Proof-of-concept Funding: Conditions SMEs
Last checked on: 29 April 2026
Are you currently researching business concepts, assessing which market is suitable for your product and developing the appropriate licences? We refer to this phase as the innovation phase for existing SMEs. You may then be eligible for Proof-of-concept Funding.
Proof-of-concept Funding is intended to ensure that an idea progresses from the planning phase to the startup phase.
If you submit an application and it is approved, you will receive a loan for an innovation phase project.
Conditions
To be eligible for a loan, you must meet the following conditions:
- The innovation phase project involves experimental development as defined in international treaties. This concerns: the acquisition, combination, shaping and use of existing scientific, technical, business and other relevant knowledge and skills for plans, schemes or designs of new, modified or improved products, processes or services.
- You have not started implementing the innovation phase project prior to the date of application.
- You have not yet received any grant for the innovation phase project.
- You must be able to complete the innovation phase project within two years.
- You must use your own financial resources as much as possible. You may only apply for Proof-of-concept Funding for the part for which you do not have the resources yourself or have been unable to obtain them elsewhere.
- You must have a letter of intent from an investor willing to finance the remainder of your innovation phase project, subject to the validation of certain conditions. This must be for at least the same amount that you are requesting from the government.
Other conditions
For small and medium-sized SME entrepreneurs the following conditions also apply:
Small SME entrepreneurs
You can receive a loan for 45% of the costs if your:
- SME employs fewer than 50 staff;
- annual turnover or annual balance sheet total does not exceed €10 million;
- costs amount to a minimum of €110,000 and a maximum of €450,000.
Medium-sized SMEs
You can receive a loan covering 35% of the costs if your:
- SME employs fewer than 250 staff;
- annual turnover is no more than €50 million or the annual balance sheet total is no more than €43 million;
- costs amount to a minimum of €142,000 and a maximum of €450,000.
- Ministry of Economic Affairs
