DKK 5 Million in Danish Innovation Grants: Complete Guide to the Innobooster Program

Denmark punches above its weight in global innovation rankings. A country of fewer than 6 million people consistently produces world-leading companies in pharmaceuticals, clean energy, design, and digital technology. The Innobooster program is one reason why: it provides substantial grants that help Danish SMEs turn promising ideas into market-ready products.

With grants up to DKK 5 million (roughly EUR 670,000), Innobooster is among the most generous innovation programs in Europe. The money goes directly toward development activities - hiring engineers, building prototypes, testing with customers, and preparing for market launch. Unlike loans or equity investments, grants dont need to be repaid or dilute your ownership.

The rolling deadline means you can apply when your project is ready, not when a bureaucratic calendar dictates. This flexibility matters because innovation doesnt follow predictable schedules. When you identify a market opportunity, you need resources to pursue it quickly.

The catch? You need 50% co-financing. For every krone the government provides, you must invest a krone yourself. This requirement ensures the program supports companies with real commitment and capability, not just good pitch decks.

Heres everything you need to know about accessing this funding.

Key Details at a Glance

What This Opportunity Offers

Innobooster provides non-dilutive capital for innovation activities that bridge the gap between research and market. The funding covers development work that takes your concept from promising idea to commercial product.

Product development forms the core of eligible activities. Whether youre building hardware, software, or services, the grant covers engineering work, prototype construction, iteration based on testing, and preparation for manufacturing or deployment.

Market testing helps validate your innovation before full-scale launch. Customer pilots, beta programs, market research, and user feedback activities all qualify for funding.

Technical expertise acquisition brings specialized knowledge into your project. You can use funding to hire consultants, partner with research institutions, or contract specialized development capabilities you lack in-house.

Technology maturation addresses the technical risks that often stall promising innovations. If you need to solve specific engineering challenges, demonstrate feasibility, or achieve performance targets, these activities qualify.

IP development and protection helps secure your competitive position. Patent filing, freedom-to-operate analysis, and IP strategy development are eligible costs.

The program explicitly focuses on activities with commercial outcomes. Pure research without market application doesnt qualify - youre expected to emerge from the project with a product or service ready for customers.

Who Should Apply

The program targets Danish SMEs with innovations ready for serious development investment. Not every company or project fits.

Tech startups with validated concepts are prime candidates. If youve proven market interest through early sales, pilots, or customer commitments, Innobooster can fund the development needed to scale.

Established SMEs pursuing innovation find the program valuable. Companies with existing businesses that want to develop new products, enter new markets, or upgrade their technology offerings fit well.

Hardware companies with prototype needs face high development costs that software startups dont. If you need to build and test physical products, the grants help cover expensive engineering and manufacturing development.

Deep tech ventures working on advanced technology with long development timelines benefit from patient capital that doesnt expect immediate returns.

Service innovators developing new business models, digital platforms, or innovative service concepts can also qualify - innovation isnt limited to physical products.

To be eligible, you must be a Danish-registered company with fewer than 250 employees. Your project must pursue development of a new product, service, or technology with genuine commercial potential. And you must be able to provide at least 50% of project costs from private sources.

Insider Tips for a Winning Application

Demonstrate market pull, not just technology push. Applications that show customer demand outperform those that only describe technical innovation. Include evidence of market interest: LOIs from potential customers, pilot agreements, waitlists, or sales pipeline data.

Quantify the commercial opportunity. Innovation Fund Denmark invests public money expecting economic returns. Calculate your market size, project revenue potential, and estimate job creation. Specific numbers outperform vague claims about large markets.

Be honest about risks and how youll address them. Every innovation project faces technical and market risks. Reviewers respect applications that acknowledge challenges and present realistic mitigation strategies. Pretending risks dont exist suggests naivety.

Show you can execute. Your team matters as much as your technology. Highlight relevant experience, track record of delivery, and capability to manage a development project. If you lack specific skills, explain how youll acquire them.

Budget for real development work. Reviewers spot unrealistic budgets quickly. Make sure your financial plan covers genuine development costs and represents real market rates for the activities you propose.

Plan beyond the grant period. What happens after Innobooster funding ends? Your application should show a path to sustainability - either through revenue, follow-on investment, or other resources. The program wants to create lasting companies, not fund one-time projects.

Use the consultation service. Innovation Fund Denmark offers pre-application consultations. Take advantage of this to understand program fit, refine your application, and address potential concerns before formal submission.

Application Timeline

The rolling deadline means you control your timeline, but the process still takes time.

Pre-application (2-4 weeks before submission): Consider requesting a consultation with Innovation Fund Denmark. They can help you understand whether your project fits the program and what to emphasize in your application.

Application preparation (4-6 weeks): Develop your full proposal including project description, budget, team information, and supporting documentation. Dont rush this - a well-prepared application has much better odds.

Submission: Submit through Innovation Fund Denmarks online portal when your application is complete. You can submit at any time.

Review (approximately 8 weeks): Your application goes through assessment by Innovation Fund Denmark staff and external evaluators. They may contact you for clarification.

Decision: You receive written notification of the funding decision with feedback on your application.

Contract negotiation (2-4 weeks): If approved, you work with Innovation Fund Denmark to finalize the grant agreement, establish milestones, and set up reporting requirements.

Project start: Begin development work according to your approved plan.

Required Materials

Project description: Comprehensive explanation of your innovation, development plan, timeline, and expected outcomes. This is the core of your application.

Market analysis: Evidence of commercial potential including target customers, market size, competitive landscape, and go-to-market strategy.

Budget breakdown: Detailed cost estimates for all project activities with justification for major expenses. Shows how grant and co-financing will be used.

Team information: Backgrounds of key project personnel demonstrating capability to execute the proposed work.

Company documentation: CVR registration, recent financial statements, and ownership structure information.

Co-financing evidence: Documentation that you have access to required private matching funds.

Supporting materials: Customer letters of intent, technical validation data, pilot results, or other evidence strengthening your application.

What Makes an Application Stand Out

Commercial potential (35%): How big is the market opportunity? How compelling is the evidence of customer demand? What are realistic revenue projections?

Innovation quality (25%): How novel is your approach? Does it represent genuine advancement over existing solutions? What makes it defensible?

Team capability (20%): Can this team execute the proposed project? Do they have relevant experience and necessary skills?

Project plan (15%): Is the development approach realistic? Are milestones achievable? Does the budget make sense?

Alignment with program goals (5%): Does this project fit Innovation Fund Denmarks strategic priorities? Will it contribute to Denmarks innovation ecosystem?

Common Mistakes to Avoid

Insufficient market evidence: Claiming you have a great product without demonstrating customer interest. Include concrete evidence of market demand.

Unrealistic budgets: Either too low (suggesting you dont understand what development requires) or too high (suggesting you want a government windfall). Budget realistically.

Technology focus without commercial grounding: Explaining technical features without connecting to customer benefits and market opportunity.

Weak team presentation: Failing to demonstrate that your team can actually deliver the project. Highlight relevant experience and capabilities.

Missing co-financing: Applying without having secured your 50% private contribution. You need to document your co-financing sources.

Vague milestones: Proposing fuzzy deliverables instead of specific, measurable outcomes. Reviewers want to see exactly what youll achieve.

Frequently Asked Questions

Whats the minimum grant size? No formal minimum, but projects typically receive at least DKK 500,000. Smaller projects may not justify the administrative overhead.

Can foreign-owned companies apply? Yes, as long as youre registered in Denmark and meet SME criteria. Ownership nationality doesnt disqualify you.

What counts as co-financing? Cash investment from your company, private investors, or other non-public sources. In some cases, in-kind contributions may count, but cash is preferred.

How long do projects typically run? Most projects are 12-36 months. Shorter projects are possible for focused development work; longer projects need strong justification.

Can I apply for multiple projects? Yes, but each application is evaluated independently. Having one approved project doesnt guarantee another.

What reporting is required? Regular progress reports during the project, plus a final report documenting outcomes. Financial documentation of expenses is also required.

Can I change my project plan after approval? Within limits, yes. Material changes need approval from Innovation Fund Denmark. Minor adjustments are typically allowed.

Is the grant taxable? Yes, grants are generally taxable income in Denmark. Consult with your accountant about tax implications.

How to Apply

Ready to apply for Innobooster funding? Heres how to proceed.

First, visit Innovation Fund Denmarks website to review current program guidelines and any updates to requirements or priorities.

Consider requesting a pre-application consultation to discuss your project and get feedback before investing time in a full application.

Prepare your application materials thoroughly. The proposal should clearly explain your innovation, demonstrate market potential, present a realistic development plan, and document your teams capability.

Secure your co-financing and gather evidence that private matching funds are available.

Submit through the online portal when your application is complete. Remember that rolling deadlines mean you control the timing - submit when youre ready, not before.

After submission, expect approximately 8 weeks for review and decision.

For complete guidelines, application forms, and consultation booking: https://innovationsfonden.dk/da/programmer/innobooster

Questions about program fit or application requirements? Innovation Fund Denmarks team can provide guidance on whether your project aligns with Innobooster criteria.