Innovative solutions for impact
Business Partnership Facility
Are you a Luxembourg or European Union enterprise with impactful know-how or technology? Keen to leverage your innovation for impactful business partnerships in new markets? Explore new business horizons in developing countries with financial boost from the BPF!
What is the Business Partnership Facility?
Forging entrepreneurial partnerships to tackle key societal challenges
Recognizing the crucial role of the private sector in advancing the United Nations’ Sustainable Development Goals (SDGs), Luxembourg’s Ministry of Foreign and European Affairs, Defence, Development Cooperation, and Foreign Trade set up the BPF in 2016.
This initiative supports projects led by businesses based in Luxembourg or the European Union, and their partners established in a developing country. Through innovative co-financed projects, the BPF addresses significant societal challenges for the partner country’s development, including poverty reduction, food security, climate change mitigation, access to quality education, decent work or clean drinking water, among others.
Biannual calls for proposals offering up to EUR 200,000 in co-financing
Enterprises established in Luxembourg or the European Union can apply to the open call for proposals year-round. The selection occurs twice a year, analysing applications received by the end of April and October, respectively.
Selected projects receive up to EUR 200,000 in co-financing, covering a maximum of 50% of the total project cost.
Innovations in all sectors are welcomed, as long as they contribute to the SDGs.
Who can benefit from the Business Partnership Facility?
The BPF is open to enterprises registered in Luxembourg or the European Union for more than 3 years, with an annual turnover of at least EUR 500,000 (or three times higher than the co-financing requested), and at least 5 employees (lead partner role).
At minimum, the partnership should consist of:
- A lead partner/project leader: a private-sector enterprise based in Luxembourg/European Union, responsible for submitting the application, coordinating the project on behalf of the other partners, and signing the co-financing agreement and
- A local partner: public or private entity, university, research institute, or civil society player established in a developing country eligible for official development assistance, as defined by the Development Assistance Committee. The local partner is involved and committed from the outset of the project.
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The BPF supports the implementation of innovative business partnerships that address major societal challenges for the partner country’s development.
Co-financed projects can take various forms, including:
- Conducting feasibility studies for innovative projects in the target country;
- Implementing pilot versions of innovative solutions in new markets;
- Structuring production chains or deploying an innovative solution on a larger scale.
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The selected partnerships can benefit from co-financing of up to EUR 200,000, representing a maximum of 50% of the total proposed project budget.
The co-financing is considered as aid falling under the “de minimis” regulation.
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Co-financed projects must contribute to the achievement of the SDGs. In concrete terms, the ultimate aim is to enhance the lives and livelihoods of populations in the countries where the projects are implemented.
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Proposed projects are assessed against the following selection criteria:
- Innovation and cost-effectiveness: For a solution to be considered innovative, it must sufficiently distinguish itself from products, services, or approaches already present in the local market. This may involve differences in design, distribution, target audience, economic model, and anticipated resilience to future developments;
- Societal impact and futureproof: The solution must contribute to the Sustainable Development Goals, such as job creation, poverty reduction, access to healthcare, preservation of ecosystems and biodiversity, and combating climate change, etc. Projects must take into account adaptation to future risks and trends;
- Project viability and financial sustainability: Partners must demonstrate that the project will be able to generate revenue in the short or long term, ensuring its continuity beyond the co-financing period. Projects with opportunities for additional funding after the project ends will be valued;
- Additionality and neutrality of co-financing: Projects must provide added value that would not have been created without the financial support of the BPF. The BPF committee pays special attention to avoiding market distortion by co-financing projects similar to initiatives already present in the market;
- Added value for all partners: Partnerships must be balanced, efficient, and mutually beneficial for each partner, demonstrating complementary skills and expertise mobilised by each of them within the project;
- Potential of technology/know–how transfer: Projects must detail technology transfers from North to South, including specific technologies, skills and know-how. Emphasis should be on training employees in developing countries, assessing the effectiveness of the skills transfer and ensuring its sustainability.
Selection process
Step 1: Call for proposals
Submission of a concept note including:
- Short project description
- Presentation of the partners
Pre-selection
Eligibility criteria checks
Preliminary due diligence
Assessment based on selection criteria
Step 2: Detailed proposal
Submission of a complete proposal*
In-depth due diligence
* For Luxembourgish enterprises: support of Luxinnovation
Selection
Pitch presentation
Final selection decision
Contractualisation and project implementation
Definition of the project’s key result indicators
Signature of the co-financing agreement
Regular monitoring and evaluation
Examples of supported projects
No matching results
Our coordinator is here for you!
News
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Business Partnership FacilityOct. 2024
BPF Event – Inspiring and Connecting Changemakers in Luxembourg!
On 14 October 2024, over 100 people gathered at the House of Startups for a vibrant BPF event filled with inspiration, discoveries, and opportunities to meet pioneers of business innovation. -
Business Partnership FacilitySep. 2024
Innovation for impact: How the BPF is fueling RSS-Hydro’s success in Africa
Big news! The Business Partnership Facility Luxembourg and RSS-Hydro’s groundbreaking project in Niger are featured in Paperjam! -
Business Partnership FacilitySep. 2024
Launch of the 12th edition of the BPF: Business partnerships for sustainable development
Does your company hold expertise or technology with a large social or environmental impact potential? Looking to test your solution through a pilot project or to introduce it to new markets? Apply to the Business Partnership Facility (BPF) to develop new sustainable development projects abroad. -
LuxAid Challenge FundJul. 2024
Revolutionising cold food storage with solar power in the Sahel
In sub-Saharan Africa, a striking 38% of food production is lost between cultivation and post-harvest. Could solar energy provide a game-changing opportunity to extend food preservation and strengthen food security? Explore two pioneering solutions from the winners of the first LuxAid Challenge Fund, driving impactful change across the Sahel! -
LuxAid Challenge FundNov. 2023
First LuxAid Challenge Fund call for projects launched in the Sahel!
Co-financing opportunities : Young companies in Burkina Faso, Mali and Senegal, on your marks! The Luxembourg Development Cooperation is launching a call for projects to accelerate innovation in distance learning and food safety. Get up to €140,000 in support! -
LuxAid Demonstration FundFeb. 2024
Recap: Rwanda’s very first LuxAid Demonstration Fund
Rwanda hosted the first edition of the LuxAid Demonstration Fund. Spotlight on promising initiatives to keep an eye on!
Our partners
In addition to the Ministry of Foreign and European Affairs, Defence, Development Cooperation and Foreign Trade, whose representative chairs the BPF selection committee, several other institutional players are involved. These key stakeholders within Luxembourg’s entrepreneurial ecosystem bring their expertise to ensure the optimal functioning of the BPF.