winnovart.com/about-us/our-thsesis) - [Our Thesis](https://www.winnovart.com/about-us/our-thsesis) - [Our Team](https://www.winnovart.com/about-us/team) - [Careers](https://www.winnovart.com/about-us/careers) - [Winnovart Ventures](https://www.winnovart.com/about-us/introducing-winnovart-ventures) - Funding Highlights Show submenu for Funding Highlights - [EIC Funding](https://www.winnovart.com/news/tag/eic-funding) - [EEA & Norway Grants](https://winnovart.com/news/tag/eeanorway-grants) - [UK Innovation Funding](https://winnovart.com/news/tag/uk-innovation-funding) - [US Innovation Grants](https://winnovart.com/news/tag/us-innovation-grants) - [Blended Finance](https://www.winnovart.com/news/tag/blended-finance) - [Winnovart Surveys](https://winnovart.com/news/tag/surveys) - [Winnovart Explore Newsletter](https://winnovart.com/news/tag/winnovart-explore) - [Contacts](https://www.winnovart.com/contact-us) # EIC Fund - Overview & Investment Strategy [Demmis Necula](https://www.winnovart.com/news/author/demmis-necula) April 05, 2023 The European Innovation Council (EIC) Fund is the investment vehicle of the EIC Accelerator programme - the EC's flagship innovation funding programme. With a budget of €3 billion from 2021-2027, the EIC Fund is positioned to be one of Europe's largest deep-tech venture capitalists (VCs) during this period. Through the structure of the fund, a minimum of €3 billion of private funds will be invested alongside the EIC Fund during this period. The EIC aspires to crowd in a further €30bn-€50bn as one of its six strategic goals. The **EIC Accelerator **supports individual Small and Medium Enterprises (SMEs), in particular Startups and spinout companies to develop and scaleup game-changing innovations. The EIC Accelerator provides substantial financial support with: - **Grant funding (non-dilutive)** of up to **€2.5 million** for innovation development costs, - **Investments** **(direct equity investments)** of up to **€15 million** managed by the **EIC Fund** for scale up and other relevant costs. The **EIC Fund provides the investment components** of the EIC blended finance awarded by the EC. ![](https://www.winnovart.com/hs-fs/hubfs/undefined-Sep-14-2022-11-54-29-09-AM.png?width=800&height=270&name=undefined-Sep-14-2022-11-54-29-09-AM.png) The **EIC Fund is a venture capital fund owned by the European Commission** established to make **direct equity investments** in companies with breakthrough technologies. The Fund usually targets minority ownership stakes (10 to 20%). Furthermore, it participates in direct equity investment ranging between **€0.5 million to €15 million** in innovative companies that pass the rigorous **EIC Accelerator** selection process. The Fund invests on a matching (1:1) basis alongside a syndicate of **lead investors** from the private market. More information on the EIC fund can be found on the [EIC's webpage](https://eic.ec.europa.eu/investment-opportunities_en).   The EIC has a budget of **€10 billion for the period 2021-2027**, and the EIC Accelerator is expected to receive the largest share of this budget. Furthermore, around **€3 billion** of the EIC's budget will go towards the EIC Fund, with an expected yearly allocation of approximately **€300 million**. ![EIC Fund - Budget Under Horizon Europe v2](https://www.winnovart.com/hs-fs/hubfs/EIC%20Fund%20-%20Budget%20Under%20Horizon%20Europe%20v2.png?width=800&height=450&name=EIC%20Fund%20-%20Budget%20Under%20Horizon%20Europe%20v2.png) Ultimately, the EIC Fund’s goal is to **enable innovative companies to scale up and commercialise their technologies by bridging the financing gap.** Since 2016, EU venture capital investment has severely lagged behind U.S. venture capital investment. [Research by the EIC](https://www.ncbj.gov.pl/sites/default/files/eic-fund.pdf) shows that U.S. venture capital investment has been 4-5 times higher than EU investment during the period 2016-2020. ![](https://www.winnovart.com/hs-fs/hubfs/undefined-Sep-14-2022-11-54-28-16-AM.png?width=800&height=481&name=undefined-Sep-14-2022-11-54-28-16-AM.png)Source: [Introduction to the EIC Fund, p.4](https://www.ncbj.gov.pl/sites/default/files/eic-fund.pdf). Conversion rate: 1 EUR:1.0007 USD, 14/09/2022.   The EIC plans to tackle the EU-North America funding disparity by crowding between €30bn-€50bn in impact investments. Each € of EIC financial support has [triggered follow-on investments of €2.4](https://eic.ec.europa.eu/system/files/2021-03/ec_rtd_eic-vision-roadmap-impact.pdf) thus far. One of the EIC's short-term goals includes multiplying the value of taxpayers' money by 3-5x via co-investments and follow-on investments. Plenty of evidence supports the "crowd-in" principle - the idea that government-sponsored VCs stimulate private investment rather than replace it. [Click here](https://www.winnovart.com/government-impact-vc-literature-review) for more information on this topic.  The EIC Fund's investment strategy:  - Early-stage equity investments (seed, start-up, scale-up). - Possible follow-on investment. - EU-wide investments across all types of technologies and verticals. - Long time horizon (7-15 years). - Minority ownership stakes between 10-20%. Read more: [https://landing.winnovart.com/eic-fund-overview](https://landing.winnovart.com/eic-fund-overview)  For ongoing updates about the EIC Fund you can subscribe to our regular updates, [please get in touch with us](https://share.hsforms.com/1dbemDutMS7itxkKQ3pzEkw2cxgb), or follow us on [Facebook](https://www.facebook.com/winnovart/), [LinkedIn](https://www.linkedin.com/company/winnovart), [Twitter](https://twitter.com/winnovart).    Categories: [2020](https://www.winnovart.com/category/2020/), [EEA&Norway grants](https://www.winnovart.com/category/eeanorway-grants/), [HomePage](https://www.winnovart.com/category/homepage/), [News](https://www.winnovart.com/category/news/), [Winnovart Explainer](https://www.winnovart.com/category/winnovart-explainer/) | Tags: [blue growth croatia](https://www.winnovart.com/tag/blue-growth-croatia/), [business development and innovation croatia](https://www.winnovart.com/tag/business-development-and-innovation-croatia/), [business innovation projects croaitia](https://www.winnovart.com/tag/business-innovation-projects-croaitia/), [eeano croatia](https://www.winnovart.com/tag/eeano-croatia/), [funding for Croatian companies](https://www.winnovart.com/tag/funding-for-croatian-companies/), [green industry innovation croatia](https://www.winnovart.com/tag/green-industry-innovation-croatia/), [innovation croatia](https://www.winnovart.com/tag/innovation-croatia/), [innovation norway croatia](https://www.winnovart.com/tag/innovation-norway-croatia/), [winnovart explainer croatia](https://www.winnovart.com/tag/winnovart-explainer-croatia/) | [Permalink](https://www.winnovart.com/winnovart-explainer-eea-norway-grants-for-business-innovation-projects-in-croatia/) [News](https://www.winnovart.com/news/tag/news), [HomePage](https://www.winnovart.com/news/tag/homepage), [2023](https://www.winnovart.com/news/tag/2023), [Blended Finance](https://www.winnovart.com/news/tag/blended-finance), [EIC Funding](https://www.winnovart.com/news/tag/eic-funding) ![](https://www.winnovart.com/hubfs/EIC%20Fund%20-%20Updates%20%26%20Insights.png) [![Facebook](https://www.winnovart.com/hubfs/social-media-icons/facebook-icon.png)](https://www.facebook.com/winnovart/) [![Twitter](https://www.winnovart.com/hubfs/social-media-icons/twitter-icon.png)](https://twitter.com/winnovart) [![LinkedIn](https://www.winnovart.com/hubfs/social-media-icons/linkedin-icon.png)](https://www.linkedin.com/company/winnovart) [Winnovart Surveys](https://www.winnovart.com/news/tag/surveys) [Subscribe to Winnovart's Newsletter](https://share.hsforms.com/16rADODCGRgKIED9KhD-HBA2cxgb) Check your funding readiness [Service options – Winnovart](https://www.winnovart.com/funding-highlights/eeanorway-grants/eeanorway-grants-news/eeanorway-bilateral-dimension/) [Contact us! \>\>](https://www.winnovart.com/contacts/) ### ARCHIVE [News & Updates 2021](https://www.winnovart.com/news/archive/2021) [News & Updates 2020](https://www.winnovart.com/news/archive/2020) [News & Updates 2019](https://www.winnovart.com/news/archive/2019) [News & Updates 2018](https://www.winnovart.com/news/archive/2018) [News & Updates 2017](https://www.winnovart.com/news/archive/2017) [News & Updates 2016](https://www.winnovart.com/news/archive/2016) [Go to Winnovart Surveys for fundraising intelligence](https://www.winnovart.com/news/tag/surveys) Copyright © 2010 - 2026 Winnovart [Disclaimer](https://www.winnovart.com/about-us/disclaimer)  |  [Privacy Policy](https://www.winnovart.com/privacy-policy2018/) [Follow us on Facebook](https://www.facebook.com/winnovart/) [Follow us on Twitter](https://twitter.com/winnovart) [Follow us on LinkedIn](https://www.linkedin.com/company/winnovart/)