GAP FUNDING OF TECHNOLOGY TRANSFER

Transforming R&D and innovation projects into successful business start-ups depends heavily on the early stage finance. Europe has a strong science and technology base but there is a failure to exploit this potential and the main cause is the inadequate provision of the seed capital. The shortage of seed capital is related to an untapped economic potential of research results with a large number of ideas in the science sector but also it can be attributed to the high risk associated with early stage financing coupled with relatively low rates of return. Moreover, the international financial crisis have negative effects on the seed financing market. Because of the lack of private sector involvement, the EU and national authorities have a particularly important role to play in the seed capital financing field such as: favorable fiscal environment for business angel, publicly-supported co-investment schemes, structural funds, public funds for the pre-seed financing of projects etc.