Source: 11.07.2022 | WM | Ministry of Economy, Infrastructure, Tourism and Labour
The Ministry of Economic Affairs has launched a new guideline for the promotion of innovative start-ups through a living allowance - the so-called start-up grant. "Start-ups based on innovative products or services are often more risky than conventional business areas. The grant supports founders of innovative start-ups in the fields of engineering, natural sciences and the creative industries. Specifically, this involves a grant towards living expenses that does not have to be repaid. Banks and private lenders are sometimes reluctant to support young companies. This is where the start-up grant comes in to make it easier to get started. We need more sustainable and innovative start-ups in the state," said Reinhard Meyer, Minister for Economic Affairs, Infrastructure, Tourism and Labour, on Monday. The directive was published in the Official Gazette on Monday (11 July). It comes into force on the day after publication and runs until 31 December 2023.
New: Parental leave is taken into account
The allowance is granted as a fixed amount in the form of a personalised grant as a non-repayable subsidy of €1,200 per month plus a monthly allowance per dependent child. "For the first time, the funding instrument takes into account the possibility of taking parental leave. The payment of the monthly start-up grant is suspended for the entire duration of parental leave," Meyer continued. Following parental leave, an extended remaining term can be granted with the aim of exhausting the 18-month authorisation period. The funds for the start-up grants come from the ESF Plus programme for the EU funding period 2021 to 2027, with a programme volume of two million euros from the European Social Fund (ESF).
Entry requirements for start-up grant improved
Furthermore, in future there will be the possibility of granting a start-up grant for students who are willing to set up a business while taking a semester off. Start-up projects with a high degree of innovation can be funded. The start-up grant is paid from the time of the start-up and for the months in which the founder is fully available for the start-up project. If the founder does not resume their studies after the start-up has been completed, the start-up grant can be awarded for a maximum period of 18 months. The participation of the founder in events on the topic of start-ups and start-up teaching at the respective university during the semester of leave remains unaffected.
Information on the application process
The prerequisite for participation in the programme is that a project idea is submitted. An expert jury consisting of a representative of the responsible ministry, the GSA - Gesellschaft für Struktur- und Arbeitsmarktentwicklung mbH (approval authority) and the Technologie- Beratungs-Institut GmbH will vote on the eligibility of the submitted project idea. A formal application can then be submitted to the GSA, Schulstraße 1-3, 19055 Schwerin using the form provided. The application forms are made available by the granting authority on its website at www.gsa-schwerin.de.
Applications can be submitted in the context of setting up a business or within 12 months of setting up a business. The programme is aimed at natural persons who have their main residence and future place of business in Mecklenburg-Vorpommern. The business start-up must be an economically viable full-time business. The main business basis must be innovative products or services. The innovative nature of the business must be confirmed by an expert opinion from a university or other suitable institution.
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