EIC STEP Scale Up

The EIC STEP Scale Up call, part of the Horizon Europe program, provides equity-only investments aimed at ambitious scale-up companies including startups, SMEs, and small mid-caps in critical technology sectors. This initiative targets innovative companies that are unable to fully finance their scaling efforts through other investors. The total indicative budget for 2025 is €300 million, with expectations to increase it to €900 million from 2025 to 2027.

Eligible applicants include single companies classified as SMEs or small mid-caps with up to 499 employees, established in EU Member States or Horizon Europe Associated Countries. An investor can propose on behalf of an eligible company if a prior agreement exists. The funding type consists solely of equity investments through the EIC Fund, with amounts ranging from €10 million to €30 million intended to co-invest in funding rounds that require at least three to five times the requested amount.

The program focuses on three strategic sectors: digital technologies and deep tech innovations, clean and resource-efficient technologies including net-zero solutions, and biotechnologies involving critical medicines. Ensuring that supported companies retain most of their value and intellectual property in the EU is prioritized.

The application process is a single-stage open call, with quarterly evaluations. Companies will benefit not only from monetary support but also from Business Acceleration Services, enhancing their access to additional funding and investor networks. Successful applicants may receive a Sovereignty (STEP) Seal, which provides privileged access to further support from other EU programs and investors.

Applicants are required to demonstrate initial market interest and obtain pre-commitment of at least 20% from private investors for their total target funding round. The total indicative budget for 2025 is expected to largely focus on startups in semiconductor and quantum technologies, in alignment with the EU Chips Act. The call aims to support projects ready for commercialization or scaling, enhancing Europe's competitiveness and reducing strategic dependencies in essential technology sectors.

The call is relevant for companies that contribute to strengthening technological sovereignty within the European Union while promoting economic growth and job creation. Aiming to award around 15 grants, this financing opportunity underscores the EU's commitment to fostering innovation in critical technological areas through substantial equity investments.

The EIC STEP Scale Up call, under the Horizon Europe program, offers equity-only investments to ambitious scale-up companies (SMEs and small mid-caps) with game-changing innovations in Europe's critical technology areas. The call aims to fill the funding gap for companies scaling up high-risk innovations that cannot be fully financed by other investors. The total indicative budget is EUR 300 million for 2025, expected to rise to EUR 900 million for 2025-2027. Any unused amount will be allocated with priority to the EIC Accelerator Open call.

The EIC Fund manages the equity-only investments, with no grant component. Applicants should apply for a minimum of EUR 10 million and a maximum of EUR 30 million, to co-invest in a funding round aiming for at least three to five times the requested EIC contribution. The specific terms of each investment are negotiated on a case-by-case basis, aligning with the EIC Fund Investment Guidelines and the company's needs.

The EIC Fund ensures that supported companies keep most of their value, including their IP, in the EU or Associated Countries to contribute to economic growth and job creation. Safeguard measures may be implemented on a case-by-case basis to protect European interests.

Beyond funding, companies benefit from Business Acceleration Services. Applicants meeting evaluation thresholds receive a Sovereignty (STEP) Seal, facilitating access to funding and support from other EU programs and investors. The investment aims to catalyse major funding rounds, potentially in the range of EUR 50 to 150 million.

This call implements the Strategic Technologies for Europe Platform (STEP), supporting the development or manufacturing of critical technologies and their value chains within the Union. Projects may also be eligible for support under other EU programs included in STEP. In 2025, support will focus on start-ups in semiconductor and quantum technologies, aligning with the Chips Act. The EIC Accelerator Open call remains available for startups and SMEs, including those in quantum and semiconductor technologies.

To be eligible, innovations must fall within the priority areas defined in the STEP regulation:

a. Digital technologies and deep tech innovations: This includes advanced semiconductor technologies, artificial intelligence technologies, quantum technologies, advanced connectivity, navigation and digital technologies, advanced sensing technologies, robotics and autonomous systems, and Deep tech innovations.

b. Clean and resource-efficient technologies, including net-zero technologies: This includes solar technologies, onshore and offshore renewable technologies, battery and energy storage technologies, heat pumps and geothermal technologies, hydrogen technologies, sustainable biogas and biomethane technologies, carbon capture and storage technologies, electricity grid technologies, nuclear fission technologies, sustainable alternative fuel technologies, hydropower technologies, other renewable technologies, energy system-related energy efficiency technologies, renewable fuels of nonbiological origin technologies, biotech climate and energy solutions, transformative industrial technologies for decarbonisation, CO2 transport and utilisation technologies, wind and electric propulsion technologies, other nuclear technologies, advanced materials, manufacturing and recycling technologies, technologies vital to sustainability such as water purification and desalination, and circular economy technologies.

c. Biotechnologies, including medicinal products on the Union list of critical medicines and their components: This includes DNA/RNA, proteins and other molecules, cell and tissue culture and engineering, process biotechnology techniques, Gene and RNA vectors, bioinformatics, and nanobiotechnology.

These technologies are deemed critical if they bring an innovative, emerging, and cutting-edge element with significant economic potential to the internal market or contribute to reducing or preventing strategic dependencies of the Union.

Applicants must demonstrate initial market interest and a pre-commitment for equity investment from a qualified investor, representing at least 20% of the total target funding round.

Eligible applicants are single companies classified as SMEs or small mid-caps (up to 499 employees) established within a Member State or an Associated Country. A holding entity is permitted if also established in a Member State or Associated Country. An investor may submit a proposal on behalf of an eligible SME or small mid-cap, provided a prior agreement exists, with the investment agreement signed with the selected SME or small mid-cap.

Proposal page limits and layout are described in Part B of the Application Form, available in the Submission System.

Recipients of Accelerator funding must not be directly or indirectly controlled by a non-associated third country or a legal entity established in a non-associated third country, to safeguard the Union's strategic assets and security. Specific safeguards may be introduced in the investment agreement.

The call provides access to the Electronic Submission Service via the Funding & Tenders Portal. Applicants should carefully read all provisions before preparing their application, utilizing the Online Manual, Horizon Europe Programme Guide, and Funding & Tenders Portal FAQ for guidance. National Contact Points (NCPs) and the Enterprise Europe Network (EEN) offer support and practical information.

The EIC STEP Scale Up call is a funding opportunity for European SMEs and small mid-caps with groundbreaking innovations in strategic technology areas. It offers equity investments ranging from EUR 10 to 30 million, aiming to catalyse larger funding rounds and accelerate the development and market launch of critical technologies. The call is part of the EU's strategy to strengthen its technological sovereignty and competitiveness, supporting companies that contribute to reducing strategic dependencies and fostering economic growth within the Union. The call focuses on digital, clean, and biotechnologies, requiring applicants to demonstrate market interest and secure pre-commitments from qualified investors. Successful applicants also gain access to business acceleration services and the STEP Seal, enhancing their visibility and access to further funding opportunities.

Eligible Applicant Types: The eligible applicants are single companies classified as SMEs or small mid-caps (up to 499 employees) established within a Member State or an Associated Country. An investor may submit a proposal on behalf of an eligible SME or small mid-cap, provided that a prior agreement exists with the company. The company may have a holding entity for the purposes of the investment, and this holding company must also be established in a Member State or an Associated Country.

Funding Type: The funding type is equity-only investments managed by the EIC Fund.

Consortium Requirement: The opportunity is for a single applicant.

Beneficiary Scope (Geographic Eligibility): The geographic eligibility includes EU Member States and Associated Countries (see Annex 2 of the EIC Work Programme 2025).

Target Sector: The program targets companies with innovations in the following areas: Digital technologies and deep tech innovations, including advanced semiconductor technologies, artificial intelligence technologies, quantum technologies, advanced connectivity, navigation and digital technologies, advanced sensing technologies, robotics and autonomous systems, and Deep tech innovations. Clean and resource-efficient technologies, including net-zero technologies, such as solar technologies, onshore wind and offshore renewable technologies, battery and energy storage technologies, heat pumps and geothermal technologies, hydrogen technologies, sustainable biogas and biomethane technologies, carbon capture and storage technologies, electricity grid technologies, nuclear fission technologies, sustainable alternative fuel technologies, hydropower technologies, other renewable technologies, energy system-related energy efficiency technologies, renewable fuels of nonbiological origin technologies, biotech climate and energy solutions, transformative industrial technologies for decarbonisation, CO2 transport and utilisation technologies, wind and electric propulsion technologies, other nuclear technologies, advanced materials, manufacturing and recycling technologies, technologies vital to sustainability such as water purification and desalination, and circular economy technologies. Biotechnologies, including medicinal products on the Union list of critical medicines and their components, including DNA/RNA, proteins and other molecules, cell and tissue culture and engineering, process biotechnology techniques, Gene and RNA vectors, bioinformatics, and nanobiotechnology.

Mentioned Countries: The opportunity is for EU Member States and Associated Countries.

Project Stage: The opportunity targets scale-up companies, implying projects at the commercialization or scale-up stage.

Funding Amount: The investment amounts range from EUR 10 million to EUR 30 million.

Application Type: The application type is an open call.

Nature of Support: The beneficiaries will receive equity investments. They will also benefit from Business Acceleration Services and may be awarded a Sovereignty (STEP) Seal.

Application Stages: The application process is single-stage.

Success Rates: The indicative number of grants is 15, but the success rate is not explicitly mentioned.

Co-funding Requirement: The EIC investment is designed to co-invest in a funding round aiming at least three to five times the amount of the requested EIC contribution, implying a co-funding requirement. Applicants must demonstrate a pre-commitment for an equity investment representing at least 20% of the total target funding round.

Summary: The EIC STEP Scale Up call is a Horizon Europe initiative designed to provide equity investments to ambitious SMEs and small mid-caps in EU Member States and Associated Countries. The call aims to support the scale-up of high-risk, game-changing innovations in strategic technology areas, including digital, clean, and biotechnologies. The EIC Fund manages the equity-only investments, ranging from EUR 10 million to EUR 30 million, to catalyze larger funding rounds. Applicants must demonstrate initial market interest and secure pre-commitment from qualified investors. Beyond financial support, selected companies benefit from Business Acceleration Services and may receive a Sovereignty (STEP) Seal, granting privileged access to other EU funding and investors. The call is part of the Strategic Technologies for Europe Platform (STEP) implementation, focusing on reducing strategic dependencies and strengthening value chains in critical technologies within the Union. The total indicative budget for 2025 is EUR 300 million, expected to rise to EUR 900 million for 2025-2027. The call is a single-stage application process with a deadline of December 16, 2025, and aims to award approximately 15 grants.