2020 has inaugurated a decade that will go down in the history books like the one that faced us with a global pandemic that we did not expect and that has put us to the test and has made us recycle and rethink ourselves: companies recycling their production cycles to help stop it, learning how to turn car parts into respirators; citizens rethinking how we relate, with 2 meters in the middle and the mask always on; the rise in demand for surprising products to which we did not devote our attention before, such as toilet paper or baker’s yeast.
The COVID-19 crisis took all economic sectors by surprise, but it has especially revealed the gap in R&D and innovation, a sector of utmost importance for Spain and a distinctive that translates into a greater economic growth and social welfare. A few days ago, the Cotec Foundation for Innovation published its annual report . Spain recovers investment levels prior to the 2008 crisis, with 883 million euros more invested than in the previous period analyzed (2017), with a stellar performance by the private contribution, which increases its investment by 9.3 % in this period.
Investment in R&D with respect to the GDP of the autonomous communities, according to the same report, maintains heterogeneous levels of effort, with five autonomous communities (Basque Country (1.96%), the Community of Madrid (1.71%) , Navarra (1.68%) and Catalonia (1.52%) topping the list with a level of investment above the average for Spain (1.24%). The trend in other territories, however, is on the rise. Thus, according to the study prepared by CEOE a few weeks ago, the 17 Spanish communities have begun to strengthen their public entities to boost innovation activities in their territories.
In this context, it is evident that the functioning of the ecosystem needs to continue growing. Investing in science, technology and innovation, one of the fundamental pillars on which it must be based, must be collaboration: both international, to close the gaps with neighboring EU economies; as a national, fostering strong ties between the public and private sectors of Spanish society . In this sense, Spain has a portfolio of instruments with the ability to revitalize investment in the innovative ecosystem in all sectors. Among them, the tax structuring of R & D & i stands out , a tool that allows attracting private financial resources and directing them towards new projects as the Kaudal company does.
Kaudal, leader in identifying ideas and turning them into R&D structuring projects in Spain, analyzed in his report the impact of fiscal structuring on private investment in R&D presented just a few weeks before March 12 . Thus, private investment is presented as one of the key pillars to recover economic activity and social welfare in our country. The ultimate goal of the R & D & i fiscal structuring instrument is to attract private investment to the ecosystem , key for it to continue growing. According to Kaudal’s analysis, the tool has numerous positive systemic effects : it drives large-scale projects , increases theknowledge transfer to the market and it has a moderate cost for the Public Treasury . In addition, it promotes conscious investment committed to not only economic but also social progress, contributing constructively to the country’s growth.
The analysis especially highlights the ability of the tax structure to attract new investment and thus motivate the economy of Spain and the autonomous communities . According to its results, for every euro invested by the Public Administration in R & D & i, the tax structure generates 1.75 ?? of private investment, of which 0.75 ?? they are a new investment.
Continuing to drive the development of R&D and innovation will be one of the pillars for achieving a solid and sustainable economic recovery over time.
Kaudal, the impulse of innovative companies
Kaudal seeks R&D projects from Spanish companies to finance them through the Technological Patronage instrument. This financing method does not imply entry into the company’s capital and projects from small, medium or large companies and from all sectors of activity are eligible. Kaudal’s objective is to boost a volume of projects worth 100 million euros before the end of the year, supporting the recovery of technological and industrial companies in the difficult post-COVID-19 era that awaits them.