How will grant funding benefit my business? The stats.
The majority of the businesses we work with at Granted are start-ups and SMEs. So apart from the obvious financial incentive that grant funding offers, why are they working with us? Recent research has shown that UK R&D grants boost turnover and employment, especially for innovation-led small businesses. Here are the stats for you.
Independent research published last week found that funding from bodies like Innovate UK significantly boost jobs, turnover and productivity. The national study led by Prof Stephen Roper, director of the Enterprise Research Centre, carried out detailed analysis tracking 15,000 hi-tech firms which received government R&D grants.
The analysis found that R&D grants promoted growth of £43bn between 2004 and 2016 (more than five times the £8bn invested) and created around 150,000 jobs.
Finding also showed that on average these firms employed 23% more people after six years compared with firms that did not receive grants. Turnover grew by 28% and productivity by 6% over the same period.
However, the growth was significantly higher among micro and small businesses of less than 50 employees, suggesting that the government's policy of subsidising promising industrial research - "picking winners" - should not just concentrate on backing well-established national firms but rather seek to fund smaller, innovative businesses.
According to Prof Roper “ This is the largest and most detailed study yet of the impact public funding for science and innovation has on growth at the firm level.
It shows very clearly that grants to support R&D have a positive impact, creating jobs and fuelling growth in the high-tech, high value-added sectors that the UK must encourage to remain competitive on the world stage.
It’s well established that innovation grants can help with commercialising new technology by providing firms with additional financial slack to undertake riskier research activity.
We should be looking to the next generation…- small, promising, up-and-coming businesses that have the potential to scale up.”
Granted Consultancy is a leading provider of funding services to ambitious businesses in the UK and EU with specific expertise in identifying and securing grant funding. Our experienced team works across tech, digital, advanced engineering & manufacturing, public and third sectors to help develop and fund ambitious projects. We continue to work with clients on Grant, Angel, VC, Crowd and Accelerator Funding options to unlock exciting and disruptive projects in the UK, EU and worldwide. To find out more, contact us on 0203 507 1903 (London) or 01392 427860 (Exeter) or contact us online.