Last year, the Dutch Ministry of Defence, in collaboration with the Ministry of Economic Affairs and the Regional Development Companies, announced a new investment fund — the SecFund (Security Fund) with a fund capital of €100M.
The SecFund is now live and aims to provide Dutch startups, scale-ups, and SMEs (small and medium-sized enterprises) that are developing technologies for civil and defence applications with a new funding opportunity.
“To give our people the best stuff, we need the most innovative people and companies in the Netherlands. The SecFund gives a big push to startups and scale-ups to quickly bring their innovations into production and thus get them to our warfighters. Essential for our security,” says State Secretary of Defence, Gijs Tuinman.
Investing in dual-use technologies
The SecFund follows the current European Investment Bank (EIB) guideline for investing in dual-use technology:
“Investing in a safe and secure Europe by supporting dual-use products, services, and technologies that benefit both civilian purposes and law enforcement or military applications, with a clear market opportunity.”
The fund is implemented by the nine Regional Development Companies (ROMs) and managed by the Brabant Development Company (BOM).
The need for SecFund
Companies that supply the defence sector often encounter significant challenges in securing financing, as investors remain hesitant despite a high demand for capital.
SecFund aims to bridge this funding gap, thereby enhancing national security, boosting innovative capabilities, and promoting economic growth.
SecFund specifically targets innovative Dutch companies, which include firms focused on advanced communication technologies, such as LiFi—an innovative and secure data transmission method—and new generations of radio technology.
Companies can apply for funding of up to €5M, with opportunities for additional investments depending on progress and interest from Defence as a potential buyer.
In addition to funding, SecFund also offers access to a broad network of experts and partners.
Since SecFund was announced in October 2024, more than seventy companies have shown interest.
Tective Robotics receives first investment
The fund has made its first investment in a defence sector company, Tective Robotics, a Delft-based drone manufacturer.
For defence, their application maps border areas or critical infrastructure. For the civil sector, such as agriculture, the company can detect weeds and viral diseases.
Eligibility criteria
To be eligible for funding, the following criteria apply:
Your company is a startup, scale-up or (innovative) SME
Your company is developing an innovative dual-use technology
Your company’s headquarters are both legally and physically located in the Netherlands
The investment requirement from the SecFund is a maximum of 5 million euros
Your company has no relationship with so-called ‘risk countries’. Co-investors, subsidiaries, founders, shareholders, directors or employees, interns, self-employed persons or seconded persons are not involved in criminal activities and are not part of a terrorist organisation or and do not appear at the top of the sanctions lists.
After registration, the application will be assessed by the fund management in collaboration with Defence and the ROMs involved.
You can click here to check out more information.
