Loan

Microloan (MKD)

Microloans from SAB for start-ups and young companies in Saxony – loans up to €30,000 at 2% interest, term up to 6 years with 1 year repayment-free. Application via the SAB funding portal.

Business Financing Business Establishment

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Grant criteria

Application Deadline: Ongoing
Application level: Advanced
Region: Saxony
Company size: Microenterprises, small and medium-sized enterprises
Funding amount: Up to €30,000 per project
Funding rate: 80%
Project duration: 12 months

Funding objective

Financing of investments and working capital for the commencement or consolidation of an independent economic activity in the Free State of Saxony.

Eligible expenses

  • Investments
  • Operating resources

Non-eligible expenses

  • Consultations for business start-ups
  • Debt restructuring and refinancing
  • Vehicles in road freight transport

Eligible to apply

  • Founders
  • Companies

Funding requirements

  • Own contribution of at least 20% of the eligible expenses
  • Company must be an SME (max. 250 employees)
  • Submission of a viable business plan with profitability forecast
  • Proof of professional and commercial knowledge and skills

Documents required for application

  1. Business concept
  2. Profitability forecast
  3. Tabular curriculum vitae
  4. Proof of qualification seminar
  5. Self-disclosure in case of second start-up

Evaluation criteria

  • Viability of the business concept
  • Sustainability of the business idea
  • Potential to improve the market situation

Description

The Microloan (MKD) from the Saxon Development Bank – Förderbank (SAB) is aimed at start-ups and young companies up to five years after establishment in Saxony. It supports investment projects and working capital that serve to initiate or consolidate an independent economic activity in the Free State. The loan offers financing of up to €30,000 at an interest rate of 2% p.a., a term of up to six years, and a grace period on repayments in the first year. Up to 80% of eligible expenses can be covered, provided that an equity contribution of at least 20% is made. A viable business plan with profitability forecast, proof of business and professional expertise, a tabular CV, and proof of a qualification seminar are required. SMEs with a maximum of 250 employees are eligible for funding; excluded are, among others, projects for debt restructuring, follow-up financing, and investments in road freight transport vehicles.

The application can be submitted electronically at any time via the SAB funding portal. After submission of all required documents, SAB confirms receipt of the application. The grant is earmarked and proof of use must be submitted within twelve months after disbursement. With the microloan, SAB supports founders in financing investments and working capital, thereby promoting sustainable and competitive business development in Saxony.

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