Frequently Asked Questions
Q. How much money does the DTI/DIUS spend on the NMS?
A. During 2001 to 2004, DTI will spend approximately £60 million per annum on NMS science & technology (S&T) programmes and the infrastructure to support them.
Q. So, exactly, who can participate in NMS projects?
A. Companies of all sizes and research organisations throughout the UK can participate in NMS projects. High-tech small and medium size enterprises (SMEs) are particularly encouraged to get involved, either as an individual organisation or through collaboration with others – either way they could participate in two forms: organisations from whom the Department can procure research and development projects and those who can adopt and exploit the outputs of the NMS programmes.
Q. What is meant by Collaboration?
A. Collaboration is a way for SME’s (or larger organisations) to contribute to the delivery of a project that requires a range of skills or resources beyond the capabilities held by a single organisation. An organisation may find that it has facilities or skills or [previously unpublished] key-data that would benefit the delivery of a project but lacks other capabilities vital to its overall delivery. The Department welcomes, and encourages, such partnering.
Typically such input would be via a Joint Industry Project (JIP), i.e. an industrially co-funded project of short duration, which focuses on companies' needs, however collaboration is also welcomed, and encouraged, as part of the delivery of mainstream S&T programmes.
To find out more about opportunities within forthcoming S&T Programmes, click here
Q. Is money set aside for specific organisations?
A. Yes, money is set aside for specific business or research organisations and is allocated to the different NMS S&T programmes. In practice, much of the activity within these programmes will require unique facilities or skills and the prime contractors for the NMS (National Physical Laboratory (NPL), LGC (formerly the Laboratory of the Government Chemist) and NEL (formerly the National Engineering Laboratory) would be the only credible suppliers. Currently, around 70% of NMS programme expenditure is at NPL, 10% is at LGC and 7% is at NEL.
Q. So, if I have a measurement problem, who can I contact?
There are a number of organisations that can help you. Refer the Individual Programmes to identify your measurement issue and follow the links to the programme contractors, who will be able to help you.
Q. What does DIUS recognise as a Small and Medium sized Enterprise (SME)?
A. There is no single definition of a small firm, mainly because of the wide diversity of businesses, however as general guidance DIUS tends to acknowledge the following set of criteria as being indicative of SME status:
- An independent trading organisation, with
- no parent company, with
- turn-over of less than £11.2m per annum, and with
- less than 250 employees.
The best description of the key characteristics of a small firm remains that used by the Bolton Committee in its 1971 Report on Small Firms. This stated that a small firm is an independent business, managed by its owner or part-owners and having a small market share.
The Bolton Report also adopted a number of different statistical definitions. It recognised that size is relevant to sector - i.e. a firm of a given size could be small in relation to one sector where the market is large and there are many competitors; whereas a firm of similar proportions could be considered large in another sector with fewer players and/or generally smaller firms within it.
Similarly, it recognised that it may be more appropriate to define size by the number of employees in some sectors but more appropriate to use turnover in others. Across Government, it is most usual to measure size according to numbers of full-time employees or their equivalent.
Section 248 of the Companies Act of 1985 states that a company is "small" if it satisfies at least two of the following criteria:
- a turnover of not more than £2.8 million;
- a balance sheet total of not more than £1.4 million;
- not more than 50 employees
A medium sized company must satisfy at least two of the following criteria:
- a turnover of not more than £11.2 million;
- a balance sheet total of not more than £5.6 million;
- not more than 250 employees
For statistical purposes DIUS usually uses the following definitions:
- micro firm: 0 - 9 employees
- small firm: 0 - 49 employees (includes micro)
- medium firm: 50 - 249 employees
- large firm: over 250 employees
However, in practice, schemes which are nominally targeted at small firms adopt a variety of working definitions depending on their particular objectives.
In February 1996, the European Commission adopted a communication setting out a single definition of SMEs.
The Commission will apply this across Community programmes and proposals. The communication also includes a (non-binding) recommendation to Member States, the European Investment Bank and the European Investment Fund encouraging them to adopt the same definitions for their programmes. The communication permits them to use lower threshold figures, if desired.
The communication explains that existing SME definitions in Community programmes may continue to be used until 31 December 1997. After that date, the single definition must be used. The single definition must be used if programmes are modified in the meantime.