Digitize procurement with simple system and benefit from the funding program

19.05.2021

 

The Federal Ministry for Economic Affairs and Energy (BMWi) has launched a program to promote digitization in small and medium-sized companies in Germany.

Wouldn’t that be something for you too?

To help you get started quickly, we have briefly summarised everything you need to know below.

 

Basic information on the funding program:

 

Who is funded?

  • Companies that employ 3 to 499 people
  • Crafts and liberal professions are included
  • from all industries
  • with a permanent establishment or branch in Germany

 

Which projects are funded?

The funding program consists of 2 modules that can be used individually or together. These do not have to be related to the content.

MODULE 1

Investment in digital processes, technologies and implementations
This involves software for data-driven business models, cloud applications, the use of hardware, IT security and data protection, …

NOTE: Investments in standard hardware and software are not encouraged.

MODULE 2

Investment in the qualification of employees on digital topics

 

How big is the promotion?

The amount of funding is graduated in percent depending on the size of the company:

  • 40% from 3 to 50 employees
  • 35% from 51 to 250 employees
  • 30% from 251 to 499 employees

The funding rate can be increased by bonus percentage points by up to 20% (i.e. up to 70% in the first category).
Here are the possible options:

+ 10 percentage points for SMEs from structurally weak regions
+ 5 percentage points for investment projects in IT security / data protection
+ 5 percentage points for companies that develop business models within existing value networks

HINTS:
The lower limit for the requested funding amount was set at € 17,000 in module 1 and when modules 1 and 2 are used together. In module 2, the lower limit is € 3,000.

The maximum funding amount is € 50,000. If several companies invest jointly within a value chain or a value network, the funding amount per company increases to a maximum of € 100,000.

 

What is the duration of the program?

The funding program started on September 7, 2020 and will run until December 31, 2023 *.
* Please also note the note under “How much is the funding?”

 

How do you apply for funding?

For the funding application, a digitization plan must be drawn up in which the investment project is described and explained.

This includes the presentation of the status quo of digitization in the company as well as the goals to be achieved through the funding measure, i.e. the expected long-term technical and economic effects as well as the effects of the investment on the competitiveness and degree of digitization of your company.

HINTS:
The project must not have started at the time of the funding approval.
Once it has been approved, it usually has to be implemented within 12 months.
You must be able to prove that the funds have been used.

The funding application can only online be submitted to the BMWi.

Where can I find information from the BMWi?

About this link come to the relevant page.


 

The simple system consulting team is happy to provide you with advice and support.

Aroused interest? Then contact us!