SOURCE-VERIFIED · Decision brief · 7 August 2026 · verified against official EU sources

Cascade Funding (FSTP): €60–100k Without a Full Horizon Proposal

Editorial update: 5 September 2026 — accessibility and copy. This does not renew factual verification; the earlier source-check dates below remain applicable. Free bulletins: twice a week. Mise à jour éditoriale : 5 septembre 2026 ; elle ne renouvelle pas la vérification factuelle. Bulletins gratuits : deux fois par semaine.

Most founders assume EU money means a 40-page Horizon proposal. Cascade funding — officially Financial Support to Third Parties (FSTP) — is the shortcut: large EU projects receive a budget window and run their own open calls with light application forms and fixed lump sums.

What FSTP actually is

The European Commission's official guidance defines FSTP as EU grants that include a budget window which the beneficiaries use to publish calls for recipients downstream, in cascade mode. In plain terms:

1. A big project (consortium) wins an EU grant that includes an FSTP budget line.
2. The consortium opens one or several sub-calls addressed to third parties — usually SMEs, startups, universities.
3. Selected third parties receive a fixed lump sum to run their own mini-project, with simplified reporting.

Source: Good practices for implementing FSTP in EU grants (European Commission).

How much, in practice

Typical FSTP sub-grants are fixed lump sums between €50,000 and €100,000 per project. Two verified examples:

Why founders like it

• Light paperwork — a few pages and a pitch, not a full proposal.
• Fast decisions — consortia run short evaluation cycles.
• No equity — it is a grant, unlike EIC equity instruments.
• Lower competition — less visible than flagship calls, so fewer applications.

The honest limits

• Small amounts — €60–100k funds a pilot, not a scale-up round.
• Narrow scope — each sub-call targets a specific theme (mobility, water, digital…); fit matters.
• Consortium rules — you apply to the consortium's call, under their eligibility criteria.
• Not always easier — popular sub-calls can still be competitive; read the call text before investing time.

Where to find open FSTP calls

The official search: EU Funding & Tenders Portal — filter “Financial Support to Third Parties (cascade funding)”. EIT Knowledge Communities (EIT Urban Mobility, EIT Digital, EIT Manufacturing…) publish most of the SME-facing sub-calls.

We track cascade-funding calls in the verified base too — including RAPTOR 2026 with its verified figures, deadlines and official source.