The Federal Government and the Bundesländer support the self-employed, small businesses, freelancers and farmers in the Corona crisis with immediate financial aid. Many Bundesländer do not only pass on Federal funds to the companies, but also top up the programme with their own funds. The aid of the Federal Government and the Bundesländer can often be combined (press release of the Federal Ministry of Finance).
The emergency aid by the Bundesländer has been implemented
- Eligibility: Solo self-employed professionals, members of the liberal professions and small enterprises including farmers with up to 10 employees who are economically active on the market. The company or the management must be located in Germany.
- Scope of assistance: Companies or self-employed professionals with up to 5 employees can apply for a one-off grant of up to EUR 9,000 for three months, companies with up to 10 employees for a one-off grant of up to EUR 15,000, also for three months.
- Proof of liquidity shortage due to COVID-19: As an applicant, you must assure that you have got into financial difficulties due to the COVID-19 pandemic. Applicant companies must not have already been in financial difficulties on December 31, 2019.
- Application deadline: Applications must be submitted to the competent Bundesland authority by May 31, 2020 at the latest.
- Cumulation with other aid and tax relevance: Many Bundesländer also supplement the emergency aid provided by the Federal Government with their own funds, as non-repayable grants or in some cases as loans. Often, larger companies with more than 10 employees are also eligible for such assistance. They can cumulate the aid with other aids in connection with the COVID-19 pandemic. However, any overcompensation must be repaid. In order to ensure that the subsidy benefits companies in full immediately in the time of need, it will not be included in the advance tax payments for 2020. Although the subsidy is taxable in principle, this will only have an effect when the tax return for 2020 has to be submitted, i.e. next year at the earliest. Only if a positive profit is generated in 2020, will the individual tax rate be due on the grant.
- Application recipients: Applications must be submitted via the official contact persons in the Bundesländer. You can find them in the list below or on the following page of the Federal Ministry of Economic Affairs and Energy.
Overview of the competent authorities or bodies in the Bundesländer
The contact persons mentioned above can be contacted for both emergency aid from the Bundesländer as well as for emergency aid from the Federal Government.
Application to and preliminary examination by IHK and HWK, approval by L-Bank
Governments and City of Munich
Investment Bank Berlin (IBB)
Investment Bank of the State of Brandenburg (ILB)
BAB Bremer Aufbau Bank
BIS Bremerhavener Gesellschaft
für Investitionsförderung und Stadtentwicklung mbH
Hamburg Investment and Development Bank (IFB Hamburg)
Kassel Regional Council
Mecklenburg-Western Pomerania State Development Institute (LFI-MV)
Lower Saxony Investment and Development Bank – Nbank
District governments of Arnsberg, Detmold, Düsseldorf, Cologne, Münster
Investment and Structural Bank RLP (ISB)
Ministry of Economics, Labor, Energy and Transport of Saarland
Saxon Reconstruction Bank - Development Bank (SAB)
Investment Bank Saxony-Anhalt
Investitionsbank Schleswig-Holstein (IB.SH)
Thuringia Bank for Reconstruction
The acceptance of applications and preliminary examinations are also carried out by the IHKn and HWKn.
We will be pleased to support you in filing and supporting your applications with the competent authorities in the context of the COVID-19 pandemic. Do not hesitate to contact us.
further measures to mitigate COVID-19-related economic damages
- Application possible retroactively to March 1st.
- Allowed in case of absence from work by >10% (previously 30%) of the workforce with more than 10% of the salary
- Full refund of social security contributions
- Also applies to temporary employment agencies
- Abstention from building up negative working time accounts
- Term up to 12 months
- Application for interest-free deferral of mature and maturing taxes until end of 2020
- Applications for adjustment of advance payments (income tax / corporate tax / VAT)
- Refund of advance payments is possible
- Suspension of late payment penalties / enforcement measures until the end of 2020
- Conditional suspension of the obligation to file for insolvency until September 30, 2020, if the insolvency maturity is based on the consequences of the COVID 19 pandemic and there are prospects of eliminating the insolvency
- Insolvency maturity is due to the spread of the COVID-19 virus and
- prospect of eliminating an existing insolvency if no insolvency had occurred by December 31, 2019
- Extensive suspension of liability and rescission rules as well as criminal law treatment
- Risk assumption by KfW of up to 90% of the loan volume
- Application for and granting of loans via intermediary financing partners ("house banks")
- Up to 800 TEUR with 100% assumption of the credit default risk
- Temporary right to refuse performance in the context of continuing obligations (for consumers and micro-entrepreneurs**)
- Temporary deferral within the framework of consumer loan agreements
- Restriction of the possibility of termination of a rental and lease agreement by the landlord
- Holding of general meetings and shareholders' meetings by means of electronic communication
- Measures for holding staff council elections in order to ensure that staff councils as well as works councils have the basic capacity to act and make decisions (implementation planned)
*) Act on the mitigation of the consequences of the COVID-19 pandemic in civil, insolvency and criminal proceedings of March 27, 2020, Federal Law Gazette Part 1 No. 14, 569 ff.