So you succeed
Application for a start-up grant
Applying for the start-up grant
There are 2 phases of the start-up grant. The applications and processes behind them differ accordingly. With our expertise in both phases, we can support you in completing the applications.
Are you determined to start your own business, but feel overwhelmed by all the processes, details and documents?
Application for phase 1 - The start-up grant (GZ)
During these 6 months, the founder receives the start-up subsidy in the amount of the unemployment benefit (ALG) 1 received to date as well as a € 300 social insurance subsidy.
You can apply for phase 1 if the following conditions are met:
- Receipt of ALG 1 (at least 1 day)
- At least 150 days remaining entitlement to ALG 1 at the time of the main business start-up (business registration or tax office registration)
- Note: Remaining entitlements are used up when the start-up grant is received
- No blocking periods (foundation during the blocking period is possible, but the subsidy is only paid after the blocking period has expired)
- No funding if a business start-up has already been funded with a start-up grant in the last 2 years
- Funding is independent of the legal form, but in the case of several founders there must be an equal partnership and entrepreneurial risk
- Existence of necessity (comparison of profitability planning, therefore note start-up time in the profits!)
The following documents must then be submitted for the application itself:
- Business plan with profitability forecast, sales and cost planning
- Curriculum vitae and certificates (professional aptitude)
- Capital requirement and financing plan, if applicable
- Reasons for the last business closure, if applicable
- Fachkundige Stellungnahme
- Business registration or tax office registration
- Justification of the need for the start-up grant (supplementary sheet to the application)
- If applicable, certificate of participation in a business start-up seminar or preparatory course
- Shareholders’ agreement
- Craftsman role
- New application, new requirements
In addition, the following formal requirements must be met:
- Form-free request of the application
- Carrying out the target activity as the main occupation
- Proof of the expected success
All documents should ideally be compiled in a kind of “application folder” with a table of contents and outline and submitted in writing to the relevant employment office (gatekeeper or post box). You can also send the documents by post, but it is safer to hand them in on site. Digital submission is now also permitted.
The processing time (until a decision is made as to whether the application is approved or rejected) is usually 4 to 6 weeks.
Application for phase 2 of the start-up subsidy - extension of the social insurance subsidy
This application is aimed at the continued approval of the social security allowance for a further 9 months.
The following conditions must be met for the application for phase 2:
- Separate application (issued by clerk)
- Written report on previous entrepreneurial activities
- Outlook for business development in the coming months
- Overview of income and expenditure (e.g. income statement or monthly business analyses, so-called BWAs, from the tax consultant for the first 6 months, i.e. 2 quarters), incoming orders or efforts to obtain orders
Over the years, a paper based on a business plan has established itself as an effective and successful means of addressing the points mentioned above and summarizing and preparing them in a meaningful way with informative graphics and tables, including a text section.
(You can find out how to create this with our help by talking to us)
With regard to deadlines for submitting applications for phase 2, it is important to know that the application can be submitted at the earliest after 4 months and at the latest 3 months after the end of phase 1. (Specific limitation periods are not known, so that the general limitation period of 4 years according to § 45 para. 1 SGB I may apply).
The application for phase 2 should also be submitted to the office in writing.