A project begins with an idea. The applicant should have a clear understanding of what he wants to do, for what reason, who it is aimed at and how will the project be implemented. The next stage is finding the suitable fund, i.e. from what sources can money be asked for the planned activities.
 
Before compilation of a project application the applicant has to identify whether the activity or activities for which he would like to ask for funds is in compliance with the terms and conditions of the specific open call. It is important to specify the target group and to assess the possible result achieved. The goal of the project must comply with the terms and conditions established by the financier.
 
While applying for money from the funds of the EU it is important to keep in mind that money is given only on the condition that those requesting it contribute money to the implementation of the project themselves. The applicant’s own financial contribution or the self-financing portion is compulsory if support is requested from the Structural Funds of the European Union. The required rate of self-financing as to the total cost of the project is between 10-80% of the total cost of the project, depending on whether the applicant is a non-profit association, local authority or a company and on whether it is a profitable or social project. The self-financing is calculated based on the eligible expenditure.
 
Another important principle is the so-called follow-up financing or the compensation principle, according to which the support granted by the European Union is distributed only after the project costs have been incurred. Support is paid on the basis of the invoices and reports submitted by the applicant.

In the project application process it is possible to use the assistance of regional development centres. The basic services of the development centres include free counselling services to companies, local authorities, non-profit associations and foundations. For further information about development centres see the website of Enterprise Estonia at www.mak.eas.ee.

Upon preparation of an application and implementation of project ideas it is possible to use the assistance of private consultants and consultation firms. Enterprise Estonia has drawn up a database of private consultants, which can be accessed here.

For further information about writing and managing a project see the Handbook of International Project Management.