Berlin supports small businesses with new program

Berlin supports small businesses with new program

In view of the significant increase in energy costs, the state of Berlin is launching a new program to provide subsidies to small and medium-sized enterprises.

Windrad und Strommasten

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This was announced by the Governing Mayor Franziska Giffey on Tuesday. The new program is the keystone of the Berlin relief package, said the SPD politician. It is intended to help small businesses that are especially burdened by the high energy costs, such as bakeries and textile cleaning enterprises. The Senate approved the program on Tuesday. "It now goes into implementation," Giffey said.

Online applications open in March

Applications can be submitted starting March 15. A maximum of 300,000 euros will be granted. A total of 252 million euros will be available for the program, which is called Energy Hardship Assistance - 52 million of which come from the relief fund approved by the federal government. According to the Senate Department for Economics, solo self-employed persons and freelancers are also eligible to apply, as are non-profit companies, social enterprises and entrepreneurially active associations.

Hardship assistance part of Berlin relief package

The prerequisite for an application is proof of an increase in energy costs of at least 50 percent in the past year compared to 2021. A one-off subsidy of 90 percent can be applied for on the additional costs above this. According to Economics Senator Stephan Schwarz (non-partisan), this means that the protective umbrella for Berlin's economy is now complete. Previously, the Senate had already approved loans for businesses with liquidity problems due to inflation and energy cost increases, as well as heating cost assistance for businesses, among others.
Author: dpa
Publication date: 8 February 2023
Last updated: 8 February 2023

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