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Set out below you will find guidance relating to identified sections of the application form with further information provided in the attached annexes.

You may find it helpful to complete Sections 13 - 23 of the form (particularly Sections 13, 16, 17 and 23) before completing the summary sections 1-12.

Section 1: Programme

This section is generated automatically.

Section 2: Project Number

This box should be left blank at the time of application. Each project will be assigned a reference number by the Programme Executive, which should then be quoted in all future correspondence.

Section 3: Project Title

This should be the name by which the project is to be commonly known and should be prefixed with the name SEEKIT. Titles should be brief, precise, descriptive of the project, unique and suitable to be carried forward as the permanent project name.

Section 4: Applicant Organisation

This section should detail the lead partner on the project. The lead partner will be responsible for all matters associated with the grant, including project application submission, project implementation, acceptance of grant, submission of claims, cash flow management, monitoring and verification visits and the retention of project documentation. The Offer of Grant will be made to the designated signatory of the lead partner.

Section 5: Contact Name AND Designation

This section should contain the name and designation of the individual who will deal with all project enquiries.

Section 6: Contact Address

Applicants should insert the full contact address of the individual identified in Section 5.

Section 7: Project Location

Applicants should insert the full address, including postcode of the location from which the project will be managed.

Sections 8 and 9: Project Start Dates and End Dates

Applicants should indicate in Sections 8 and 9 when the project is planned to start and end, i.e. the first and last days on which expenditure will be incurred. Projects may not normally start before an offer of grant is made.

Section 10: Project Expenditure Profile

The financial information in this Section is a summary of the more detailed information in Sections 16, 17 and 23.

The Total Cost of the Project should include all proposed project expenditure regardless of the purpose of the expenditure i.e. it should include the total of all "eligible" and "ineligible" costs (see note on Sections 16 and 17). Please check that the combined annual costs at Sections 16 and 17 correspond with the figures entered at Section 10a.

The Total Eligible Expenditure should include all project expenditure which is eligible for the calculation of Grant. Please check that the total eligible expenditure figures entered in this column match the figures given for the annual totals in Section 16 of the application form.

The figures given in the Eligible Co-Finance columns must reflect the information given in Section 23 of the application form, in accordance with the project cash-flow projection.

The Grant Requested is the balance of funding required to allow the project to proceed. This figure represents the Total Eligible Costs of the proposal less the eligible Co-Finance contribution to these costs.

Please check that the Total Grant Requested equals the figure you have entered in the Grant Request column at Section 23 of the application form.

The % Rate of Grant Requested will be the minimum intervention rate required to allow the project to proceed. It is a function of the Total Eligible Costs of the project and the Total Grant Requested { (Total Grant Requested ÷ Total Eligible Costs) x (100) }.

Total Eligible Co-Finance + Grant Requested must equal Total Eligible Costs.

Section 11: Project Summary

This summary will be utilised for media communication, both in the press and on the internet. This should read as a concise but meaningful stand-alone summary of the key aspects of the project. It should detail the actual project services, main benefits to businesses and outcomes that the Grant will pay for.

Section 12: Project Outputs, Results and Impacts

This Section should justify the project in terms of its positive Outputs and subsequent Results and Impacts. The key Indicators listed will provide much of the basis for project appraisal and monitoring and they should accurately reflect the outcomes expected of the project. Annex A provides definitions for the range of Activity Indicators shown. You should ensure you check the guidance before completing this part of the form.

Section 13: Project Description

Section 13a should provide a concise description of the key information contained elsewhere in the proposal. It should start with a comprehensive project summary defining the project; explaining how it meets the objectives of the SEEKIT Programme; what it seeks to achieve; how it will operate; how it will be delivered and to what timescale.

It should then go on to explain the project rationale, provide justification for the level of funding support requested, details of linkages to other support programmes and the main benefits which will result from the project.

Section 13b should be a full description of the activities to be undertaken by the project including activities related to ineligible expenditure. It should include information relating to the promotion and delivery of the project.

Section 13c should describe in detail how the project will be implemented. It should also highlight the degree of partnership involved in developing and implementing the project including reference to any in-kind support that may be included as part of the funding package.

Section 13d should describe how the project will help to meet the strategic objectives of the Programme. It should explain how effective knowledge exchange between industry and the science base will take place giving examples where possible. It is not sufficient just to say the project fits with the aims and objectives of the Programme.

Section 14: Programme Selection Criteria

Section 14 of the application form contains the core project selection criteria for the Programme. The key information contained here will be used to inform grant award decision making.

Section 14a Gross Additional Jobs should describe the extent to which the project will create gross new jobs including net jobs safeguarded. All jobs created by the project should be expressed as full-time equivalents ( FTEs).

Project proposals will be expected to answer the following questions:

• how many, and what types, of jobs will be directly created by the project?
• how many, and what types, of jobs will be safeguarded by the project? What would happen to these jobs if the project does not take place?
• is it expected that the project may create additional jobs as a multiplier effect? How many such jobs may be expected, and is there a reasoned and justified case for the multiplier used? Are some of the jobs temporary ( e.g. in construction)?
• what displacement of existing jobs may be caused by the project? Does this displacement include a similar multiplier to that used for the jobs to be created?

Effective Knowledge Exchange and not job creation is the main focus of the SEEKIT programme. However, many SEEKIT projects will create jobs and those that do will score higher than those that do not.

Section 14b Productive Knowledge Exchange this information will be used to determine how effective the project is in delivering competitive benefits to business.

In this Section, applicants should explain in detail how the project will deliver competitive benefits to business. You should describe the likely uptake of the knowledge and innovation services on offer and explain what improvement they can bring to the operating performance of the participating businesses. It would be helpful to explain the reasoning behind any assumptions made. Performance indicators could include the following as examples:

• quality improvements
• efficiency gains
• profitability
• growth rates
• sales performance
• investment in research or new product/ process development
• visionary leadership
• entrepreneurial culture
• commitment to innovation
• development of management skills
• ability to adapt to change
• environmental and social responsibility.

Some projects, in the first instance, may deliver only limited knowledge exchange results. However, some recognition will be given to such projects where they can show they will result in effective long-term business and Science Base links.

Section 14c Evidence of Demand the details provided here will be used to determine the quality, validity and robustness of market research and/or evidence of market failure provided as justification for intervention.

Indicators of demand may come from an existing track record of sales, throughput or successful delivery, whether in the same enterprise, or related activity elsewhere. Conventional market research may be supplemented by techniques such as scenario planning or other foresight methods. Support for the business case may be found in strategic or policy frameworks, including identified growth sectors or clusters, or more specific impact and feasibility studies. This can include government or independent research showing the need for service provision, partly to create the market demand.

The justification for project support may include adjusting to market deficiencies such as supply chain pressures, information deficiencies, and regulatory changes, any of which may indicate demand, now or forthcoming.

Project applications will be expected to show:

• what is the evidence of demand for the project? Is there market research and/or other independent research to support this evidence? All statistics must be up-to-date and relevant.
• if the project is for a new product or service, or extension of a product or service into new markets, what techniques have been used to justify that there will be a demand for it?
• whether wider strategic plans for the area support the case for the projected demand?
• what is the nature of the market failure which the project is designed to overcome and how this will occur?

Section 14d Strategic Integration information will be used to assess the extent to which the project can demonstrate direct linkages and coherence with other related activities and strategies - local, national and European - including Development Plans.

The contribution of individual projects can be greatly enhanced where they fit with other physically related or functionally complementary activities. This mutual enhancement can arise through complementarity, bringing together economic, social and environmental objectives, to secure the efficient and effective use of public funds. This may be achieved by conformity with public policy strategies (through which, over time, other actions should reinforce the project; and in turn, the implementation of projects strengthens the strategy), or by direct relationships to other projects.

Project proposals should explain:

• how will your project contribute to the Scottish Government's strategies?
• in what ways do they conform to national and European strategies?
• how does the proposed project integrate with, or complement other programmes including SEEKIT projects and what use will be made of existing networks?
• comment on how this project adds value to the activities of Interface, which is a central point of access for industry for information about the specialist skills that are available within our universities and Research Institutes.
• have the relevant partner bodies been consulted and what has been their response?
• in what ways is the proposal additional to, and different from, existing provision or earlier phases?
• overall, what added value is foreseen, arising from the relationship between the project and relevant strategies, both for the Programme and for the Partners' strategies?

Section 14e Durability and Feasibility information will be used to assess the extent to which the project can demonstrate the ability to become more self-sustaining over time. This is coupled with an assessment of the feasibility and risks of the project; its design and forecast targets and the capacity and track record of the delivery agent(s) to implement and sustain the project.

The programme seeks to support projects which will happen, will last, will deliver the planned outcomes, and will do so in many cases with increasing self-sufficiency. These requirements need long-term planning, realistic design and forecasting, and the capacity and commitment to deliver. The track record of the delivery agent(s) will be taken into account in this deliberation.

Project proposals need to assess:

• to what extent has project design and financing taken into consideration the need for longer term self-sufficiency?
• is financial assistance pump-priming a new kind of activity, or does it contribute to enhancing or augmenting already established activity?
• what financial control mechanisms and risk management or contingency planning will be in place?
• what exit strategies have been identified?
• in what ways will responsibility be taken on by others to maintain the project or consolidate its benefits; and how will expertise and understanding be transferred to project managers?

The delivery of outcomes:

• what assessment has been made of how realistic and achievable the forecast project outcomes are?
• what flexibility has been built in to adjust to changing market circumstances and technological developments?
• at what stage is it likely that outcomes will be delivered (including whether jobs created are short or long term)?

Section 14f Partnership and Leverage details will be used to assess the extent to which the project shows partnership between agencies reflected in their contributions of funds, expertise and other resources. Include information, if applicable, about what use has been made of the Knowledge Transfer Grant ( KTG) and how this project will build on this activity. Particular priority will be given to private sector contributions.

Projects are expected, where possible, to demonstrate a genuine partnership between agencies, with clear complementarity of roles and working arrangements in place to support all stages of the project. Some partners may have a particular role in initiating activity, or referring client businesses ( e.g. Interface) or entrepreneurs to the project; others may contribute more to exit strategies or aftercare. Applications should state:

• what partners will be involved in the management of the project and what roles will they undertake?
• that relevant organisations have been consulted in advance of project submission and are supportive of the project ( e.g. Scottish Enterprise, Highlands and Islands Enterprise, Interface, etc.);
• to what extent does the project bring together partner agencies and other projects and activities in order to bring about significant change and move towards national/regional transformation?
• who will be responsible for the continuation of this activity after the project comes to an end?
• how will the project make use of the expertise available within Interface?

Proposals must demonstrate that grant aid is essential for project implementation and/or show what additional impact would be enabled by Grant assistance. Contributions in funding and in-kind from the project delivery agency may be taken into account, but care should be taken that these do not jeopardise cash flow or financial robustness.

At the same time, projects should also show the extent of funding committed or levered from other sources. The sources and scale of funding can be informative: support from other economic development agencies may corroborate assessment of demand. Weight is attached to private sector contributions which may give an additional signal of market viability or potential.

Section 14g Value for Money ( VFM) information will be used to assess the cost v. benefit mix of the proposal.

Value for Money will be determined by comparing key quantified outputs and impacts against the overall project cost. This analysis will also take into account the non-quantifiable benefits of the project. This section gives applicants a chance to reinforce and build on the VFM information contained elsewhere in the application. Applicants should make use of this space to emphasise the economic/ business benefits that will arise from the public sector intervention. They should comment clearly and precisely on this cost to benefit mix.

Section 14h Rural SMEs the information in this section will be used to assess to what extent the project will help SMEs in remote locations access the Science Base.

SMEs in remote locations face particular challenges in accessing the facilities, knowledge and skills contained in the Scottish Science Base. Projects that seek to combat this constraint by targeting "rural" SMEs, will receive recognition for their effort. Project applicants should therefore use this section where appropriate to describe any such action.

Section 14i Environment will be used to assess how the project will help businesses reduce their environmental impact. Performance indicators could include the following:

• resource efficiency - improving the use of labour, energy, water and raw materials and increasing the application and use of renewable energy;
• environmental impact - ways in which the project contributes to the enhancement or protection of the environment and seeks to minimise negative impacts ( e.g. reduce waste and pollution, etc.).

Section 14j Project Management

Please provide information on past experience of operating projects of this nature and provide evidence which demonstrates the ability to achieve the targets (both hard and soft) outlined in the application.

• Explain how previous performance has informed the targets for this project and the capacity of the lead partner to run the project.
• Comment on your past experience of budget management. Provide evidence that financial targets have been met and claims submitted in a timely fashion on similar projects, within agreed budgets.

Demonstrate how use of best practise is incorporated into the methodology and delivery of the project. Examples could include previous project evaluations, survey work and feedback.

Section 15: Monitoring and Evaluation

This section of the application form should describe how the project will be monitored and evaluated to assess its performance against what is set out in the application form. This includes:

• A description of the financial management and control systems, including actions that will be in place to ensure risk identification and mitigation in implementing the project.
• A description of the procedures which will be put in place to assess progress against the project's features, objectives and targets which form part of the application. If, for example, the application states intentions to achieve a specified number of additional jobs, new products and processes, etc. then this section should set out the process by which the achievement of these will be measured and monitored.

Major projects in particular may involve specialist interim evaluations, including seeking information on outcomes from final recipients. Any such evaluations should contribute to the monitoring process. So too may published materials from projects, which not only give evidence of publicity, but also give supporting information about project activities planned or underway.

It is also recognised that projects may, for a variety of reasons, evolve over time. Early objectives may prove inappropriate and be replaced or supplemented by other objectives. Monitoring and reporting arrangements should be designed so that any such changes are recorded, justified and agreed with the Scottish Government through the monitoring process.

Section 16: Breakdown of Eligible Project Costs

Grant can only be paid against expenditure which is incurred and defrayed on approved project costs. Only project costs incurred after the agreed start date and before the agreed project end date are eligible for support. Information on the type of project costs that can be supported is given at Annex B. Applicants should read Annex B before completing this section of the application form.

Section 17: Breakdown of other Non-Eligible Project Costs

Applicants should provide a similar breakdown of all other expenditure on the project against which Grant funding is not being sought. The expenditure details provided in this Section allow for the calculation of Total Cost of Project (Section 10a) and also enable the Programme Manager to check that applicants have not unintentionally excluded any expenditure eligible for Grant.

Some of the costs which are not eligible for support are listed at Annex C.

Section 18: Public Procurement

All projects must comply with the European Directives on Public Procurement, which covers works, supplies and/or services contracts.

Copies of the Directives and associated UK implementing legislation can be obtained from the Stationery Office.

Contracts with total costs in excess of the EC thresholds must be advertised in the EC's Official Journal. Thresholds vary according to the type of contract and are revised biennially. It is recommended that applicants advertise in the Official Journal where there is any possibility of the total final cost of the works, services and/or supplies involved in the project exceeding the threshold.

Projects must not be artificially split into separate contracts such that the value of each contract is below the relevant threshold for advertising. For projects comprising several contracts, which when combined exceed the threshold, it is necessary to place an Advance Notice in the Official Journal.

Applicants are required to certify that public procurement directives have been met and, if required, submit a completed Public Procurement Questionnaire as soon as practicable after accepting an offer of grant. Failure to provide satisfactory information may result in a demand for the repayment of all or part of the grant.

Advice on EC procurement rules must, in the first instance, be sought from internal sources such as procurement specialists or legal advisers (either within the applicant's organisation or in associated or sponsoring bodies). If, in exceptional circumstances, an issue arises which cannot be resolved in house, the Procurement and Commercial Services Division of the Scottish Government may be able to offer advice or interpretation of the rules.

To obtain further advice, please refer to the Scottish Government Public Procurement Website at www.scotland.gov.uk/procurement

Section 19: Competition Policy/State Aids

Project applicants have a duty to ensure compliance with European State Aid rules. If the rules are breached, any grant already paid may have to be reclaimed. Unless assistance is being offered under the de minimis rule, project applicants should ensure that the State Aid approval is in place prior to making the SEEKIT grant application. It should be noted that projects will not receive formal approval until the State Aid position is considered and any necessary EC approval obtained.

For advice and further detailed guidance visit the Scottish Government State Aids Website at www.stateaidscotland.gov.uk

Section 20: The Environment

As a legal minimum, applicants are required to check whether the project is subject to any particular European, UK or Scottish legislation on environmental protection, and illustrate how the requirements have been satisfied. Environmental legislation is wide-ranging. In addition to setting the standards for quality of air and water and informing the Town and Country Planning framework, it covers among other aspects:

• environmental assessment against a range of criteria for larger projects;
• regulation of specific industrial processes;
• targets for re-use and recycling of specific products; and
• conservation of designated wildlife and cultural heritage sites and designated landscapes.

Advice and further information can be obtained from your local authority (planning and environmental health departments) and from local offices of SEPA and SNH.

Section 21: Equal Opportunities

The Scottish Government has a clear commitment to equal opportunities. This factor will be taken into account in application appraisal.

Section 22: Additionality

In Section 23, project applicants must demonstrate clearly why the project cannot proceed without assistance from the SEEKIT programme. In determining the need for grant, the principle of "gap funding" should be applied in all cases, i.e. the minimum grant necessary to enable the project to proceed once all other sources of funding have been taken into account.

The type of issues that should be taken into account include the following:

• acceleration of project implementation;
• enhancement of the scale and quality of the project; and
• private sector leverage and/or direct contribution.

Section 23: Breakdown of Financial Contributions to the Project

The information in this Section is needed to allow the Programme Executive to assess whether or not adequate project funding has been/or will be committed to meet the required project costs and therefore allow the project to proceed. Applicants should itemise all sources of financial support ensuring that their actual contributions to Total Project Costs and Eligible Project Costs ( i.e. exclusive of SEEKIT grant) are entered in the correct columns. This should show that there are sufficient funds available to allow it to proceed should it be approved for SEEKIT assistance.

Each column should be completed as follows:

Source of Co-Finance - Insert in this column the agency and/or source providing the co-finance, e.g.ERDF, etc.

Contribution to Total Project Costs - This should show each funding source's total contribution to the project, i.e. the total of the eligible and ineligible costs which that agency/source proposes to fund, net of the SEEKIT grant.

Contribution to Eligible Project Costs - Similar to above, this should show each funding agency's contribution to Eligible Project Costs net of the SEEKIT grant requested.

Finance Confirmed and Date of Confirmation - Where Co-Finance has been formally committed, the confirmation date should be entered into the appropriate column. A copy of the confirmation agreement, should accompany the application form. For sources of Co-Finance, which have not yet been confirmed, you should indicate the expected confirmation date.

As a basic financial check, applicants should ensure that:

Total Co-Finance + SEEKIT Grant Request = Total Cost of Project (10a).

Section 24: Freedom of Information

The Freedom of Information (Scotland Act) 2002 introduced important rights for all to access information held by Scottish public authorities - anyone asking for information will be entitled to receive it unless the information requested falls within an exempt category. And even where information falls within an exempt category, there may be a public interest in the information being disclosed.

Data Protection

The form contains information which is personal data for the purposes of the Data Protection Act 1998 and the Scottish Government will use the information for the following purposes:

1. Processing your application.

2. If your application is successful, we may publish Sections 1-12 of this information in hard copy or on the internet.

3. Data may be used for statistical performance, reporting and evaluation purposes.

Apart from 1-3 above, and subject to the surveys and evaluations paragraphs below, the information you provide it is unlikely to be disclosed to any other organisation for any purpose other than detecting or preventing fraud.

Surveys and evaluations

• Follow-up surveys and evaluations may be held during the lifetime of the programme. The selected projects may be asked to supply the Scottish Government or appointed sub-contractor with details about the project/course/ activity, including participants' names and addresses from which the Scottish Government or sub-contractor may select an appropriate sample.

Section 25: Applicant Declaration

This Section should be signed by an authorised signatory of the organisation applying for grant.

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