Financial instrument to support innovation in enterprises and innovative enterprises: Loan combined with grant

This factsheet presents a model financial instrument that combines loans with grants to support innovation in enterprises and innovative enterprises. It explains how managing authorities can use European Regional Development Fund (ERDF) resources to design loan products complemented by grant components—such as capital rebates, interest rate subsidies, or technical support—in order to bridge financing gaps and incentivise investment in research, development, and innovation.