The market for pre-seed funding is tight and offers few opportunities. Therefore Kennispark Twente is working on the realization of a Proof of Concept fund. Proof of Concept money acts as a catalyst in the development of high-tech start-ups. But it also encourages entrepreneurs to look for funding through regular market channels.
An idea, proof of principle, technique or patent, provides opportunities to create a new product and a new start-up company. Yet, before a first sale can be made, a prototype is needed to prove that a conceptual idea will actually work. This is often an expensive process. Many high-tech start-ups use the STW valorisation grant for funding. However, this grant usually does not provide sufficient capital to finance the entire process.