CORONA – Support

The following support services are available to social entrepreneurs in crisis:

NPO Funds

The Support Fund for Non-Profit Organisations (NPO) provides non-repayable grants for

  • non-profit organisations from all walks of life, such as: Health, arts and culture, care, sports
  • Voluntary fire brigades
  • Legally recognised religious communities

with their headquarters and activities in Austria, which have suffered economic damage due to the Corona crisis. After surviving the Corona crisis, the funded organisations should be in a position to continue fulfilling their essential social tasks.
The funding is handled by aws on behalf of the Federal Ministry of Arts, Culture, Civil Service and Sport.

Participatory organisations are also eligible for funding. A participation organisation is an organisation in which

  • a non-profit organisation,
  • a voluntary fire brigade/regional fire brigade association or
  • a legally recognised church or religious community

has a share of more than 50 %.

In addition, participation organisations must contribute to the fulfilment of the non-profit purpose of their owner(s).

Which costs can be funded?

A maximum of 100% of the costs for:

  • Rent and lease
  • Insurance & licensing costs
  • Advance costs for cancelled events
  • Tax consultancy costs
  • Water, energy & telecommunications
  • Interest expenses from contractual obligations agreed before 10.3.2020
  • Payment obligations e.g. accounting costs, year-end closing costs, marketing & advertising
  • Personnel costs of persons employed under the Disabled Persons Employment Act
  • perishable or seasonal goods in case of loss of value due to COVID-19 crisis of at least 50%.
  • COVID-19 related costs e.g.: Protective equipment,disinfectants

PLUS the flat-rate structural contribution.

This is intended as a lump sum to cover costs that do not fall under the eligible costs, such as maintenance or servicing costs, and usually amounts to 7% of the income generated in 2019.

What is the maximum subsidy and are there exceptions?

The grant amount is capped at 2.4 million euros per organisation. The structural safeguarding contribution is capped at 120,000 euros per organisation. The sum of eligible costs and structural support contribution must amount to at least 500 euros per organisation or affiliated organisations.

New foundations: Organisations founded after 1 January 2019 can determine the income for the missing months by extrapolation or self-assessment.

In principle, the following applies: If the sum of eligible costs and structural support contribution exceeds 3,000 euros, a maximum of the loss of income will be reimbursed – and calculated as follows: Revenue from 01.01. to 30.09.2019 minus revenue from 01.01. to 30.09.2020.

Applications can be submitted from 8 July.

Contact

Service Hotline
Telephone: +43 1 267 52 00
info@npo-fonds.at

Hardship fund

The new package of measures for the economy also provides for a hardship fund to combat the Corona crisis. This fund contains two billion euros to help one-person enterprises (EPU), freelancers and micro-enterprises.

The hardship fund provides a subsidy that does not have to be paid back later and consists of two phases:

Phase 1 – Emergency aid | Application no longer possible

  • In case of a net income of less than 6,000 euros p.a.: Subsidy of 500 euros
  • With a net income of 6,000 euros p.a. or more: Subsidy of 1,000 euros 
  • Applicants who do not have a tax certificate receive a subsidy of 500 euros.  

Phase 2 – Extension | since 20.04.2020

  • The subsidy amounts to a maximum of 2,000 euros per month for a maximum of 3 months.
  • The subsidy is based on the amount of income loss.

The tax assessment notice must be available at least for the tax year 2017 or later.

On 26.04.2020, the Federal Government announced significant improvements for the Hardship Fund:

  • Extension of the period of consideration to six months – within the total of six months, any three months can be chosen for the application.
  • Introduction of a flat-rate funding amount of 500 euros per month – for businesses that could not generate a profit due to investments or start-up losses or for which the calculated funding amount would result in less than 500 euros.
  • Young entrepreneurs who founded their business on or after 1.1.2018 (previously 1.1.2020) can also apply for a lump sum of 500 euros without an income tax assessment.
  • Consideration of the Corona Family Hardship Compensation: The support from the Corona Family Hardship Compensation is no longer an exclusion reason for applying for the support.
  • COVID-19-related insurance benefits are no longer an exclusion criterion; they are taken into account in the amount of support, as is additional income.
  • In the case of grants of up to 500 euros, payment amounts from phase 1 are no longer taken into account in the respective period under consideration.

Application for the revised phase 2 from 4 May 2020 here.

There will soon be special support for the NPO sector.

Corona Aid Fund

The rapid provision of financial resources for Austrian enterprises facing severe liquidity bottlenecks due to the Corona crisis. This support is intended to ensure the economic survival of the enterprises. The total amount of all measures of the Corona Aid Fund is 15 billion euros, which can be used flexibly, depending on immediate needs, on the one hand for fixed cost subsidies and on the other hand for guarantees. All measures have one goal: to ensure the liquidity of companies.

The Corona Aid Fund consists of two pillars:

  1. Application for the 90-/100% loan guarantees via the house bank possible since 8.4.2020.
  2. Fixed cost grants, registration with the aws possible from the beginning of May 2020.

Guarantees

Up to the amount of 500,000 euros, banks can grant working capital loans on the basis of a 100% guarantee from the Republic.

Above a financing requirement of 500,000 euros, the Republic’s guarantee covers 90% of the loan amount. The loan amount is based on the actual liquidity needs of the enterprise. The upper limit for this is a maximum of 3 months’ turnover or twice the total annual payroll or, in duly justified cases, the liquidity requirement of up to 18 months or a maximum of 120 million euros. The maximum term is 5 years and can be extended by up to 5 years.The previous 80% bridging guarantees (up to 1.5 million euros loan amount) will continue to be offered.

Fixed cost subsidies

Which enterprises receive these fixed cost subsidies?

  • The management and the permanent establishment must be in Austria and fixed costs must have been incurred from operating activities in Austria.
  • The company suffers a turnover loss of at least 40% in 2020 during the Corona crisis (from 16.3.2020 until the end of the Covid measures, but no longer than 16.6.2020).
  • Companies must take all reasonable measures to reduce fixed costs and maintain jobs in Austria.
  • Companies that were a healthy business before the Covid 19 crisis

How high is the fixed cost subsidy?

The fixed cost subsidy is staggered and depends on the turnover loss of the company. If this exceeds 2,000 euros within 3 months, the federal government pays:

  • 40-60% loss: 25% compensation
  • 60-80% loss: 50% compensation
  • 80-100% loss: 75% compensation

More information at bmf.gv.at and at www.wko.at

Covid-19 investment premium

The Covid-19 investment premium is intended to create incentives for Austrian companies to invest more again. Applications for this subsidy can be submitted from 1 September 2020 to 28 February 2021. Further details will follow in a subsidy guideline issued by the legislator. One billion euros are available for the investment premium. It will be handled by aws.

What is subsidised:

  • Tangible and intangible capitalisable new investments made between 1 August 2020 and 28 February 2021.

What is NOT eligible for funding:

  • Climate-damaging investments: Investments in the construction or expansion of facilities that serve the extraction, transport or storage of fossil fuels, as well as the construction of facilities that directly use fossil fuels.
  • Undeveloped land
  • Financial investments
  • Corporate acquisitions
  • own work capitalised from the investment premium

How is funding provided?

  • The subsidy is paid in the form of a premium of seven percent of the investment costs.
  • In the case of investments in the areas of digitalisation, ecologisation, health and life sciences, the premium is doubled to 14 percent.

aws Bridging Guarantee

The aim is to facilitate the financing of working capital loans for companies whose sales and earnings development is impaired by order or delivery failures or other market changes due to the “coronavirus crisis”. 

 Funding is available for commercial and industrial SMEs as well as persons/companies that independently exercise a chambered or non-chambered liberal profession (no businesses in the tourism and leisure industry).

 Excluded from receiving a guarantee are:

  • Enterprises that fulfil the URG criteria in the business year preceding the application (equity ratio of less than 8% and notional debt repayment period of more than 15 years).
  • Banks and other financing institutions, insurance companies, real estate companies
  • Associations
  • Agriculture

Support is provided for working capital financing and financing for the deferral of existing credit lines.

  • Up to 80% of a loan of up to EUR 2.5 million per SME (incl. interconnections) 
  • Guarantee period max. 5 years

More information and application here

Corona short-time working model

To cope with the Corona crisis, there is a special short-time working model. This makes it possible to reduce working hours to zero and still maintain an employment relationship with almost full wage compensation. The employer’s contributions are paid by the AMS.
Information and templates here:

Tax relief

In addition, a number of reliefs can be applied for at the Ministry of Finance:

  • Reduction of income/corporate tax advance payments for 2020 (down to zero).
    The application must be made via FinanzOnline (other applications and enquiries), by post to the competent tax office or alternatively by sending the online form by e-mail to corona@bmf.gv.at (online form).
  • Payment facilities (deferral or payment by instalments)
    The date of payment of levies may be postponed until 30 September 2020 (deferral) or payment in instalments may be requested until 30 September 2020. The application must be submitted via FinanzOnline (payment facilitation), by post to the competent tax office or alternatively by sending the online form by e-mail to corona@bmf.gv.at (online form).
  • Cancellation of late payment penalties already assessed
    Businesses may request that a late payment surcharge assessed for a levy not paid on time be cancelled. The request must be made via FinanzOnline (other requests and enquiries), by post to the competent tax office or alternatively by sending the online form by e-mail to corona@bmf.gv.at (online form).
  • Non-assessment of late surcharges
  • Extension of the deadline for filing annual tax returns for 2019 to 31.8.2020
  • The running of appeal deadlines, objection deadlines, submission request deadlines and action appeal deadlines that were still open on 16 March 2020 or whose deadlines started to run between 16 March and 30 April will be interrupted until 1 May 2020.
  • Bonus payments and allowances for special services during the Corona crisis are tax-free.

Deferment of social security contributions

Anyone who is directly or indirectly affected by the Corona virus – through illness and quarantine or who is expecting massive business losses and therefore has payment difficulties – has the possibility, upon application, to have their contributions deferred or to pay them in instalments and to reduce the contribution basis. In addition, a full or partial waiver of interest on arrears is possible.

Compensation

Employers are to grant employees up to 3 weeks’ leave from work if the employee has no care facilities for children up to 14 years of age and works in a non-supply-critical area. The employer is entitled to compensation of 1/3 of the remuneration paid up to the maximum contribution basis Act:

FFG Small Projects

The funding supports “smaller” research and development projects of SMEs and start-ups, which are carried out alone or in cooperation and which result in commercially exploitable products, processes or services. Funding is provided for project costs up to a maximum of 60% (max. total costs € 150,000) in the form of grants. Submissions can be made at any time, there are no restrictions on the topic.
https://www.ffg.at/programm/kleinprojekt

Startnext Relief Fund

Startnext has launched a relief fund for affected people. All hurdles have been removed:
No transaction fees, no all-or-nothing principle, no thank you obligation, no pitch video obligation.
Here is the link: https://www.startnext.com/pages/hilfsfonds

CONDA HELPS: Crowdinvesting for small and young companies

The Corona crisis poses enormous challenges, especially for small and young companies in their operative business. The negative economic effects quickly lead to a critical liquidity situation. The crowdinvesting platform CONDA helps by checking all the necessary documents, waiving the margin and putting the project to be supported online. It is also possible to structure interest and repayment in the form of interest in kind or services and products. This not only creates liquidity quickly, but also supports the company’s turnover.

All information on CONDA HILFT can be found on this website.

Online marketing platforms

To boost your turnover you can register here:
https://www.zusammen-leiwand.at
https://anna-kauft.at/

Assistance with online sales

The Federal Ministry for Digitalisation and Economic Location has published a guide for offering goods on the internet. There you will find existing platforms as well as support for creating your own webshop.

To the online marketplace for domestic products

IT portal Stifter-helfen

Since most of us are currently working in our home offices, here is a hint to the IT portal Stifter-helfen of the Haus des Stiftens gGmbH. This portal provides associations, foundations and other non-profits with product donations and special conditions for IT as well as relevant know-how.
Further information can be found at stifter-helfen.at.

Vienna

Loan collateralization

Chamber of Commerce Vienna and the City of Vienna provide 80 per cent of the collateral for loans to companies in the amount of twelve million euros.
The transaction is handled by the Wiener Kreditbürgschafts- und Beteiligungsbank (WKBG).

Emergency funds of the WK Wien

Direct non-repayable subsidies for EPUs and micro-enterprises with up to ten employees if the enterprises were hit hard by the Corona crisis and were not supported by the federal government’s hardship fund.

Further links

waff job foundations

Funding for employers who want to cope with temporary staff overcapacity by means of a work foundation.

Home Office

Promotion of IT infrastructure for the establishment of teleworkplaces.

Lower Austria

The province of Lower Austria has reserved a package of measures with a liability framework of currently 20 million euros to support SMEs. In the event of declining turnover, bad debts, problems with the procurement of goods or staff shortages, the necessary liquidity is to be ensured so that operations can be maintained.

In concrete terms

  • 80 percent liability for a new loan of up to 500,000 euros is granted.
  • The processing fee and guarantee commission are covered 100 per cent by the province of Lower Austria.

The Lower Austrian Bürgschaften und Beteiligungen GmbH (NÖBEG), together with the social partners, distributed an information leaflet to businesses.
In addition, a hotline was set up. (Telephone: 02742/9000-19335; E-mail: stabilisierung@noebeg.at). The enterprises will receive a response within 24 hours.

Styria

“Teleworkplace!Offensive”

the province of Styria covers up to half of your costs for new home workplaces. The Styrian Chamber of Labour grants an additional 30 per cent subsidy.
Support is provided for investments in information and communication technology for workplaces outside the company location. This includes some hardware and software, the initial start-up as well as licences.

Further information here

Tyrol

Tyrolean consulting subsidies

For the period until 31 December 2020, the Chamber of Commerce and the Province of Tyrol will subsidise a maximum of twelve consulting hours related to the corona crisis with a maximum of 50 percent of the net costs.

Tax advisors, accountants and personnel accountants are also included in the list of advisors. Consultancy services that were used in the period from 11 March to 30 April 2020 can also be funded retroactively.

Information on how to apply and on the guidelines can be found at WKO.at/tirol.

Funding of home office workplaces

The subsidy is granted as a non-repayable one-off grant and amounts to a maximum of 50% of the eligible costs for

  • consulting services for the conception as well as the hardware and software equipment of the home office workplace as well as
  • the purchase of software for the IT equipment of the home office workplace and

a maximum of 30% of the eligible costs

  • for the purchase of IT hardware to be installed in connection therewith, whereby the non-repayable one-time grant per laptop, desktop or tablet amounts to a maximum of 300 euros.

The sum of the eligible costs must be at least 500 euros. The funding assessment basis is limited to 5,000 euros.

More information and the application form can be found on the homepage of the province of Tyrol.

Upper Austria

Hardship fund for small businesses

  • 15 million euros are available
  • Support package for small businesses that are not entitled to the Hardship Fund or Corona Aid Fund of the federal government
  • Applications can be submitted as of 15 April
  • Processing by the Province of Upper Austria

Information on the Upper Austrian Hardship Fund for Small Enterprises.

Corona guarantee for small businesses

  • 100 million euros are available
  • incl. interest and handling fee exemption until the end of 2021
  • Processing through KGG – Oberösterreichische Kreditgarantiegesellschaft m.b.H.

Information on the Upper Austrian Corona Guarantee for Small Businesses
Information from KGG – Oberösterreichische Kreditgarantiegesellschaft m.b.H. .

Provincial guarantees for medium-sized and large enterprises

  • 300 million euros are available
  • Liability up to 15 million per business
  • Settlement by the Province of Upper Austria
  • Applications are made through the house bank

Tourism package

18 million euros are available

  • ÖHT loans are interest-free until the end of 2021 – no separate application necessary
  • Exemption of businesses from tourism contributions (interest contributions) in 2020

Information on the Corona stabilisation programme for tourism
Information on the Upper Austrian Tourism Package of the ÖHT – Tourismusbank

Start-up package

  • 4 million euros are available
  • Service offensive “Stabilisation Start-Up
  • Deferral of start-up loans through tech2b
  • Assumption of liability for start-ups in Upper Austria by KGG Kreditgarantigesellschaft m.b.H. for start-ups .

Information for start-ups from tech2b .Information from KGG – Oberösterreichische Kreditgarantiegesellschaft m.b.H. .

Digitisation package

  • 5 million euros are available
  • Support for Upper Austrian companies in setting up digital forms of distribution
  • Support for companies entering the digitalisation process in general

Salzburg

Growth promotion for small businesses

The WKS and the province of Salzburg have massively expanded growth promotion for small businesses. SMEs investing in tangible assets this year should therefore take advantage of the opportunity to receive a one-off premium.

Who is eligible?

Companies with a maximum of fifty employees. The company must be a member of the Salzburg Chamber of Commerce.

What is subsidised?

The following self-financed or credit-financed material investments are promoted, which serve the purpose of:

  • achieving structural or mechanical improvements and/or expansions
  • offering new or improved products or services 
  • applying production processes
  • in tourism or leisure enterprises to extend the season, to attract new target groups, to improve the quality of operations or to create or improve accommodation or recreation facilities for employees
  • intangible investments, such as software, which are necessary for the use of tangible assets.

Submit your application before ordering or paying a deposit for the investment. The advisory team will be happy to answer any questions you may have!

Funding volume

The subsidy is paid out as a direct grant. The single premium covers a maximum of twenty percent (instead of ten percent as before) of the investment costs within the range of €10,000 to a maximum of €100,000. The previous funding ceiling was €40,000.

Submission

The application can be submitted online. The grant will be paid out after successful completion of the purchase and reporting. The application must be submitted before ordering or making a down payment on the investment.
An application can be submitted every second calendar year. The funding guidelines are valid until 31.12.2020.

More information on the subsidy can be found here.

Burgenland

“Hardship Fund”

Non-repayable grants are awarded for fixed costs and rental expenses.

Target group
EPUs and micro-enterprises (up to 9 employees) in the commercial sector, including tourism and gastronomy.

Only healthy enterprises or those that can be expected to continue as a going concern can be supported. Eligible costs and funding intensity

  • Rental cost subsidy 50%, maximum EUR 500.00
  • Fixed costs subsidy 50%, maximum EUR 5,000.00

SENA Community

As a social entrepreneur, you can also become a member of our closed SENA Community on Facebook. Here you will always receive the latest information on support and initiatives and can exchange ideas with like-minded people in a confidential setting.