EIC STEP Defence

General conditions

1. Admissibility conditions: Proposal page limit and layout

The EIC STEP Scale-Up call for defence technologies supports projects falling within the defence strategic technology areas as described in STEP (Second Guidance Note on STEP), namely:

• Air and missile defence: this can for example include integrated multi-layered air and missile defence systems, interceptors, detection systems (including radars);
• Artillery and precision strike: this can for example include artillery systems, long-range precision strike capabilities, advanced munitions;
• Missiles and ammunition: this can for example include guided missiles and ammunition, conventional munitions, warheads, propellants;
• Drones and counter-drones: this can for example include unmanned aerial systems (all classes), swarming systems, jammers, anti-UAV systems;
• Strategic enablers: this can for example include space assets and their protection, space situational awareness, space-based services (Earth Observation, PNT, secure communications), protection of critical infrastructure and energy security;
• Cyber, AI and electronic warfare: this can for example include AI for command and control, cyber-defence, information warfare, electromagnetic spectrum operations, electronic warfare systems, digital transformation of armed forces, optronics and radiofrequency systems;
• Military mobility: this can for example include warehousing and engineering capabilities, sustainable and agile logistics, additive manufacturing for combat maintenance;
• Ground combat: this can for example include close fire support systems, soldier systems, manned and unmanned ground combat systems;
• Maritime: this can for example include maritime situational awareness, surface and underwater combat systems, manned and unmanned platforms, seabed and anti-submarine warfare systems;
• Air combat: this can for example include air combat systems, airborne early warning, tactical and strategic air transport, rotorcraft, air-to-air refuelling;
• Medical and countermeasures: this can for example include military medical technologies, CBRN defence including sensors, protection, decontamination and recovery systems.

Note: To be eligible under this call, the proposed products, technologies or services must have a primary defence application. Solutions with predominantly civilian or dual-use applications should refer to the general EIC STEP Scale Up call.

In order to apply under the EIC STEP Scale Up Defence call, your innovation must also be critical thereby meeting either of the following conditions:

• it brings to the internal market an innovative, emerging and cutting-edge element with significant economic potential; or
• it contributes to reducing or preventing strategic dependencies of the Union.

Pre-commitment

This call targets companies raising significant funding rounds and you must demonstrate an initial market interest such that the EIC investment acts as a catalyst for larger funding rounds.

You will therefore need to demonstrate that the company already has a pre-commitment for an equity investment which meets the following elements:

• The pre-commitment comes from a single qualified investor204 subject to KYC by the EIC Fund or the EIF. The pre-committed investor may be an existing investor in the company and does not necessarily need to be the investor who intends to lead the investment round.
• The pre-commitment represents at least 20% of the total target funding round you are aiming to raise. Moreover, the portion of the pre-commitment corresponding to at least 20% of the funding round must be fully uninvested as of the date of the pre-commitment letter. Syndicated pre-commitments, as long as no entity’s individual contribution is equal or above the 20% threshold, will be deemed ineligible.

The following entities are eligible to apply:

• A single company classified as a SME or small mid-cap (up to 499 employees) established in the Union, in Ukraine or in an EEA member associated to Horizon Europe205 (see Annex 2). The company may have a holding entity for the purposes of the investment, and this holding company must also be established in a Member State, Ukraine or in an EEA member associated to Horizon Europe.
• An investor may submit a proposal on behalf of an eligible SME or small midcap as defined above, provided that a prior agreement exists with the company. The investment agreement will be signed with the selected SME or small mid-cap.

The applicable admissibility and eligibility conditions are detailed in Annex 2 unless otherwise stated in this call. Furthermore, in case of investment support, specific safeguards will be introduced in the investment agreement (see Introduction, section on Economic Security).

Concurrent submissions to the EIC Accelerator, the EIC STEP Scale Up call and the EIC STEP Defence call are not permitted; in the event of multiple submissions, only the proposal submitted most recently will be evaluated, and it will be assessed according to the merits and evaluation criteria of its respective call .

How do you apply; how long does it take?

You may submit an application to the EIC STEP Scale Up Defence call at any time until the 01/06/2027207. The evaluation of applications submitted will be organised on a single batch208. You must submit your proposal via the Funding & Tenders Portal.

1. Submission of proposals

To be deemed admissible and eligible, proposals must consist of:

• A full business plan, including information on the company’s ownership and financial structure and a justification on the STEP related defence objectives (maximum 50 pages);
• A pitch-deck (maximum 15 pages) in pdf format (this version will be presented to the jury if invited to interview);
• A pre-commitment from a single qualified investor (according to the official template on the Funding and Tenders Portal and also available on the EIC website); The pre-commitment must represent at least 20% of the total target funding round, which must range between EUR 50 to 150 million or more, and be at least 3-5 times the EIC investment);
• A financial plan (according to the template available on the EIC website).
• Results of the freedom to operate (FTO) analysis. If you do not have one, please upload a note of maximum 2 pages outlining your freedom to operate and providing as much information as possible on this issue. In cases where the FTO is not relevant (e.g. software), please upload a simple statement.
• CVs of key personnel
• Self-assessment document to determine whether or not the applicant is directly or indirectly controlled by a third country other than Ukraine or an EEA member associated to Horizon Europe209. In case of direct or indirect control outcome, applicant is expected to submit the guarantee.

All personal data and information in your proposal will be kept strictly confidential. However, before submitting your full proposal, you will need to give agreement to share necessary information with the EIC Fund.

In addition, you will be asked as part of your application whether your company would be interested in Venture Debt support from an InvestEU implementing partners, if your company is awarded a Sovereignty (STEP) Seal.

2. Eligible countries

Eligible countries of establishment and restricted participation

In accordance with Article 48(2) of the Horizon Europe Regulation, participation is limited to SMEs, including start-ups, and small mid-caps199 established in the Union, in Ukraine, or in an EEA member associated to Horizon Europe.200

This call has a general exclusion rule: legal entities, established in the Union, in Ukraine or in an EEA member associated to Horizon Europe, that are directly or indirectly controlled by a third country other than Ukraine or an EEA member associated to Horizon Europe, or by legal entities of such a third country cannot participate.201 However, such entities may still be eligible to participate in this call provided that appropriate guarantees are made available to the Commission and approved in accordance with the national procedures of the Member State or EEA member associated to Horizon Europe in which the legal entity is established.

3. Other Eligibility Conditions

described in Annex B of the Work Programme General Annexes.

4. Financial and operational capacity and exclusion

described in Annex 2(C. Financial and Operational Capacity and Exclusion) of the EIC Work Programme 2027.

5a. Evaluation and award: Award criteria, scoring and thresholds

described in section VII of the EIC Work Programme 2027.

5b. Evaluation and award: Submission and evaluation processes

described in section VII of the EIC Work Programme 2027.

5c. Evaluation and award: Indicative timeline for evaluation and grant agreement

described in section VII of the EIC Work Programme 2027.

6. Legal and financial set-up of the grants

N/A

Specific conditions

Guarantees

Should the applicant consider that the entity may be directly or indirectly controlled by a third country other than Ukraine or an EEA member associated to Horizon Europe or by legal entities of such a third country then the following steps should be taken:

• Carry out the self-assessment to determine whether they are indeed directly or indirectly controlled by a third country other than Ukraine or an EEA member associated to Horizon Europe or by legal entities of such a third country.
• If applicants find this is the case, then applicants should submit guarantees at the time of application in accordance with the national procedures of the Member State or the EEA member associated to Horizon Europe in which the legal entity is established.
• If such guarantees are not submitted at application stage, applicants will be requested to provide them if invited to an interview with the EIC Jury (failure to submit guarantees within two weeks from the end of the interview session will result in applications being deemed as non-eligible). Guidelines concerning the submission of guarantees are available on the Funding & Tender Portal.
• If you did not complete a self-assessment and it is found during the investment due diligence process that your company is directly or indirectly controlled by a third country other than Ukraine or an EEA member associated to Horizon Europe or by legal entities of such a third country, then you will be requested to provide guarantees to the Agency within two weeks of the date of the request (failure to submit guarantees will result in applications being rejected as non-eligible).

Such guarantees must provide assurances that the participation of the legal entity does not contravene the security and defence interests of the Union and its Member States, as established within the framework of the Common Foreign and Security Policy (CFSP) pursuant to Title V of the Treaty on European Union, including respect for the principle of good neighbourly relations.

Application and evaluation forms and model grant agreement (MGA):

Application form templates

Please use the application form that you will find in the Submission System.

Additional documents:

EIC Work Programme 2027

HE Programme Guide

EU Financial Regulation 2024/2509

Rules for Legal Entity Validation, LEAR Appointment and Financial Capacity Assessment

Funding & Tenders Portal Online Manual

Funding & Tenders Portal Terms and Conditions

Funding & Tenders Portal Privacy Statement