Start-up Allowance

Last updated: 16.6.2025
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The Start-up Allowance (Einstiegsgeld) is a program by the Federal Ministry of Labour and Social Affairs that supports individuals receiving benefits under SGB II. It aims to facilitate the transition into lasting self-employment or dependent employment, thereby ending reliance on social benefits. The program offers financial aid and support for acquiring material goods.

Who is funded?

The Start-up Allowance program is aimed at needy individuals who are eligible for benefits under Social Code Book (SGB) II. The goal is to enable these individuals to successfully and permanently enter self-employment or dependent employment, thus ending their reliance on assistance. The funding is available nationwide.

What is funded?

The Start-up Allowance offers financial support for starting a full-time self-employment or taking up dependent employment. The funding is provided in the form of grants and loans, which can also be used for the procurement of necessary material goods. Third parties may also be funded for consulting and mediation services.

Type and Extent of Funding

Funding through the Start-up Allowance primarily takes the form of a non-repayable grant for up to 24 months. Additionally, loans and further grants for material goods up to 5,000 EUR can be provided. The amount of funding depends on individual criteria.

Conditions and Requirements

To receive the Start-up Allowance, the self-employment or dependent employment undertaken must have the potential to permanently end reliance on assistance. Self-employment must necessarily be pursued on a full-time basis.

Application Procedure

Applications for the Start-up Allowance must be submitted to the responsible basic social security providers before commencing the gainful activity. Information on local contacts is available through the Federal Employment Agency.

The Start-up Allowance is based on Social Code Book (SGB) II, particularly sections 16 b and c. Official information and further details on the legal basis are accessible via the websites of the Federal Ministry of Labour and Social Affairs and the Federal Employment Agency.

Similar Programs

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#Start-up Allowance#Self-employment#Job Entry#SGB II Funding#End Unemployment#Employment Grant#SGB II Beneficiaries#Start-up Grant#Material Goods Loan#Full-time Activity#Basic Security Recipients#Federal Employment Agency#Start-up Consulting#Assistance Benefits

Funding Overview

Funding Status

Funding Status:

Open

Maximum Amount

Maximum Amount:

5.000 €

Deadline

Deadline:

always open

Open Until

Open Until:

Ongoing

Award Channel

Award Channel:

Demand Driven Scheme

Region

Region:

Germany

Beneficiaries

Beneficiaries:

Job seekers, start-up founders, needy individuals according to SGB II

Application Type

Application Type:

Single Applicant

Funding Stages

Funding Stages:

Market Introduction, Other

Funding Provider

Program Level:

National

Funding Body:

Federal Ministry of Labour and Social Affairs (BMAS)

Managed By:

competent basic social security providers

Additional Partners:

Suitable third parties (consulting or provision of knowledge and skills)

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