Vijay Verma on the differences between the two major Austrian funding agencies – FFG and aws. 

Research and development or deep tech

The difference between the two is that FFG supports projects and start-ups that focus on research and development. Startups that require intensive research for product development are often funded by the FFG.aws, on the other hand, supports startups that are anchored in the high-tech/deep-tech sector or come from the creative industries. But here, too, a high degree of innovation is necessary in order to successfully apply for a funding program.

Payment of the subsidies

The way in which the funding is paid out also differs between the two agencies: in the case of FFG funding, approx. 50% of the total approved funding is paid out in advance. At aws, on the other hand, it is usually the case that the funding is not paid out in advance, but when certain milestones are reached. This means that aws reimburses the costs incurred retrospectively.

Most FFG grants have a 70%, 50%, 90% funding rate and in most cases this is a grant combined with a loan for the company.

Any further questions?

If you have any questions or are unclear about the funding procedures of these two funding agencies, please send a message to verma[at]dhara-solutions.com or via our Contact form and we look forward to getting in touch with you and answering your questions.

“Impact Innovation” – new solutions

A special feature of this funding program is that it is open to any topic. The main focus of this funding is on innovative methods for solving problems for which no solutions yet exist. It does not matter whether it is an EPU (one-person company), an OG (general partnership), a GmbH (limited liability company), a profit or non-profit organization. Even associations can apply for funding.

Amount of funding

The amount of funding is 50% of the submitted costs and a maximum of €75,000. This means that the total project costs can be up to €150,000.

Date of application

At what point in the problem-solving process should you apply for this funding?

• At the beginning: when it comes to identifying the extent of the problem.
• The next step is to consider some possible solutions that could solve the problem.
• If one or perhaps two of these possible solutions are selected and an attempt is made to solve the problem using one of these selected innovative methods.
• Right through to solving the problem and launching the product on the market. This funding can be applied for up to this phase.

This means that funding can be applied for at any of these stages, from a very early phase in which the idea and possible solution proposals first exist to a finished product that enters the market.

Tips for the application

What is very important for the application is that various Stakeholders are involved who can provide feedback and thereby improve the product. To apply for this funding, Impact Innovation from FFG, a Business plan required, which does not have to be particularly extensive. 20 – 30 pages are more than sufficient, but the quality should be very good. The financial costs must be planned so that materials, personal costs, travel expenses, etc. incurred during the project can be covered. This Financial plan must be submitted with the application.

Submission procedure for FFG “Impact Innovation”

To apply for FFG Impact Innovation funding, the process is very simple. The entire funding process can be found online on the FFG website(www.ffg.at).

• First, a login must be created via eCall on the FFG website.
• After creating a login with a password, you will see “Impact Innovation” as one of the options in the menu. Simply select this option, upload the documents and send them off.
• Once the application has been submitted, a Confirmation that the application documents have been successfully submitted to FFG. Within the next few weeks, a:e Project manager, assigned to the project by the FFG, by e-mail and will arrange a meeting.
• Normally, these Meet two experts, someone with a technical background and expertise in innovation itself and someone with expertise in financial matters. At the meeting, questions are asked about innovation and innovative solutions. In principle, the degree of technical innovation and whether the skills for developing the solution are available are also queried. Other questions can also be asked, such as how the remaining 50% of the total cost of the project can be financed.
• If, after the meeting, the project managers are satisfied with the innovation and the answers , they will present the project at the next FFG Board Meeting.
• If the project is approved by the FFG Board is also approved, an e-mail is usually sent on the same day that the project has been accepted for funding. FFG is very efficient when it comes to passing on information to start-ups.
• After the news that the project has beenapproved for funding , the funding contract is sent out in the following weeks, which must be checked, signed and returned to FFG.
• Once the contract has been received, it usually only takes a few days for the FFG to receive at least 50% of the approved subsidy is paid out. The remaining funding is paid out either at mid-term with the interim report or at the end of the project.

Further questions about this or other subsidies?

If you have any questions or difficulties understanding the entire funding process, or if you need help applying for this FFG funding, we will be happy to help. Simply send a message to verma@dhara-solutions.com and we will arrange a free and non-binding initial consultation.