Bavaria offers a variety of financial support programmes, which are tuned to the specific interests. Depending on the branch and start-up status, there are custom-fit programmes which support the first essential steps of a start-up or the growth of a company.
Subsidies, that is non-repayable funds, are offered to various start-up target groups. The individual programmes are presented in detail, however this list is by no means conclusive. These programmes also particularly apply to foreign start-ups:
What is funded? Start-ups in the sector of digitisation with a particularly sustainable innovative business model
Who can receive funding? Companies established a maximum of two years prior. The company must be based in Bavaria.
What is funded? Services by external research and development institutions, e.g. planning, development and implementation of new products, production processes or services and/or significant improvements to existing products, production processes and services.
Who can receive funding? Small enterprises (fewer than 50 employees, annual sales or annual balance sheet up to a maximum of 10 million euros). The company must be based in Bavaria or must plan to establish a start-up in Bavaria.
How is funding provided?
What is funded?
Who can receive funding? Graduates and scientific employees of Bavarian higher education institutions. This also applies to foreign start-ups provided they belong to a Bavarian higher education institution.
What is funded?
Who can receive funding?
What is funded? Creation of an evaluable concept for the company foundation and/or execution of a development project.
Who can receive funding? Persons who intend to establish a technology-oriented commercial enterprise or technology-oriented enterprises that have existed for less than six years, have fewer than ten employees and satisfy the SME definition criteria. Also applies to foreign applicants.
Information on additional technology support programmes, which are not exclusive to start-ups only, can be found at the Bayerische Forschungs- und Innovationsagentur [Bavarian Research and Innovation Agency] via telephone at +49 800 0268724 or online.
State loan support programmes generally offer lower interest rates than normal bank financing, a longer time coverage as well as more favourable repayment terms. Depending on the individual situation of each start-up, the type of start-up project and the respective prerequisites and conditions of the individual programme, an appropriate programme can be selected.
In order to ensure that companies without adequate securities qualify for bank loans, a system of public risk relief options through, for example guarantees and liability exemptions exists in Bavaria. Applications for guarantees will always be made in accordance with the loan via your local bank.
For further information and offers see LfA Förderbank Bayern.
Particularly young, high-growth high-tech start-ups are financed by institutional investors or informal investors such as Business Angels. The provision of venture capital, unlike bank lending, does not depend on the start-up’s or its owner’s guarantees but is solely based on the estimated earnings prospects of the start-up to be financed.
What is funded? Venture capital for young, promising technology enterprises; provision of the required seed capital with a combination of open investment and loans
Who can receive funding? Young, technology-oriented start-ups
What is funded? Customised, transparent offers on equity capital financing via the ERP Start-up Fund, among others.
Who can receive funding? Start-ups, technology-oriented enterprises and established small and medium-sized businesses
Business Angels play an increasingly important role for young, innovative start-ups in the capital markets. Private investors do not only provide capital but also solid support with their expertise, experience and networks. Many Business Angels have successfully set up their own company or established several other businesses.
For start-ups, it is relatively difficult to identify and address suitable Business Angels. For this reason, BayStartUP puts them in direct contact with the financing network. The Bavarian financing network, in Germany, is one of the largest of its kind with about 200 Business Angels and approximately 100 institutional investors. By means of direct matching and events, start-ups and suitable investors are brought into contact.