INVEST program for startup funding extended
Since May 2013, the German Federal Ministry of Economics and Climate Protection (BMWK) has been supporting private individuals with tax-free grants for their investments in startups under the "INVEST - Grant for Venture Capital" program. The funding guidelines for the INVEST program are now being extended for a further four years until December 31, 2026. Investments by business angels in young innovative companies will thus continue to be subsidized.
Improved conditions for business angels
In the new funding guidelines, the BMWK has taken up the optimization suggestions from last year's evaluation and adapted the funding conditions so that in future there will be a stronger focus on mobilizing so-called virgin angels, i.e. business angels investing for the first time.
The restrictions made to the INVEST funding conditions on March 1, 2022, due to budgetary constraints, will now be partially scaled back. For example, convertible loans will once again be treated in the same way as direct share acquisitions, and the acquisition subsidy will be 25% in both cases in the future. The minimum investment amount will also be reduced again from 25,000 euros to 10,000 euros. The maximum amount that can be subsidized is 200,000 euros. In accordance with the recommendations of the evaluation, follow-up investments are still not eligible for INVEST funding. Further information on the conditions can be found here.
