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Cash Incentives for Investment Projects

Cash Incentives Program: GRW

Regional Economic Development Program North Rhine-Westphalia

Investor production facility set-up costs can be significantly reduced by cash incentives provided in the form of grants.

There is one major program directing the allocation of these cash grants, the "Joint Task for Improving Regional Economic Structures" (Gemeinschaftsaufgabe, GRW), throughout Germany.

The program is issued by the Federal Ministry for Economic Affairs and Energy. It defines maximum possible incentives rates for all regions eligible for funding throughout Germany which are published for each funding period in form of the Ministry's so called "incentives map."

Calculating Possible Cash Incentives

Calculation basis for determining the possible amount of cash incentives receivable through the GRW program might be the actual investment costs (e.g. for buildings or machinery) or (assumed) wage costs for two subsequent years.

GRW program funds must be applied for before the investment project begins. The application process is administered by the relevant federal state governments.

NRW.BANK Development Programs

NRW.BANK offers a wide range of financial support for business start-ups and to ensure company survival: investment grants, subordinated loans, venture capital, and releases from liability.

NRW.BANK Start-Up Loan: Business founders can be supported with loans ranging from 25,000 to 10 million euros. The financing portion may amount to up to 100 percent of the eligible investment costs or working capital. The acquisition of land and buildings as well as furniture and fixtures and the takeover of existing SMEs are also eligible for funding. The NRW.BANK start-up loan is offered with terms of five, ten or twenty years. The start-up loan includes an optional indemnity bond from the Bürgschaftsbank NRW, for which business founders may apply as part of a standardized process.

NRW.BANK SME Loan: This is a low-interest loan from NRW.BANK to finance small and medium-sized enterprises, and independent professionals. The NRW.BANK SME Loan is available as both an investment loan and a working capital loan. The amount of the loan can range from 25,000 to 10 million euros. This promotion program is offered jointly by NRW.BANK and KfW.


NRW.BANK
Advice Center Rhineland
Kavalleriestraße 22
40213 Düsseldorf, Germany
Phone: +49 211 91741-4800
Fax: +49 211 91741-7832


Branch Office of NRW.BANK in Münster
Advice Center Westphalia
Friedrichstraße 1
48145 Münster, Germany
Phone: +49 251 91741-0
Fax: +49  251 91741-2921

www.nrwbank.de

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