Development project 0.5 - 20 M€ funding

  1. Funding of technology and capability development

Declining government budgets in defence have caused an unparalleled austerity in government expenditures on technology and capability development for defence purposes in almost all parts of Europe. Military requirements are not met to an acceptable extend and international cooperation in the sector often causes more complexity than solutions. Also dual use technology and capability development for security applications are affected by the financial crisis.

  1. What is it

  • Investment in technology and capability development for defence and security applications with a primary use for government or professional purposes.

  • Shared funding by the proposing company or consortium, one or more private investor(s) and a third source (bank loan, subsidy, revolving government fund or other).
    In principle each of these sources participate for one third, but percentages are flexible.

  • Administratively the activities will be established in a separate legal entity to define boundaries where investments can be used and to avoid undesired effects of the project on the executing company or consortium.

  • The proposing company or consortium partially invests in the intended project activities. This may consist of cash funds, IPR, resources like personnel and materiel and manages the activities.

  • A private investor or group of investors also partially invests in the project funds.

  • The third part of the intended project funds are provided by a bank or other financial institution as loan or subsided by the government (for example by EDA or a national government).

  • Participation and percentages are flexible and may be adapted to specific needs for the project.

  • To save costs proposers are invited to prepare and provide information using templates provided by WISER Consultancy. If necessary support can be provided to develop and draft the documents.

  • On completion of the development the consortium may purchase the shares owned by the investor(s) prior to anyone else.

  1. Which types of projects

  • Technology and/or capability development for defence and/or security applications

  • Primary use for government or professional purposes

  • Within the limitations of the WISER Consultancy code of conduct against controversial weapons.

  • Technology Readiness Level (TRL) level 5 or higher.

  • Project size between 500 k€ and 20 M€. Duration 2 - 5 years.

  • Innovative for the company or consortium, nationally, for Europe or worldwide

  • Technically and economically attainable

  • Fair profit forecast and acceptable project risk

  • Company or consortium is based in Europe (dependent on call details)

  1. What improves the proposition

  • Requirements of a military or security organisation for the proposed technology or capability

  • A launching customer who intends to purchase and use the capability.

  • MoD or other organisations plans to purchase and/or utilise the capability

  • Proposition within areas for innovation expressed by one or more MoDs or other Government organisations

  • Support of the armed forces or a renowned laboratory to test and (ap)prove the capability

  • Strong dual use potential in government, professional or other markets

  • Major companies exceeding the SME definition of the EC participate for a maximum of 25% each

  • Clear risk mitigation or limitation strategy for investors

  • Solid security for debt service (loan component)

  • Potentially effective exit strategy for the investors

Technology and capabilities however do not grow spontaneously. This plan provides an opportunity for alternative funding of defence and security technology and capability development. Where possible synergy of dual use is pursued in other professional business sectors to realise cross sector use of high end technologies developed for defence or security applications.  In cooperation with private investors, banks and other funding sources similar projects as commonly funded by MoDs and/or international organisations may be accommodated. Overarching principle in this plan is to arrange funding in such manner that the parent company or consortium does not lose control over their project.

  1. How does it work

  • Proposers apply by submitting a two-page contour description of the proposal.

  • Intake acceptance is based on criteria specified in paragraph 3.

  • Qualifying applications may be elucidated by the Proposer in a 15 minute presentation plus Q&A session.

  • Initial assessment of the proposal will be based on proposal description and criteria given in paragraph 4.

  • Assessment result is a weighted score between 1 and 5. Proposals scored at level 2-5 will be accepted for further evaluation.

  • Upon completion of the initial assessment WISER consultancy sends proposer the scoring results and an offer for further cooperation.

  • Upon acceptance of the offer the proposer is invited to submit a technical proposal, project plan, a business plan, a marketing plan including market assessment and commercial prognosis using the templates made available by WISER Consultancy. For an additional fee support can be provided to develop this plan.

  • Evaluation of plans submitted will be conducted by WISER Consultancy using 7 criteria: Product, Market, Strategy, Legal, Organisation, Management and Financial.

  • WISER Consultancy will inform the proposer of the evaluation results and recommend a mix of funding and investment sources.

  • After decision on the funding strategy a funding prospectus is developed or evaluated as required.

  • WISER Consultancy selects and invites funding and investment sources using the prospectus and other document.

  • When optimal funding is found relevant agreements will be drafted.

  • Negotiations with investors and other funding sources are conducted

  1. What does it cost

  • Initial assessment based on form, description and presentation session: free of charge and without further obligation.

  • Basic services: 1% of total value established
    These services consist of evaluation of technical proposal, project plan, business plan and marketing plan,  preparation of funding plan,evaluation of prospectus and funding requests, acquisition of investors, banks and other sources, evaluation of third party funding agreements and documents to establish the legal entity, support of negotiations with investors and other funding sources.
    Basic services for proposals initially scored at level 3, 4 or 5 will be charged on success oriented bases for 25%, 50% or 75% respectively.

  • Additional services: hourly rate or fixed price arrangement
    Development and drafting of technical proposal, project plan, business plan, marketing plan, funding prospectus, funding requests, funding agreement, establishment of required legal entity, financial analysis, organisation of and participation in workshops, other support, etc.

  1. Role of WISER Consultancy

WISER Consultancy facilitates funding of defence and security technology and capability development with a highly knowledgeable and experienced team. To ensure the best recommendations and support WISER Consultancy is independent from governments, industries, investors and banks. Consequently our primary intention is to support and facilitate funding, not to participate as shareholder or investor. In all cases we use our combined legal, technical, financial and management knowledge and many years of experience to find the most effective solutions for our customers.

  1. Legal

WISER Consultancy will never share any information marked confidential in your proposal with anyone else without your express approval.

Although we will do our utmost to provide funding and investment required no guarantee on a successful outcome of our facilitating and support efforts can be given.

WISER Consultancy general terms & conditions apply (Dutch edition for contracts in The Netherlands; English edition for all other contracts). See