Transcript
Page 1: Public Funding for Startups

www.foerderbar.de

Public Funding for Startups

Michael Schulte

Senior Consultant förderbar GmbH

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www.foerderbar.de 3

Public funding experts for IT, Internet and Industry 4.0

Team of experienced Senior Consultants

Office in Berlin, working with public funding programmes anywhere in Germany

Full service approach: Our clients have no time to deal with public funding

förderbar – Public Funding Consultancy

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www.foerderbar.de 4

Success

Success rate100%

Winning around 15,000,000 € annually

for our clients

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References

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All programmes support projects, not companies

Individual projects and projects for cooperation

Programmes don‘t usually fund 100% of the costs – company has to invest its own money in the project

Costs of the company that are not included in the project

Project Funding

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Public funding is for those who have already acquired some financing

Leverage of VC

Example: Financing of a Company

750,000€600,000 €

50,000 € 30,000 €

VC

R&D funding

Revenues

Founders' Money

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Pre-Seed

Exist

Pro FIT-Frühphase (Berlin)

R&D

IBB Pro FIT (Berlin)

FuE Brandenburg, FuE Sachsen

ZIM (Federal Ministry of Economics and Technology)

Staffing/Employment

Innovationsassistent (in many Federal States available)

Overview of Some Relevant Programmes

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Pre-seed programme for new technology companies without access to VC financing

Pro FIT Frühphase

• Preparation for an R&D project

• 50% grant• 50% loan• Max. 200k €• Angel investment

Early Stage 1 Early Stage 2 Growth

• Company infrastructure

• 100% loan• Max. 500k €

• VC financing

R&D project (“Anchor” project)• Usually Pro FIT R&D project• Anchor project is a condition for Frühphase!

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R&D Programme Pro FIT of Investitionsbank Berlin

R&D Programme Pro FIT

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SME with business premises in Berlin

Development of new technologies for a new or an existing product

Project based on work done by permanent employees of the company, plus additional costs

Pro FIT finances three stages of the innovation process

Research

Development

Setup of production, market introduction

General Conditions

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Grants

Subsidised loans

Conditions Grants: Research, up to 400,000 EUR, up to 70 %

of the costs Loans: Development and market introduction, up

to 3m EUR, up to 80 % Lent term up to 8 years

Types of funding

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Amount of securities for Pro FIT loans

Depends on the amount of the loan Significant shareholders provide securities

No securities

Financial investors Shareholders who hold less than 10% per

person or less than 25% of the shares altogether

Investments reduce the need for securities

Securities

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Time Frame for Pro FIT Application

Prepare documents

Submit documents

Project outline phase

Meeting with technical expert

Application phase

Decision grant committee

First tranches

Apr MayOctSep Nov Dec Jan Feb Mar

First feedback

Final decision

Recommendation to submit application

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Programme Innovationsassistent

of Investitionsbank Berlin

Innovation Assistant

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Hire a person who graduated from university less than 2 years ago

Permanent contract or min. 24 months or permanent

Project

IBB gives a grant for the first-year salary

Max. 20,000 EUR Max. 50%

Do not sign contract before submitting the application

Innovation Assistant

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Vielen Dank für Ihre Aufmerksamkeit!

Michael SchulteSenior Consultant

förderbar GmbHDie FördermittelmanufakturPascalstraße 10, 10587 Berlin

Telefon: +49 30 726 13 23 26Telefax: +49 30 726 13 23 23Mobil: +49 172 620 58 51

[email protected]

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Example: Pro FIT Project

Costs

Project-related

expenses

Not project related

expenses

Salaries of permanent employees

Example costs

Capital the company

needs until break even

80 % of project

20 % of project

Pro FIT loan

Pro FIT grant

Seed investor

Financing

Revenues

Management

External costs

Market introduction


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