Danish cascade funding can take your innovation a step forward

For companies, cascade funding can be an attractive source of funding for innovation collaborations. Over the past few years, Danish Life Science Cluster has managed seven national cascading financing projects, which have resulted in the funding of a total of 144 projects. A new generation of national cascade funding projects are on their way, so keep an eye out!

12. February 2024 | Karen Lindegaard, karli@danishlifesciencecluster.dk

For some companies, cascade funding can be an attractive source of funding for innovation collaborations. Cascading funding is a type of funding where a larger project, through open calls, distributes funding for several smaller projects that meet the requirements of the specific call.

Some of the characteristics of cascade financing are:

  • There are specific requirements and definitions as to who can apply for funding – you must match the requirements.
  • It is smaller amounts that are being allocated for the projects.
  • Applications for cascading funding are less complicated than applications for larger EU programs and are relatively easy to write.
  • It is often possible to get sparring before writing the application, and thereby you also get clarification on whether your project idea and partner group are matching the specific requirements for the given call.
  • There are usually lower requirements for co-financing than for larger applications, and often the co-financing can be in-kind in terms of hours put into the project.
  • A decision on a cascade fund application usually comes within 2-4 months.
  • The success rate of cascading fund applications is often high – between 70-100%.
  • The administrative and documentation burden is often lower than for large applications.
  • Reimbursement of expenses for the cascade-funded projects, takes place after finalising the project, and often many months after!
  • Funds distributed through cascading financing are usually subject to de minimis.

Read more: From research to commercialization: How to avoid the ‘valley of death’ with easy EU funding

Funds for 144 projects

The purpose of cascade funding is to redistribute funds to the target audience. This funding model is used both in the EU and in Denmark.

In Denmark, the Danish Life Science Cluster has managed seven projects of this type over the past few years and has disbursed funds to 144 projects.

  • The Health Technology Service Program (SSP) has funded 30 projects.
    SSP, which has now been completed, supported projects that developed new innovative, commercial concepts in the form of health technology services or products that were born of specific needs and knowledge of the market and customers. See all projects here. See all projects here.
  • The Public-Private-Innovation Pool of Southern Denmark (OPI-Puljen) has allocated funds to 14 projects.
    The Public-Private-Innovation Pool of Southern Denmark (OPI-Puljen) has allocated funds to 14 projects.
    The OPI Pool, which has now been completed, gave companies a unique opportunity to test and adapt products/services aimed at the healthcare system or get documentation of the product’s effect, as a final step towards the market. In previous phases (before 2019), the pool has supported 25 projects. See all projects here.
  • Circular Co-Creation (CCC) has funded 18 projects.
    CCC, which has now been completed, established and financed innovation collaborations between companies (supplying the health and welfare sector), research and educational institutions (AU and VIA) as well as the hospitals and municipalities in the Central Denmark Region. See all projects here.
  • Welfare Innovation with Useful Data (VIND) has resulted in funding for 3 projects.
    VIND, which has now been completed, strengthened Danish companies with data-driven business development within health and welfare, through three innovation partnerships that focused on different data sets and different user needs. See all projects here.
  • Welfare Innovation for Healthy Business Promotion (VISE) has funded 5 projects.
    VISE, which has now been completed, strengthened Danish companies’ competitiveness within health and welfare through five innovation partnerships based on three thematic tracks: New service models for welfare technology, digital ecosystems, and competitive advantages through data analysis. See all projects here.
  • Innovation Power (UFS) has mobilized funds for 25 projects.
    UFS, which is ongoing, supports projects that strengthen innovation and growth potential through collaboration between knowledge institutions and companies. Here, companies, GTSs, university colleges, and other knowledge institutions can apply for funding that helps translate specialized knowledge into new ideas. Funds have been allocated to three types of projects: Knowledge Dissemination, Knowledge Bridge, and Knowledge Bridge Employees at Universities. See all projects here.
  • Business Lighthouse Life Science I– Healthy Weight (Business Lighthouse) has awarded funds to 49 projects.
    The Business Lighthouse, which is just finishing the first phase, has supported five types of projects that are based on an idea, concept, prototype, or solution that can solve a challenge within health inequality. The five types of projects are major development projects, fast-track projects, pilot projects, cross-cutting levers, and summer pool projects. See all projects here.

Keep a close eye on cascading funding in the future

Business Lighthouse Life Science II – mental health is in the start-up phase and is on its way with a pool of funds for projects within public-private collaboration (PPI).

Get news about cascade funding and other funding opportunities within life science and welfare technology here:
Danish calls: Sign up here
International calls: Sign up here

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