State grant for small medium enterprises

Program description

With the state subsidy for small and medium-sized enterprises, the Senate Department for Integration, Labor and Social Services promotes the hiring of unemployed persons, so-called Aufstocker*innen as well as  participants from employment or qualification measures.

In the case of permanent employment contracts, companies can receive a maximum subsidy of up to 15,000 euros, depending on the salary. However, fixed-term employment contracts (at least 12 months) are also subsidized. There is no obligation for subsequent employment.

Institution

zgs consult GmbH

zgs consult GmbH is one of the major service companies in the labour market and vocational training policy of the state of Berlin and the federal government. As trustees and loaned companies of the state, the companies involved have been coordinating programmes and projects of employment, training and qualification promotion financed by federal, state or municipal funds or by funds of the European Social Fund (ESF) for more than 20 years. In addition, they have many years of experience in implementing the European Regional Development Fund (ERDF).

Deadline

The application must be submitted before the employment relationship begins.

Funding period

The wage cost subsidy is granted for the duration of the fixed-term employment relationship, and for the duration of 30 months for permanent employment relationships.

Funding criteria

Requirements for employers: Private-sector SMEs as defined by the European Union are eligible to apply. This includes all companies with fewer than 250 employees and no more than EUR 50 million in annual sales or an annual balance sheet total of no more than EUR 43 million. Funding for legal entities under public law is excluded.

In order to receive the state subsidy, the following conditions, among others, must be met:

• The weekly working time is at least 35 hours.
• The applicable statutory state minimum wage is paid.
• The place of business is in Berlin.
• There have been no redundancies for operational reasons in the last six months, and there has been no failure to take on trainees for operational reasons (where applicable).

The wage cost subsidy is granted on a sliding scale according to gross hourly wage and the duration of the employment contract. No other wage subsidies may be granted by the Job Center, the Employment Agency or the State of Berlin for subsidized employees. If the company is terminated for operational reasons during the subsidy period, the subsidy payments will be discontinued as of this date.

The number of employees to be supported per company depends on the average number of regular employees in the period of 12 months prior to the application. A maximum of:

• 1 person for companies with up to 5 employees,
• 2 persons for companies with 6 to 19 employees,
• 4 persons for companies with 20 to 39 employees,
• 5 persons for companies with 40 to 250 employees.

Additional conditions

Prerequisites for employees: The state subsidy for SMEs promotes new opportunities in the primary labor market for people who reside in Berlin, provided that one of the following criteria is met:

• Unemployed persons who have been unemployed for at least six months
• Employees from subsidies according to § 16e and 16i SGB II as well as participants from other job opportunities according to § 16d SGB II
• Participants in a subsidized vocational training program
• Support also for salaried employees, "mini-jobbers" and self-employed persons if they receive supplementary ALG II.

Women are to be given special consideration. Supported employees may not be related to the employer within the first degree or be married, have a financial interest in the company, or assume managerial responsibilities.

Expenses for (commercial)

Personnel expenses

Funding focuses on

Creating/securing jobs

Stage of the company/self-employment

up to 1 year after founding, up to 2 years after founding, up to 3 years after founding, up to 5 years after founding, up to 7 years after founding, existing company

Company Sizes

solo self-employed/one-man business, micro enterprise, small enterprise, medium-sized enterprise

Application type

Download form, by mail

Application procedure/documents

The application is submitted by the employer. The downloaded, fully completed form must be sent to zgs consult Gmbh by mail. The evidence of eligibility must be provided in full within two months of the application being submitted.

Jury/Decision-making body

The central unit decides on the application in accordance with the eligibility requirements in the order in which the application is received and issues the employer with a notice of grant indicating the amount and duration of the grant. The notice may contain requirements and conditions.

Assistance/Downloads

For advice on how to apply, please call: (+49) 030 28409284 or landeszuschuss(at)zgs-consult.de.

Under this link you will find a clear summary under the motto "The right attitude is promoted!".

You can find additional terms and conditions here.

FAQ Url

Funding area

State of Berlin

Funding source of the institution

EU, federal government, state/district