B Light Scheme in the Hungary–Croatia Cross-Border Cooperation Programme

The B Light Scheme was first implemented within the Interreg Hungary–Croatia Cross-Border Cooperation Programme to provide small and medium-sized enterprises (SMEs) with a simplified framework for cross-border collaboration. It allowed companies from both countries to engage in joint projects with clear objectives, manageable budgets, and shorter timelines compared to traditional Interreg projects.

Programme Background

The Interreg Hungary–Croatia programme aims to enhance economic, social, and territorial cohesion along the shared border. While standard Interreg projects targeted public institutions and large consortia, the B Light Scheme was specifically designed for SMEs, recognizing that small companies often face barriers in accessing EU funding.

Who Can Participate

Eligible participants include:

• Micro, small, and medium-sized enterprises (SMEs) registered in Hungary or Croatia within the programme area
• SMEs forming cross-border partnerships with at least one partner on each side of the border
• Applicants able to demonstrate practical business cooperation objectives

Lead partners are usually SMEs themselves or, in some cases, a coordinating intermediary that facilitates the project. The focus is on practical results and cross-border synergy.

Objectives of the B Light Scheme

The main goals of the Hungary–Croatia B Light Scheme include:

• Encouraging cross-border SME cooperation
• Supporting the development of joint products, services, or processes
• Promoting access to foreign markets for participating SMEs
• Fostering innovation and knowledge exchange between partners

Funding and Budget

The B Light Scheme provides financial support covering a significant portion of eligible project costs. Typical features include:

• Grant rates up to 75% of eligible costs
• Project budgets that are smaller than standard Interreg projects, making them manageable for SMEs
• Mandatory co-financing by participating SMEs to ensure commitment and financial responsibility

Eligible costs usually cover operational activities such as product development, market research, promotion, and cross-border collaboration expenses. Investments in large infrastructure are generally excluded.

Application Process

The application process is designed to be straightforward and accessible:

• Applications are submitted online through the official platform
• Forms focus on business logic, project objectives, and expected cross-border benefits
• Budgets follow predefined cost categories for clarity and consistency
• Evaluation prioritizes feasibility, cross-border impact, and practical business outcomes

Applicants are encouraged to carefully define roles and responsibilities, plan realistic objectives, and align project activities with programme goals.

State Aid Considerations

B Light projects must comply with EU state aid regulations. Most projects are implemented under the de minimis rule or the General Block Exemption Regulation (GBER). SMEs should take care to accurately declare previous aid received, as misreporting can impact eligibility.

Examples of Supported Projects

Typical projects funded under the Hungary–Croatia B Light Scheme include:

• Two SMEs from each country jointly developing a new cross-border product line
• Collaborative market research and joint promotion campaigns
• Testing innovative processes or technologies in both markets

Projects generally last between six months and one year, focusing on tangible, business-oriented outcomes.

Impact and Lessons Learned

The B Light Scheme has demonstrated that simplified, SME-focused funding can successfully foster cross-border cooperation. Lessons learned include:

• Clear communication and defined roles between partners are critical
• Realistic planning within available budgets ensures higher success rates
• Understanding eligibility criteria early reduces delays and application errors
• Smaller, focused projects often generate measurable results faster than complex multi-partner initiatives

The experience gained through the Hungary–Croatia B Light Scheme has influenced the design of subsequent SME light grant programmes in other Interreg regions.