Are you thinking of undertake? In this post we are going to see what are the main ones grants and subsidies for entrepreneurship in Spain.

 Undoubtedly, among the innumerable difficulties involved in the process of setting up a new company finding funding and grants to start up a business is usually the most complicated thing. The lack of resources ends up becoming the main nightmare of many potential entrepreneurs who end up backing out because of the scarcity of financing. This is where grants and subsidies for entrepreneurship come into play by providing resources to these future entrepreneurs.

The subsidies for entrepreneurs are convened on an annual basis (although the criteria do not usually vary substantially) by the State itself, the Autonomous Communities, local entities, etc. and are classified by sector of activity. In this post on grants and subsidies for entrepreneurship, we are going to focus solely on the state support offered. Let's get started!

Grants and subsidies for entrepreneurship

The single unemployment payment

The Single Unemployment Payment (also known as Unemployment Capitalisation) is the first of the grants and subsidies for entrepreneurship that we are going to analyse. The aim of this aid is to facilitate the start-up of entrepreneurial projects oriented towards the self-employment. The following requirements must be met in order to collect it:

1. Have a recognised contributory unemployment benefit. It should be borne in mind that subsidies and benefits, such as those for the over 55s, RAI or PAE, do not give entitlement to capitalisation.
2. Once the application has been made, three months of benefit must be outstanding.
3. In the 4 years preceding the application, you must not have received any single payment of unemployment benefit.
4. In the case of starting an activity in a worker-owned company or cooperative, this must be done as an employee or worker member of a stable, non-temporary nature.
5. Not having started the activity before the date on which the application is submitted.
6. If you have contested the termination of the employment relationship, the application must be submitted after the relevant proceedings have been resolved.
7. Not to have received unemployment benefit or to have been self-employed in the previous 24 months.
8. It is compulsory to start the activity within one month of receiving this benefit..
9. In the case of joining a company created during the previous 12 months, it may not be an entity with which you have had an employment relationship or have had an employment relationship with a company in the same group.

Aid for women entrepreneurs

One of the most interesting resources for supporting women entrepreneurs is the Women's Entrepreneurial Support Programme (PAEM). This service offers specialised advice and support to all women entrepreneurs. But let's take a look at the most interesting grants and subsidies for entrepreneurship.

• Flat RateThe flat rate of 50 euros is general for all new self-employed workers. But in the case of women, there are some special features. For example, women under 30 years of age who register as self-employed will have a 30% rebate on the contribution for common contingencies. On the other hand, if you have already been self-employed but have stopped working due to maternity, when you want to start working again, if you do so within the two years following the date on which you stopped working, you will be entitled to a new rebate.
• Microcredits granted by the Ministry of Equality. This is another of the options available as aid for women entrepreneurs. The conditions of this type of financing are very attractive. For example, those projects classified as viable do not need to present a guarantee. All women who are willing to start up a business and who have difficulties in accessing financing (or who do not have a guarantee) can apply for this aid.
• The Women's Institute offers a wide range of support for women entrepreneurs, such as technical and financial advice.

Innovation grants

In a country clearly dominated by economic activities with little technological component, it seems reasonable that part of the aid and subsidies for entrepreneurship should be aimed at promoting technological activities. The Ministry of Science and Innovation offers support that may be of interest to you as an entrepreneur: a tax reduction between 35% and 60% for projects oriented towards research and technological development.

Grants and subsidies for technology-based companies

• EBT: It is designed to support innovative technology-based companies (EBT). In this case, a more precise business plan is required.
• NEOTEC: The aid from the Neotec Programme finance the start-up of new business projects that require the use of technologies or knowledge developed from research activity, where the business strategy is based on the development of technology.
• INVEST: The Innvierte Programme is part of the Spanish Science and Technology and Innovation Strategy 2013-2020. This strategy also aims to promote business innovation by supporting venture capital investment in technology-based or innovative companies.

If you would like more information on further aid, don't miss this post on subsidies for your company.

Aid and subsidies for entrepreneurship in the Autonomous Communities

Each autonomous community manages grants and subsidies for entrepreneurship in the creation and modernisation of innovative companies. It is a subsidy between 15% and 40% of the investment destined to innovative companies. To find out which programmes are available, you should contact the Regional Ministry in charge in your Autonomous Community.

Aid for entrepreneurs Madrid

The Community of Madrid offers aid to start a business to self-employed workers who want to start their own business. This aid can be applied for:

• Unemployed persons who are registered as self-employed, self-employed in the corresponding Social Security scheme or the professional association's mutual fund and those who are worker or worker-members of cooperatives or labour companies.
• Natural persons referred to in the previous point who are members of civil law partnerships or community property associations and partners in commercial companies who are not members of the administrative body of the company

Aid for entrepreneurs Barcelona

If you want to keep up to date with the announcements of grants and subsidies that are appearing and which may be of interest to entrepreneurs and SMEs, you can find different grants and subsidies for entrepreneurship on the Barcelona Activa entrepreneurship website.

To find additional information on grants and subsidies, we recommend you:

FINEMPRESAis a financing portal for companies and entrepreneurs, promoted and coordinated by the Secretaria d'Economia del Departament d'Economia i Finances de la Generalitat de Catalunya.

FISUB: database of grants and subsidies, promoted and coordinated by ACC1Ó.

Business Angels Grants

Investors, private funds and so-called business angels are a good option for financing entrepreneurs. A Business Angel provides money, experience or a combination of these factors, which is what is known as "smart money" because they can provide you with contacts, knowledge and much more. But you should know that through the entrepreneurship law There are important aids and deductions for them and if you explain this to them you can be of help in gaining their support. For example, they will be able to deduct a 20% up to €50,000 from their tax return and some autonomous communities add an extra tax saving in the autonomous community tax bracket.

Aid for internationalisation

Another of our country's unfinished business is undoubtedly foreign trade. The Institute for Foreign Trade offers grants and subsidies for entrepreneurship to those who want to conquer the foreign market.

As you can see, state aid and subsidies for entrepreneurship make the dream of becoming an entrepreneur a little more within our reach, but if you do not have basic training, your project will have less chance of success. In IEBS we provide you with the training you need to become the entrepreneur you need.

Allowances for the Self-Employed

From 1 January 2019, the flat rate for new self-employed workers is 60 euros per month. This amount increases depending on how long you remain self-employed. We tell you how:

1. The first 12 monthsThe fee is 60 euros for the first self-employed.
2. Months 12 to 18:50% reduction applies during the second half of the year.
3. Months 18 to 24: the 30% reduction is applied during the following six-month period.

The flat rate, which has been in force since 2013, was initially approved with a quota of 50 euros per month for young people under 30 years of age, but due to the strong reaction among the self-employed following its implementation, the government extended its application to all new self-employed workers in 2013.

Therefore, the flat rate for the self-employed consists of a monthly payment of 60 euros to the Social Security instead of the 286.15 euros that constitute the minimum monthly contribution in 2020.

ICO Grants or Loans

These loans will allow us to finance investment projects as well as to guarantee liquidity, whether we are self-employed or a company. The maximum amount per customer is up to 12.5 million euros. These are the conditions and requirements to be taken into account when applying for this type of loan:

What can we finance?

• Liquidity
• Investments within the national territory:
• New or second-hand productive fixed assets (including VAT).
• Passenger cars, the value of which does not exceed 30,000 euros plus VAT.
• Acquisition of companies.
• Liquidity with the limit of 50% of the financing obtained for this type of investment.
• Rehabilitation of dwellings and buildings.
• Modality: investment loan/leasing and liquidity loan.
• Interest rate: fixed or variable.
• Repayment period and grace period: If 100% liquidity is financed: 1, 2, 3 and 4 years with the possibility of 1 year grace period. If financing investment: 1, 2, 3, 4, 4, 5, 6, 7, 8, 9, 10, 12, 15 and 20 years with up to 2 years grace period.
• Commissions: the Credit Institution may not charge commission, except for early repayment.
• Guarantees: to be determined by the Credit Institution with which the operation is processed, except for the guarantee of SGR/SAECA.

Grants and subsidies for entrepreneurs with disabilities

There are different grants and subsidies for people with disabilities. Among them, the Once Foundation has a call for this type of aid.

Self-employed workers with disabilities, who are initially registered or who have not been registered in the two years immediately prior to the date of their affiliation, will be able to benefit, if they choose to pay the minimum contribution base, a reduction in the contribution for common contingencies during the first 12 months immediately following the date of discharge, which shall consist of a single monthly fee of 60 euros. This contribution will include both common and professional contingencies, as these workers, like victims of gender violence or victims of terrorism, are exempt from paying contributions for termination of activity. Of this contribution of 60 euros, 51.50 euros correspond to common contingencies and 8.50 euros to professional contingencies.

Grants for young entrepreneurs

With youth unemployment above 50% and an added difficulty in accessing credit, it seems obvious that young people should receive additional support for entrepreneurship. Among the grants and subsidies for undertakeThe Youth Business Start-Up Participatory Loan of Enisa (Empresa Nacional de Innovación). The following requirements are established:

1. Be an SME, as defined by the European Union.
2. Have your own legal personality, independent of that of your partners or participants.
3. Your company must have been set up no more than 24 months before you apply.
4. Have your main activity and registered office in the national territory.
5. Your business model must be innovative, novel or have clear competitive advantages.
6. The majority of the capital must be held by natural persons not older than 40 years of age.
7. We finance the acquisition of fixed assets and the working capital necessary for the activity.
8. The partners will have to contribute, via capital or equity, at least 50 % of the loan.
9. You will have to demonstrate the technical and economic viability of your business project.
10. You must have the accounts for the last financial year for which the accounts have been filed with the Commercial Registry or other appropriate public registry.
11. The real estate and financial sectors are excluded.

Enisa is a public company that actively participates in the financing of viable and innovative business projects through participative loans for any type of start-up company. Without a doubt, regardless of whether you are a man or a woman, if you are young and want to be part of the large group of self-employed or entrepreneurs, this aid in the form of a loan can be of great help to you.

For further information, see point 5.2.3 of the Social Security.

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