Digitalization Funding
Loan program for the digitalization of business processes, IT infrastructure, and the use of AI for companies in Baden-Württemberg with interest subsidies and repayment grants. Program start 07/01/2025 – applications accepted until 06/30/2027.
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Grant criteria
Funding objective
Support for medium-sized enterprises in Baden-Württemberg in the digitalization of their business processes, IT infrastructure, IT security, automation, and the use of artificial intelligence to enhance their competitiveness.
Eligible expenses
- Hardware and software
- IT infrastructure
- Networks
- Cloud technologies
- Automation
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Non-eligible expenses
- Refinancing and additional financing of already commenced projects
- Follow-up financing and extensions
- Trust constructions
- Silent partnerships
- Compensated asset transfers
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Eligible to apply
- Companies
Funding requirements
- Registered office or place of business in Baden-Württemberg
- Freelance activity or commercial enterprise
- SME according to the EU definition (fewer than 250 employees, annual turnover up to €50 million) or larger privately owned company with annual turnover up to €500 million
- Completion of the KfW Digitalization Check (only for funding level 1)
Documents required for application
- Confirmation of the funding application (form WF_1104)
- Aid application (form WF_1301) or funding application (form WF_1001)
- De minimis declaration (form 1332)
Description
Digitization Financing offers medium-sized companies in Baden-Württemberg, starting from 01.07.2025, low-interest loans with repayment grants to advance business processes, IT infrastructure, IT security, automation, and the use of artificial intelligence. The goal is the sustainable enhancement of the competitiveness of regional enterprises. Eligible are small and medium-sized enterprises (SMEs) according to the EU definition as well as larger medium-sized companies in private ownership. The full financing share of up to 100% enables investments in hardware, software, networks, cloud technologies, automation solutions, and training measures. The program duration extends over 24 months, with the application deadline on 30.06.2027. The house bank procedure ensures close coordination with L-Bank as the development bank.
The funding range extends from €25,000 up to €5 million for SMEs; non-SMEs can apply for loan amounts up to €25 million. Eligible expenses include investments and operating resources, excluding, among others, refinancing of already initiated projects, silent partnerships, or the installation of fossil fuel heating systems. For the application, among other documents, the form WF_1104 (confirmation of the funding application), a state aid or funding application (WF_1301 or WF_1001), as well as a de minimis declaration (form 1332) must be submitted. L-Bank forwards all applications received on time via the house bank to the Ministry of Economic Affairs, Labour and Tourism Baden-Württemberg by the deadline. Interested parties are advised to inform themselves early about the funding levels and required documentation.
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