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Digitalization Grant EFRE 2021-2027

This funding program supports small businesses in transitioning to digitalization, focusing on both introductory and transformation projects. It aims to assist micro, small, and medium-sized enterprises (SMEs) based in the Free State of Saxony, including freelancers, in navigating digital transformation challenges.

Key Offerings:

  • Financial support for introductory projects that ease small businesses into digital topics.
  • Funding for complex transformation projects, including planning, concept development, technical realization, software acquisition, necessary hardware, and training.

Financial Details:

  • Minimum eligible expenses: €5,000.
  • Funding rates vary: up to 60% for introductory projects (capped at €10,000), 50% for small enterprises' transformation projects (capped at €60,000), and 35% for medium enterprises (capped at €100,000).
  • An additional 7% can be claimed for indirect costs, with a 10% increase in funding rates for companies adhering to collective bargaining agreements.

Application Process: Submit a signed application along with required documents through the funding portal. The project start date must be after receiving a confirmation email. The implementation period is limited to twelve months.

Expected Outcome

The expected outcomes of the Digitalization Grant EFRE 2021-2027 funding call include:

  1. Enhanced Digital Competence: Small and medium-sized enterprises (SMEs) will improve their understanding and application of digital technologies, leading to greater digital literacy within the workforce.
  2. Successful Digital Transformation: The funding is designed to facilitate the implementation of digital solutions that streamline operations, improve efficiency, and enhance customer engagement, resulting in a more competitive business landscape.
  3. Increased Innovation: By supporting the introduction and transformation of digital tools, businesses are expected to innovate their products, services, and processes, fostering a culture of continuous improvement and adaptation.
  4. Job Creation and Retention: As companies grow through digitalization, there may be potential for job creation, skill development, and retention of existing employees, contributing to local economic stability.
  5. Sustainability Contributions: The funding aligns with sustainable development goals (SDGs), encouraging companies to adopt sustainable practices through efficient digital solutions.
  6. Stronger Business Resilience: By enhancing digital infrastructure and capabilities, SMEs will be better equipped to navigate challenges such as market fluctuations and economic uncertainties, resulting in greater overall business resilience.
  7. Regional Economic Growth: The focus on supporting local businesses in Saxony is expected to contribute to broader economic growth in the region, improving the overall business environment and attracting further investments.

Overall, the funding call aims to create a robust digital ecosystem among SMEs, leading to long-term benefits for individual businesses and the regional economy.

Scope

The scope of the funding call for the Digitalization Grant EFRE 2021-2027 includes the following key areas:

  1. Target Audience:
    • Micro, small, and medium-sized enterprises (SMEs) based in the Free State of Saxony.
    • Freelancers and professionals in liberal professions.
  2. Funding Projects:
    • Introductory Projects: Support for small businesses to ease into digital transformation topics.
    • Transformation Projects: Funding for more complex initiatives aimed at substantial digital transformation within the company.
  3. Eligible Activities:
    • Planning and Conceptualization: Support for developing strategies for digital transformation.
    • Technical Realization: Assistance in implementing digital solutions.
    • Software and Hardware Acquisition: Funding for the purchase of necessary tools and technologies.
    • Implementation and Training: Support for deploying the digital solution and training staff.
  4. Financial Support:
    • Funding Rates:
      • Up to 60% for introductory projects (maximum direct costs of €10,000).
      • Up to 50% for transformation projects in small enterprises (maximum direct costs of €60,000).
      • Up to 35% for transformation projects in medium enterprises (maximum direct costs of €100,000).
    • Indirect costs can be claimed at 7% of eligible direct expenses.
  5. Collaboration with Other Programs: The funding can be combined with other support programs, such as Digitalization Loans or SAB Sachsenkredit, provided they complement the main funding project.

This scope aims to facilitate the digital transformation of businesses, thereby contributing to economic growth and innovation within the region.

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