Equity Capital from Bayern Kapital – Innovation Fund II

The equity fund "Innovationsfonds II" of Bayern Kapital targets young, technology-driven corporations (SMEs) headquartered or operating in the Greater Munich area. Its aim is to support innovation and development projects from the conceptual phase through research and development as well as the build-up phase to market expansion. Both investments and operating resources are funded in tranches aligned with the project's progress. Financing is provided as open equity participation, typically silent partnership, or combined with a subordinated loan. Up to EUR 2.5 million can be made available per company, with exceptions up to EUR 3 million. A prerequisite is equivalent co-financing by at least one independent private investor who demonstrates technical expertise and business management support. Applications can be submitted at any time.

The selection is based on the criteria of the project's level of innovation, economic potential, supervision by private investors, and the project's anchoring in Bavaria. Applicant companies must demonstrate SME status according to the EU definition and implement the innovation project substantially in Bavaria. Required application documents include, among others, a statement from the private investor, a business plan, a financing plan, and proof of technical expertise. By providing equity and mezzanine capital, the fund supports the creation of sustainable competitive advantages and promotes the growth of Bavarian high-tech companies. Bayern Kapital GmbH acts as the anchor investor and, in addition to capital, offers extensive expertise and network access to successfully bring pioneering technologies to market.