The federal government plans to significantly accelerate its start-up and scale-up strategy, incorporating elements such as faster processing times for funding applications and higher employee equity allowances. According to a report in the “Handelsblatt” (Friday edition), this initiative stems from a 38-page document that outlines a total of 120 proposed measures.
Under the current drafts, the state funding program “Invest” is slated for continuation beyond 2026. Furthermore, the processing time for applications for the “Exist” program, which aims to boost nascent ventures, is expected to be reduced to six weeks. Tax benefits for employee stock options (ESOP) will also increase, rising from the current limit of €2,000 to €5,000.
In addition to these financial changes, it is being considered to grant the Federal Agency for Breakthrough Innovations (Sprind) expanded capacity to operate within the defense sector. It is reportedly being examined whether Sprind’s existing funding tools could be utilized to advance technologies specifically for security and defense purposes.
The draft strategy is currently undergoing inter-departmental coordination. A spokesperson for the Ministry of Economics stated that the federal cabinet expects to adopt the strategy during the summer. The ministry noted that the paper has not yet been finalized and that further discussions are scheduled for the coming days, and therefore, the Ministry declined to release specific details.


