Slides from the GMV/Digital Catapult Funding for Innovation for Creative Enterprises event on 11 September 2015

1. Funding for Innovation
for Creative Enterprises
11 September 2015

2. Welcome
Jenni Young
Marketing and Centre Director
Digital Catapult
#createinnovfund

3. Introduction
Patrick Towell, Chief Executive
Golant Media Ventures
#createinnovfund

4. Who we are
An innovation agency for creative, cultural and digital sectors
• Coaching & mentoring • Training & development
• Advice & support • Commercial & public benefit
• Funding • Business models • Intellectual property
• Service & experience design • Data exploitation
• Organisational change • Content distribution
#createinnovfund

5. Who we work for, with, funded by
http://www.golantmediaventures.com/projects

6. Agenda
9.30 Welcome – Jenni Young (Digital Catapult)
9.40 Introduction – Patrick Towell (GMV)
9.55 Innovation and IP in the UK economy – Rosa Wilkinson (The IPO)
10.20 Growth Accelerator: Business Growth and Access to Finance – Aziz Rahman (Grant Thornton)
10:35 Growth Accelerator: Growth Through Innovation – Patrick Towell (GMV)
10:50 Coffee break
11.00 Creative KTN – Mitra Memarzia (Creative KTN)
11.15 Horizon 2020 – Callum Lee (BOP Consulting)
11.30 R&D tax credits – Patrick Towell
11.45 Introduction to working session – Patrick Towell
11.55 Working session
12.40 Feedback from working session
12.55 Case study: Cinegi – Mandy Berry
1.10 Case study: Mint Digital – Tim Morgan

7. Funding landscape
• UK & EU
• Public & private
• Equity, debt, crowd, P2P…
• Understand media/creative/entertainment or…
#createinnovfund

8. What innovation funding needs
• Compelling market opportunity
– Market dynamics, focus, segmentation
– Sizing, growth justification
– Competitor analysis and positioning
• Clear portfolio of products, services, content, experiences…
• Identifiable and defensible IP (and other intangibles)
• Business models
– Revenue models, pricing, profitability
– Delivery models, partnering, costs
– Channel/distribution strategy
#createinnovfund

9. Rosa Wilkinson, Innovation Director
Intellectual Property Office
#createinnovfund

10. Aziz Rahman
On behalf of GrowthAccelerator
Now part of the Business Growth Service
#createinnovfund

11. Introducing the Business
Growth Service
Name: Aziz Rahman
Job Title: Business Growth Manager
Email: azizur.rahman@uk.gt.com
Mobile: 07500882027

12. What is the Business Growth Service?
Business Growth Service

13. Measures of Success
GrowthAccelerator KPIs
• £2.8 billion GVA (£108k
GVA per participant)
• 70,000 new jobs (2.7 new
jobs per participant)
• Target to recruit 26,000
participants nationally
• £200 million of finance to be
raised
How will the Business Growth
Service be measured?
• Realised Gross Value Add (GVA)
• Realised Job Creation
• Forecast GVA and Jobs
• Participant Satisfaction across
every aspect of the participant
journey
• Stakeholder Recommendation

14. Business Eligibility & Suitability
SMEs
< 250
employees
Max balance
sheet 43m
Euro
(includes group
assets)
Any sector
Any age
Registered in
England
Eligibility Suitability
Ambition,
Capacity and
Opportunity
to grow

15. How does it work?

16. Access to Finance
• Bespoke support through the finance raising process
• Access to specialist finance coach to support investment readiness
• Assistance with funding options including debt and/or equity funding
• Introduction to appropriate funders
• Access to GrowthAccelerator's Investor Relations team
Complemented by a series of up to three full day Finance specific
Masterclasses

17. Business Development
• Business planning
• Strategic planning
• Marketing strategy
• Organisational change
• Improving performance and efficiencies
• Recruitment and people management
Complemented by a number of free workshops

18. Growth Through Innovation
• New product/service development
• Increase competitiveness
• Research and development grant funding application support
• Patents
Complemented by a number of full day masterclasses

19. Leadership & Management – all service streams
Up to £2k grant per eligible senior manager
• Self select training for business leaders to improve skills, knowledge &
expertise,
• Match funding – company must contribute 50% towards the costs,
• Statutory/operational training not eligible - must be focused on
improving leadership and management skills,
• Training must be for senior management that are directly involved in the
strategic direction of the business.

20. Participant Feedback so far
98% report that they are
on track to achieve the key
milestones set out in their
action plan
97% believe that
GrowthAccelerator has been
'important' in increasing their ability
to achieve these milestones
91.2%
94.2%
90.2%
95.3%
Understanding of your business
Business experience
Technical Skills
Credibility
Participant Satisfaction with Coach Qualities

21. What is your investment?
Total package of support valued at £3,500 + VAT
Includes coaching, GROWTHMapper, access to Leadership &
Management training grants, Workshops or Masterclasses and Growth
Community
To access the service, you pay:Employees (FTE) Cost to join + VAT *
1- 4 £600 (you receive a subsidy of £2,900) £700
5 - 49 £1,500 (you receive a subsidy of £2,000) £700
50 - 249 £3,000 (you receive a subsidy of £500) £700
* VAT calculated against total package of support cost

22. Thanks
Name: Aziz Rahman
Job Title: Business Growth Manager
Email: azizur.rahman@uk.gt.com
Mobile: 07500882027

23. What is ‘Growth
Through Innovation?
#createinnovfund
Slides used by
permission of
Yvonne Grady

24. Growth through innovation journey….
• Customised innovation coaching assignment
• Innovation masterclasses
• Leadership & Management development funding
• Access to funded £3k IP Audit
• Bespoke ‘design mentoring’
• Design workshop and masterclass
#createinnovfund

25. Customised Innovation Coaching
Bespoke ‘Scope of Innovative Support’ for the Company, including
deliverables, timescales, roles and responsibilities
• Transfers skills and knowledge from the coach into the company – in
order to change behaviours and improve company performance. Safe
pair of hands
• Focus on:
• Developing and commercialising innovation
• Creating and building a culture of innovation
• Building organisational capacity for innovation

26. Innovation Masterclasses
1. Creating Competitive Products & Services
2. Understanding unmet Customer Needs
3. How to Generate New Ideas
4. Collaboration & Partnering for Innovation
5. Developing an Innovative Organisation
6. Understanding, Protecting & Exploiting my IP
7. Finding & Winning Grants for Innovation
Growth Accelerator Customers can access
up to two Masterclasses per Company

27. Intellectual Property Audit
• Accessed only via ‘Growth Through Innovation’
• Objective – SME to gain a clear picture of their intellectual
property assets
• Evidence that IP strategy and audit would add value to
growth ambitions of the business
• £3000 IP audit with small contribution from business £400
• Carried out by IP Attorney or Practitioner – client choice
• IP audits - monthly competition
#createinnovfund

28. IP Audit Report
Includes action points for how to best leverage value out of and how to
manage IP and is tailored to the specific needs of the business/project.
Audit covers some of the following;
• Patents - identify pending applications, granted patents, potential
patentable technology and potential patent infringements
• Trade Marks - identify registered and unregistered trade marks, searching
procedures prior to introduction of trade mark
• Designs - identify registered and unregistered rights, possible protection
through Design Right/Community Design Right, possible infringements
• Copyright – identify copyright (databases, websites, photography, film
marketing/promotional material) and ownership/assignment of copyright
• IP Management - to include confidentiality (or non-disclosure) agreements,
trade secrets, technical know-how, employee agreements and
dissemination of IP policy throughout the company
#createinnovfund

29. Design Mentoring Offer…
• Accessed only via ‘Growth Through Innovation’
• Bespoke design coaching for SMEs
• Design mentoring supports the transfer of skills and
knowledge e.g. project management, outsourcing,
project brief/specification (key SME weakness)
• 50% grant funded support for ‘Design Coach’ not
implementation
• Grants range from £800 minimum to £3000 maximum

30. Design Mentoring/Coaching
• Experienced Coach facilitating transfer of knowledge/skills
to support SMEs with;
Branding design
Product design
Process design
Service design
• Access to design workshop and masterclass
#createinnovfund

31. How do we support SMEs?
 Setting a plan for growth and developing scalable innovative
solutions
 Identifying new market opportunities/new routes to market
 Developing competitive products/services
 Understanding customers needs
 Identifying IP and understanding how to protect it
 Developing leadership capability, building a future team, attracting
and retaining talent…
 Design Mentoring
 Developing the organisational culture

32. Why innovation is important to growth….
 New product/process/service development
 Attraction and retention of new customers
 Standing out from the competition
 Using design as a strategic tool is powerful
differentiator
 Improving quality
 Reducing costs
 Conserving the environment
#createinnovfund

33. ktn-uk.org @KTNUK
Dr. Mitra Memarzia
@mitra_m
11 Sep 2015
Golant Media Ventures: Funding for Innovation for Creative Enterprises
The Knowledge Transfer Network

34. Introducing
What we do
— KTN is the UK’s innovation network. It brings together businesses,
entrepreneurs, academics and funders to develop new products, processes
and services
— We help business to grow the economy and improve people’s lives by
capturing maximum value from innovative ideas, scientific research and
creativity
The Knowledge Transfer Network
ktn-uk.org @KTNUK @KTN_Creative

35. The Knowledge Transfer Network
Connecting people to accelerate innovation
Interdisciplinary
Bringing together
businesses and
researchers from different
sectors.
Commercial
Introducing innovators to
public and private
funders and investors.
Strategic
Connecting people who
wouldn’t usually meet to
solve innovation
challenges.
Entrepreneurial
Linking people with new
ideas and technologies to
partners and customers.
ktn-uk.org @KTNUK

36. Clustered communities, groups and business
programmes
Focus is on bringing together groups that would not normally meet
ktn-uk.org @KTNUK
Materials
Chemistry
Environmental
Services
Agri-Food
Biosciences
Health
ICT
Electronics, Sensors
& Phototonics
Defence & Security
Space
Built Environment
Transport
Energy
Creative Industries
Digital Economy
Design
Sustainability, H2020, International, Access to Finance, Design

37. Thought leadership + reports + resources
GMV's report for the KTN on innovation through co-design and
data in the creative industries:
http://golantmediaventures.com/projects/innovation-from-co-design-and-data-in-
the-uks-creative-industries
Creative Industries Strategy:
https://connect.innovateuk.org/web/creativektn/article-view/-/blogs/video-creative-
futures-innovation-and-growth

38. https://connect.innovateuk.org/web/creativektn/resources
KTN H2020 guidebook:
Brokerage events: Horizon 2020
Series of KTN brokerage and networking events
November 2015
London, Brighton, Manchester, Cardiff
Join the Linkedin group:
http://www.linkedin.com/groups?about=&gid=3233422&trk=groups%2Fhome-h-share

39. Clustered communities, groups
and business programmes
ktn-uk.org @KTNUK
Business programmes
— Sustainability
— Design
— Horizon 2020
— International
— Access to funding
& finance

40. National and local
ktn-uk.org @KTNUK

43. THEMATIC RESPONSIVE

44. THEMATIC COMPETITIONS
• Collaborative Research & Development (CR&D)
• Feasibility Study
• Innovation Contests
• Launchpad
• Small Business Research Initiative (SBRI)
• Knowledge Transfer Partnerships (KTP)

45. RESPONSIVE COMPETITIONS
INNOVATION VOUCHERS
- Designed to help businesses gain the knowledge they need to innovate and
grow.
- An Innovation Voucher can help your business to work with an external
expert for the first time by paying towards the cost of their services.
- £5k for SMEs to work with ‘Knowledge suppliers’ to help their businesses
address a real challenge, not just a small improvement or change to what
they currently do.
- 4 rounds of funding every 3 months. Over 100 vouchers are issued each
round.

46. RESPONSIVE COMPETITIONS
SMART GRANTS
• Proof of Market
- This grant enables companies to assess commercial viability.
- Max. Grant £25k. Up to 6 months. 60% of total project costs
• Proof of Concept
- A grant to explore technical feasibility .
- Max. Grant £100k. Up to 18 months. 60% of total project costs
• Development of Prototype
- To develop a technologically innovative product or service.
- Max. Grant £250k. Up to 2 yrs months.
- 35% of total project costs (Medium), 45% for small & micro.

47. Digital Innovation Contest: TV & Film – Rovi Corp
Winner: Portal Entertainment
http://www.portalentertainment.co.uk/

48. Digital Innovation Contest: Fashion – Holition
Winner: The Unseen
http://seetheunseen.co.uk/

49. Digital Innovation Contest: Clinical Excellence – Bupa
Winner: Genix
http://www.geneix.com/

50. Current Open Creative & Digital Competitions
Register for our Bi-weekly Newsletter
http://www.ktn-uk.co.uk/subscribe-2/
http://www.slideshare.net/KnowledgeTransferNetwork/creative-digital-design-business-briefing-september-2015
+ Monthly Slideshare

51. Monthly Business Drop-in sessions
16 Sept Digital Catapult Centre, London:
17 Sept, Tech Hub, Swansea: ow.ly/RKIt6
ow.ly/QvKXP

52. Thank you

53. Callum Lee
Director, BOP Consulting
#createinnovfund

54. ——
Funding for innovation for
creative enterprises
Opportunities in Horizon 2020

55. ——
55
Context

56. —— ——
56
Musikalsk -MEDEA @ Malmo University
New ways to
experience
classical music
Horizon 2020

57. —— ——
57

58. —— ——
58

59. —— ——
59

60. —— ——
60

61. —— ——
61
Waag Society, Brunel University, Stromatolite
Connecting ICT
and Art
Horizon 2020

62. —— ——
62

63. —— ——
63

64. —— ——
64

65. ——
65
The four types of “action” in Horizon 2020

66. ——
66
Some calls of relevance – Leadership in Emerging Technologies
Call Aims Likely contribution
ICT20 – 2017: Tools for smart
digital content in the creative
industries
To maximise the potential for re-use and re-purposing of all
types of digital content
EUR 0.5 – 1m
ICT21 – 2016: Support
technology transfer to the
creative industries
Support creative industries SMEs in leveraging emerging ICT
technologies for the development of innovative products, tools,
applications and services with high commercial potential.
EUR 2m
ICT22 – 2016: Technologies for
Learning and Skills
Innovation in digital learning EUR 2m
ICT19 – 2017: Media and content
convergence
Make the best use of technology for reaching out to new
audiences, adapting to the digital era and thriving in the
connected Digital Single Market
EUR 2 – 4m

67. ——
67
More calls of relevance – Societal Challenges
Theme Likely areas of interest
Europe in a changing world - Inclusive,
innovative and reflective societies
ICT-enabled public sector innovation
Digital cultural Heritage
Dynamic urban futures
CO-CREATION-2016/2017-6: Understanding co-creation in the public
sector

68. ——
68
EUR 50k
6 months
EUR 1 – 2.5m
1 – 2 years

69. ——
69
FP7 Winning proposals (2007 – 13)
Your chances

70. —— ——
70
Find me at callum@bop.co.uk
@callumlee

71. Patrick Towell, Chief Executive
Golant Media Ventures
#createinnovfund

72. R&D tax credits
Have you ever…
• Solved complex technical or scientific challenges even though at the
beginning you weren’t certain how?
• Dealt with unexpected problems along the way?
• Spent more time and money on it than you intended?
• Needed to put in more effort and money to exploit what you learnt
and get a return on investment?
#createinnovfund

73. R&D tax credits
What do you need to do?
• Have activities that are liable to corporation tax
• Work out which costs you can legitimately claim – what HMRC
will consider ‘proper’ R&D
• Have your accountant submit each R&D tax claim as part of an
annual return
• Consider consulting lawyers if you have had other public funds
or aid, such as SEIS or Innovate UK funding.

74. Working session
• Type of enterprise
– Film/TV production
– Digital production (games/TV/mobile)
– Publishing (books/mags)
– Major arts, culture, heritage
– Smaller arts, culture, heritage
– Ad/marketing agency
– Food, fashion, or design
– Public body
• Target demographic
– Children
– Young people
– Middle age
– Older people
• Market
– UK
– International
• Type of content/data/technology
• Revenue model
• Current revenue
• Stage of growth
– Concept
– Prototype
– Early stage
– Growth
– Expansion
• Funding already acquired

75. Mandy Berry
Chief Executive, Cinegi
Founder Director, Golant Media Ventures
#createinnovfund

76. DIGITAL FILM DISTRIBUTION SERVICE
ANY VENUE CAN BE A ‘CINEMA’
MANDY BERRY, CHIEF EXECUTIVE

77. HOW IT WORKS
• Filmed media rights management
• Secure distribution
• Web-based platform and desktop app
• Download over public internet using standard broadband
• No proprietary kit
• Screening in full HD
…“as easy as home entertainment”
77

78. Film societies Village halls Arts centres
Pubs/hotels
Touring circuits Theatres Independent cinemas
Colleges Community centres
VENUES AND PROMOTERS OF ALL KINDS …AND MORE!
Workplaces
Tourist attractions
High street pop-ups
Festivals
Outdoor public spaces
Sports & leisure venues
Social clubs, church halls
VENUES/PROMOTERS

79. CINEGI PLATFORM – B2B WEBSITE
Catalogue – packaging,
programming & booking
Paperless
box office &
admissions
reporting

80. CINEGI PLATFORM – CINEGI PLAYER
Download Manager
In-venue Playout
• As easy to use as a catch-up
TV service
• No special training required

81. CINEGI IPE-BusinessSecuredigital
delivery
Brand
IP
Web application design &
software
IP
Catalogue
IP
Customer
database
IP
Media, metadata
& collateral
IP
Player design
& software
IP

82. DEVELOPMENT & FUNDING JOURNEY
Public funding & corporate support 2011-12
VC Investment 2014
- Research into audiences and alternative
venues
- Business modelling for alternative content
Public funding 2013
- Gap finance
- Market analysis, product strategy, business
planning
- Management & administration resources
- Platform & player built
- Team in place
- Initial content secured
- Private beta in South West
- Funding from public funders and commercial
partners (no equity/rights taken)
- Proof of concept – created technical,
commercial & legal blueprint
Innovation support all stages 2010-14
Digital R&D Fund for the Arts

83. • Keep it simple
• Be open
• Partnerships
• Leverage your funding
• Tenacity
83
KEY SUCCESS FACTORS

84. Tim Morgan
CEO, Mint Digital
Creative Europe Desk UK
#createinnovfund

85. Mint Digital
The Funding Journey

86. One : About Mint
Two : The Funding Journey
Four : What didn’t work
Three : What worked
Five : Lessons Learned

87. One
About Mint

88. • Tesco
• Goldman Sachs
• Channel 4
• Benetton
• Agatha Christie
• Ipsos Mori
• Speedo
• BBC
• About 100 others!
• Fox
• About 100 others!
• Sticky9
• Boomf
• DeskBeers
• The Bathory
• deskcamping
• Projecteo
• Picklive
• TubeSocks
• About 30 others!
Client Services Ventures

96. Crystallise learnings and
insights
Synthesis
Meet users, show
ideas, experiment
Immersion
1 Cycle
Create ideas and
prototype them
Design/Build

97. Make a simple, seamless experience
that people love, use and share
Digital Product Development

98. Two
The Funding Journey

99. Putting food on the table
Digital Product Development

103. PROJECTEO
Mini Instagram projector.
$18,000 goal, $87,000 hit on
Kickstarter.
http://www.getprojecteo.com

104. Mint
Digital Product Development Studio
Sold to Sports Millions
June 2012
Techcrunch Europas: Highly Commended
Sold to PhotoBox
June 2013
Webby Honoree

107. Three
What worked

111. PROJECTEO
Mini Instagram projector.
$18,000 goal, $87,000 hit on
Kickstarter.
http://www.getprojecteo.com

114. Four
What didn’t work

118. PROJECTEO
Mini Instagram projector.
$18,000 goal, $87,000 hit on
Kickstarter.
http://www.getprojecteo.com

121. Five
Lessons learned

122. • Funding is not a business goal in itself.
• You need room to make mistakes.
• Great propositions get funded.
• Crowdfunding is great but there are caveats.
• Successful funding is a combination of great
concepts, proofs and hard work.
• It is fair.
Lessons learned

123. • “If a man can write a better book, preach a
better sermon, or make a better mousetrap
than his neighbor, though he build his house in
the woods, the world will make a beaten path
to his door.” Ralph Waldo Emerson

124. Thank you
@thetimmorgan
tim@mintdigital.com

125. Get in touch!
Building resilience and agility
• Innovation and realising opportunities from digital
• Making new revenues, reaching new customers
• Distribution strategy and organisational change
Designing new products and services
• Realising the full value of content & data
• Devising new entertainment, cultural & information propositions
• Developing creative, technical and business solutions
Getting value from data
• Making data a strategic asset
• Using data to realise your creative and commercial ambitions
Public funding and private financing
• Securing funding from a mix of funders
• Being investment ready – proposition & business model
Patrick Towell patrick.towell@golantmediaventures
www.golantmediaventures.com @golantmedia

126. Thank you for attending!