OBJECTIVE

To finance business R+D projects implemented in co-operation with Canary Island research centres and bodies. Extend and optimise the use of the public R+D system by Canary Island companies and attract important strategic projects that will drive the economy and the creation of highly qualified jobs in the Islands.

WHO CAN APPLY

• Individual enterprises: SAccording to the definition of enterprise set forth in Appendix I of Regulation EU Nº 651/2014, in other words, self-employed, trading companies and in general, any entity, irrespective of its legal form, that is in business. • Groupings of companies: No more than 4 companies and none of them can have a holding of less than 21% or more than 65%. Companies in crisis, those operating in the fisheries or aquiculture sectors and primary producers of agricultural products may not apply for this funding.

REQUISITES

An industrial research and/or experimental development business project Sub-contract at least 20% of the total fundable budget to a Canary Island research agency forming part of the Network of Technology Parks and Spaces.

FINANCIAL CONDITIONS

• Amount: Applicants may apply for loans of up to 85% of the fundable budget of the project, which is set at between €500,000 and €5,000,000.

Sodecan considers as fundable budget the investments and expenses directly related to the project: new fixed assets, including licenses, patents, etc., materials and consumables, contracting external services and sub-contracting to companies and research centres. Under certain well-justified circumstances (see details in the call for applications), second hand capital goods may be financed.
As for employees, provided they are registered to a work place in the Canary Islands, those directly devoted to the project are fundable and indirect personnel costs will be acceptable, but they may not be greater than 15% of direct eligible personnel costs. Land and buildings, depreciation of plant and recoverable IGIC and VAT, on the other hand, are not fundable.

• • Non-reimbursed tranche (TNR as it is known in Spanish): You will not be required to re-pay between 10% and 20% of the loan.

– TNR = 20%, if more than 30% of the fundable budget is sub-contracted to research bodies forming part of the Network of Technology Parks and Spaces.

– TNR = 15%, if, having complied with the requisite to sub-contract at least 20% of the fundable budget to a Canary Island research body forming part of the Network of Technology Parks and Spaces, this percentage does not reach 30% (previous case) but they do sub-contract at least 20% of the fundable budget to SMEs located in the Canary Islands.

– TNR= 10%, for all other cases.

• Deadline for implementing the project:: – Implementation of the project cannot have started prior to filing the applicatioN. – The deadline for implementing the project shall be between 12 and 36 months at the latest from the date the loan is granted.

• Amortisation deadline: Up to 10 amortisations every six months.

• Grace period for amortising the principal: The first amortisation one year after the scheduled project completion.

• Interest rate (on the non-reimbursed tranche): 1-year Euribor + 0.1%. • Charges: No charges • Guarantees / advances: If the financial rating and credit track record of the company is suitable, Sodecan may grant an advance of up to 40% of the loan without guarantees, which will be paid out on signing the contract and the remaining 60% on completion of the project, once this has been implemented and justified.

If the company provides a 20% guarantee, Sodecan will advance up to 60% of the loan with the following calendar of payments: – Payment 1: Up to 20% of the loan on signing the contract. – Payment 2: Up to 20% once the payments of payment 1 are justified. – Payment 3: For the remaining amount of the advance granted. – On completion of the project, once it has been implemented and justified, Sodecan will pay the outstanding sum to complete the loan granted.

If the company provides a 40% guarantee, Sodecan will advance up to 80% of the loan following the same payment calendar as in the previous case.

Notwithstanding the above, other financial conditions may be established and other additional guarantees may be required, depending on the characteristics of the company and the project.

PROCEDURE

The application period closed on 31 December 2015.

Before starting the formal procedure, we recommend you visit our personal advisory service, where we will give you an initial opinion on whether the project is suitable for the line of funding you are applying for and the focus of the documentation to present.

Applications addressed to SODECAN can be presented:

1.- By e-mail to imasd@sodecan.es indicating the reference number of the call for applications (R+D Nº 02/14) and the name/company name of the applicant. Applications will be accompanied by the documentation described in the appendixes of the call for applications.

2.- In person at the Sodecan offices from 8:00 to 15:00. They will be presented in an envelope with the call reference number on the outside (R+D Nº 02/14) and the name of the applicant company, and inside will be the documentation listed in the appendixes of the call for applications. Applicants will also present a CD with a digital copy of all the documentation presented on paper.

SODECAN – Santa Cruz de Tenerife Office

Calle Villalba Hervás 4, 6th floor

 38002 Santa Cruz de Tenerife

SODECAN – Las Palmas Office

Alcalde José Ramírez Bethencourt, 17

35004 Las Palmas de Gran Canaria