If you want to start a business while unemployed , you have the option of applying for a start-up grant. This grant supports you financially so that you don’t have to worry about your livelihood when you start your business. The big advantage is that you don’t have to pay the grant back.
However, the employment agency checks strictly whether a grant is approved or not. In this article, we will therefore show you what requirements you must meet, how you can apply for a start-up grant and what you should pay particular attention to when submitting your application.
Who is entitled to a start-up grant?
You can only apply for a start-up grant if you are currently unemployed and you are still entitled to unemployment benefits for at least 150 days when you start your own business. You must also end your unemployment by starting your own business.
What is the start-up grant?
With the start-up grant, switzerland email list the Federal Employment Agency supports founders who start a business after being unemployed. It is therefore a grant that is intended to give you financial support in the initial phase. If you meet all the necessary requirements and your application is approved, you will receive monthly payments that depend on the amount of your unemployment benefit (ALG 1). This means that the higher your income was before being unemployed, the higher your start-up grant will be.
You do not have to pay back the start-up grant, the 4 to 5 p’s of marketing even if you later give up your self-employment.
Start-up Grant: All Requirements
The start-up grant is intended for those who became unemployed while employed. So if you are entitled to unemployment benefit (ALG 1), burkina faso leads you are also entitled to the grant in principle.
However, there is no legal entitlement – the grant is a discretionary benefit of the employment agency and the respective clerk decides individually for each application whether or not to grant the grant.
There are a few requirements that you should be aware of:
- You must not be older than 65 years.
- Your self-employed activity is full-time (at least 15 hours per week).
- You should have 150 days of remaining entitlement to ALG 1 at the time of company registration.
- You must be able to justify your personal and professional suitability.
- You should ensure that your application documents are complete.
- There should be a determination of the economic viability of the start-up. The statement of an expert, which you submit together with your application, is used as proof of this. Based on your business plan , the long-term success of your planned self-employment is assessed.
- All attempts to find employment must have been unsuccessful.
- You must not have received any start-up grant in the last 24 months.
head and duration
If you want to apply for the start-up grant, you may be wondering how long you will receive support from the employment agency and how much the grant is. We have put together the most important information for you here.
In total, it is possible to receive funding for 15 months. This is divided into two phases:
- In the first 6 months of self-employment, you will receive a monthly start-up grant in the amount of the previously paid unemployment benefit (ALG 1) for living expenses as well as a flat rate of €300 for your social security (e.g. health insurance).
- In addition, you can apply for a grant of 300 euros per month for a further 9 months . However, the previous amount of unemployment benefit will no longer apply. You will only receive support if you can prove that you are self-employed full-time, but that your financial resources are not yet sufficient to cover your living expenses. This is referred to as a so-called development grant.
Please note: Your entitlement to unemployment benefit depends on, among other things, the average monthly gross income of the past 12 months, your place of work, your income tax bracket and whether you have children living in the household. If your salary is very high, the contribution assessment limit applies. This limit is the maximum amount that will be taken into account when determining the amount of unemployment benefit. Depending on various factors, the contribution assessment limit is around €7,000.