4 ways the EU can support cross-border expansion

The EU provides a considerable degree of money for businesses across a broad range of funding programmes. Much of this is targeted specifically at SMBs – in 2023, the EU said it planned to spend over €200 billion on them under various funding programmes running until 2027.³

Some examples of funding that are particularly relevant to SMBs include:

• Improving access to finance and markets through the single market programme.
• Research funding through the Horizon Europe programme.
• Agricultural sector funding through the Common Agricultural Policy.
• Improving competitiveness (such as through training) via the European Social Fund Plus.
• Funding to help businesses protect their intellectual property rights, through the SME Fund.⁴

The EU also helps with financing in a variety of ways. The European Investment Bank Group, for example, provided around €16.2bn in financing for SMBs in 2024⁵, while support for entrepreneurs and businesses is available through a wide range of programmes delivered by local financial institutions and accessible though the Access to EU Finance portal.

The funding programmes provided by the EU are numerous and varied, and can contain many separate initiatives within them. Doing your research thoroughly is key. Details for many of the programmes listed here – and more – can be found on the EU’s funding opportunities for small businesses page.

The Enterprise Europe Network (EEN) is described by the EU as “the world’s largest support network for small and medium-sized enterprises with international ambitions”.

It brings together member organisations such as chambers of commerce & industry, regional development organisations, innovation agencies, and universities and research institutes, with teams of experts across key economic sectors able to offer a personalised service to businesses.

Some of the main ways the EEN can help businesses to grow internationally and increase their exports include:

• Helping to identify sources of finance and partnering opportunities, and advice on navigating single market legislation and policies.
• Supporting businesses to enter new markets and take innovative ideas to international commercial success.
• Guiding companies as they become more sustainable, build resilience and integrate digital solutions.

The EEN says that, on a daily basis, 885 small companies get help to innovate and grow internationally, 112 enterprises benefit from in-depth tailored advice, 525 companies receive specialised guidance and training sessions, and five sign partnership agreements. If you want to explore how it could help your business, visit the EEN website.

Clusters are groups of businesses and associated institutions located near to each other and operating in related activities. The idea is that, by working together, businesses within clusters can be more innovative, more productive, create more jobs and attract more investment.

There are over 1,500 clusters in the EU, accounting for almost 25% of total employment, and the EU has many policies aimed at supporting them. These include:

• European Cluster Partnerships:
  Launched to encourage partnerships between clusters to further the interests of their SMB members. The partnerships cover four areas – Innovation, International, Excellence, and Smart Specialisation.
  
  
• European Cluster Collaboration Programme:
  An online hub that is the largest information centre for EU industry clusters and offers services such as matchmaking events and knowledge exchange.

If you’re operating within a cluster (or would like to know more about them) you can learn more about the policies and programmes that could support your business by visiting this European Commission webpage.

The EU has over 70 trade agreements in place globally, and they cover nearly two-fifths of EU trade with other countries.⁶

These agreements provide a range of benefits for SMBs, including reduced tariffs and faster customs procedures. And all new trade agreements will feature a specific SMB Chapter (if the partner country agrees) that should help improve collaboration when addressing issues related to smaller businesses.

Yet despite the benefits of EU trade agreements, it’s clear that there’s further to go to truly maximise their potential. Figures show that only 5% of EU SMBs export to countries outside of the EU.⁷

To fully realise the export potential that trade agreements can deliver, it’s essential to understand what’s on offer and how to make the most of it. The EU’s Access2Markets website can provide more details, including how trade agreements are structured and where to find the information you’re looking for in them, details of trade agreements and arrangements with individual countries, and the specific requirements for your goods in your chosen export market.