Business Finland

Business Finland operates as a key governmental organization in Finland, tasked with promoting the country's economic growth through innovation, internationalization, and foreign investment. Unlike traditional venture capital firms, Business Finland is a public funding agency that primarily provides non-dilutive financing in the form of grants and loans, rather than equity investments. Its mandate extends across various sectors, supporting research communities, industry, and service sectors, with a particular focus on fostering the growth and global competitiveness of Finnish companies, from early-stage startups to established enterprises. The agency plays a crucial role in building a robust innovation ecosystem within Finland, connecting businesses with global opportunities and expertise.

The agency offers a diverse portfolio of funding services tailored to different stages of business development and project types. For early-stage startups, Business Finland provides "Tempo funding," a grant designed to accelerate the initial phases of international business development, typically offering up to €50,000. For more mature companies and larger projects, its R&D and Business Development funding programs are significant. These programs can cover a substantial portion of approved project costs, with funding percentages reaching up to 70% for small companies, 60% for medium-sized, and 50% for large companies. This flexible approach allows Business Finland to support a wide spectrum of innovative endeavors, from product development to market entry strategies.

Business Finland's financial commitment to fostering innovation is substantial. While individual funding amounts vary greatly depending on the program and project scope, the agency has supported projects ranging from tens of thousands to multi-million euro initiatives. For instance, while a startup might receive a €50,000 Tempo grant, larger strategic projects, particularly in R&D or under their "Growth Engine" initiative, can see Business Finland's contribution reach several million euros, with some projects receiving over €15 million in funding. In 2022 alone, Business Finland allocated €629 million towards R&D and innovation funding, demonstrating its significant role in driving the Finnish economy. This broad range of funding capabilities underscores its position as a cornerstone of Finland's innovation landscape, providing critical capital for companies to scale and compete globally.