Find financing for your business innovation

Alicia Heeger
Background
Edited 23 December 2025
4 min
Managing and growing
Finance

You have an innovative idea or want something new in your business: a smart application, a fresh approach, an innovation. This usually requires you to invest. But where do you get the money? Fortunately, there are several options; your own resources, the government, or external financing. In this article, you can read where to go and what to look out for.

Finding funding for your innovation

Organise money for your innovation plan in these steps:

Develop your innovation plan
Calculates the cost of your innovation plan
Choose the right form of financing
Apply for funding
Get help and advice

1. Work out your innovation plan

Before you go looking for funding, you need a good plan. In that plan, you describe your idea and the problem it solves. You call this plan an innovation plan: a business plan specifically for your innovation.

2. Financially calculate your innovation plan

Calculate the costs for your innovation plan in a financial plan. Work out how much money you will need and what you will use it for. Also show how much money you will invest yourself. Answer the following questions:

How is my company doing financially?
What will the innovation yield? More turnover or lower costs?
How much money do I have available myself, business or personal?
What is the smartest and most advantageous way to invest?
Do I use my own money or seek external funding?

Tip: Discuss your plan with an advisor, such as your bookkeeper, accountant or an Approved SME Financing Adviser (in Dutch). Together, work out the financial side of your innovation plan.

3. Choose the right type of financing

There are various ways of raising finance for your plan:

Using money from your own company.
Using grants and schemes.
Using funding from banks or other financiers.

A. Using money from your own business

Do you need a small amount of money for your innovation? Try first to find funding from your own business. Can you keep less stock for instance. Or try to get your debtors to pay faster. The advantage of self-financing is that costs are relatively low. A disadvantage is that you could end up with less working capital.

B. Using subsidies and tax schemes

The government supports SME innovations with subsidies and tax schemes. For example, for research and development, innovative products, process innovation, and energy and sustainability investments. With tax schemes, you do not receive any money, but you pay less tax later. Subsidy schemes usually do pay out money.

Subsidies for innovation

Use the RVO subsidy overview to find out which subsidy scheme suits your innovation. Study the schemes and plan time to prepare the application. You can also consult an adviser. Provinces and municipalities also have money with which they stimulate innovation. You can find more information on their websites.

Tip: Read how subsidy applications work.

Schemes

Well-known schemes for innovative entrepreneurs are:

Innovation box: pay less corporate income tax on profits made from innovative activities.
The Research and Development tax credit scheme (WBSO)) reimburses part of the costs for research and development activities.
Proof-of-concept funding (VFF) is a loan for entrepreneurs who want to test their idea in the market.
The innovation credit scheme is a loan for part of the development costs of a new product, process, or service.
International orientation for projects in Europe. For example, Eurostars, Horizon Europe and INTERREG.

C. Using funding from banks or other financiers

Want to borrow money from a bank or other party? Then use the Financing Finder. Answer the questions and you will see which forms of financing suit your situation. You will also get an overview of approved financiers offering these forms of finance.

SME credit guarantee scheme (BMKB)

Does your business not have enough collateral to get a loan? The BMKB is a Dutch government scheme that helps entrepreneurs get financing. With this scheme, the government guarantees part of the loan. Then you can borrow more than you would get based on your collateral. Your financier applies for the BMKB.

For innovative entrepreneurs there is the BMKB Innovative. Especially for entrepreneurs working on technological innovation. You will have more options for a guarantee and be eligible for tax benefits. If you want to use this scheme, you first need an R&D declaration.

Venture capital

When it comes to funding your innovation, you tend to depend on venture capital. These funds are provided by venture capitalists: people who are willing to invest in your business while they are not sure what the innovation will yield financially.

Shares are a type of venture capital. An investor buys shares in your business, which generates additional capital. The investor becomes a co-owner of your business and shares in its profit or loss. Such an investor is called an informal investor or business angel.

Stack financing

Increasingly, you need to combine different forms of financing. For example, you supplement your own money with a loan from the bank and leasing your assets. This is called stack financing.

4. Apply for financing

Each financier has their own requirements. Check these carefully before submitting your application. You can often submit your application online. Make sure you have a clear story and prepare a short pitch.

What does your funding application contain?

Your application must be convincing. Explain what you need the money for and how it will benefit your business. Include your innovation plan and financial plan. Show that you have thought about repaying the loan. Make a repayment plan: how and when will you repay? Also consider your own income and private expenses. Provide the right documents, such as your financial statements. And indicate what collateral you can offer, such as premises or machinery.

Tip: Read how to make a financing application. If you are having problems, see who can help you.

What do financiers look for?

Financiers will assess your application. They will look at:

The financial health of your business (cash flow, financial statements).
Expectations for the future (forecasts).
What your innovation delivers.
You as an entrepreneur and your team: do you have the knowledge and ability to grow?

Tip: Read more about how funders assess your application.

5. Get help and advice

There are various ways to get help with finding funding for your innovation. You can call the KVK Advice Team on 088 585 11 1. They will think along with you and connect you with the KVK network. You can ask an expert for advice and you can also consult your own bookkeeper or accountant.

More information

Go directly to:

The Financing Guide Financing for your situation