There is an EC scheme called the Framework Fund that allocates €5bn a year to businesses. But UK firms seem curiously reluctant to get their hands on it: so far they have only accessed 12 per cent of the available funds in one category, compared to 21 per cent by German businesses.

Framework Funding aims to stimulate a competitive knowledge-based economy, and supplies sums between €100,000 to €30m to small and medium-sized enterprises,  large corporates and academics. It is targeted at seven categories, the largest of which is 'information and communications technologies and their impact upon society'-a broad enough remit to interest many innovative UK businesses.

It's not just about the money. Peter Walters, of the UK National Contact Point for information society programmes, points to the better understanding, valuable contacts, and access to technology, that a funded collaborative project also brings a business.

Framework funding brings together large corporate resources and financial strength; SME agility, flexibility and speed getting to market; and the cutting-edge research skills of academia. Everybody has the potential to win: large companies get innovation; academics get access to the commercial world; SMEs gain a stake in exciting new technologies they could not develop by themselves.

Applying takes time: it can be a year from conception to first receipt, so start early. It takes effort and money too, and a search for suitable partners. But follow the right steps and the returns can be considerable.
Peter Walters suggests a few basic steps that will make a successful funding application more likely.

• Visit the website: http://fp6uk.ost.gov.uk
• Read the available guidelines
• Talk to partners and the National Contact Point who will guide you through the process
• Start early

You must show that you can fund half of the scheme. Your partners must be reliable, too: you may be responsible for your half of the funding if they default. But with such huge sums available, the effort can be well worth it. A new round of funding, Framework Seven, starts later this year. Get moving now and your business could be receiving a very sizeable cheque in 2007.