The Defence and Security Accelerator (DASA) has launched a new competition - the Defence Innovation Loan, which has £10 million to lend for innovative defence solutions - calling all defence SMEs to apply for loans of up to £1.6 million to help convert their mature defence innovation into a strong business proposition for defence procurement.
Image courtesy DASA
Accessible to SMEs and with a below market interest rate of 7.4% per annum, the Defence Innovation Loan provides an excellent opportunity to apply for affordable funds to help you bring your solutions into the hands of defence frontline services.
This new opportunity is delivered by a unique partnership between DASA and Innovate UK. It builds upon our goal of helping to convert your mature defence innovation into a viable business proposition that can compete for Defence procurement.
How much is available for a Defence Innovation Loan?
The total of £10 million is available for the Defence Innovation Loan competition this year.
You can apply for a loan between £250,000 and £1.6 million with a below market interest rate of 7.4% per annum. This loan can cover up to 100% of eligible project costs to aid the commercialisation of the solution and overall term of the loan must not exceed 7 years.
Please note, Innovate UK
will be carrying out the Defence Innovation Loan credit evaluation of this competition and you will enter into a loan agreement and security agreement with Innovate UK Loans Ltd.
Who can apply for a Defence Innovation Loan?
To apply for a Defence Innovation Loan you must:
be a UK registered SME
intend to exploit the results in the UK or overseas to make a significant and positive impact on the UK economy and/or productivity
give evidence that your business is suitable to take on a loan
Please note, individuals, academic institutions, research organisations and large companies are not eligible for innovation loans.
What kind of innovation will be considered for a loan?
The Defence Innovation Loan is open to innovative ideas to improve the defence of the UK. Your innovation must be mature at TRL 6 or above, to ensure the solution can be commercialised within the time scale of the Innovation Loan. There also must clearly be evidence of a defence need for the innovative solution.
How do I apply for a Defence Innovation Loan?
for the full DASA Competition document and submit your idea.