Funding for digital projects under the current IGP call is available to at least two companies working together to develop a new service, process or business model. Projects undertaken by a single company are not eligible. Applications to participate must be submitted electronically by 20 August 2026 at 15:00.
What does the funding for digital projects cover?
Funding is available for jointly developed business models and pioneering solutions that combine experience from different sectors or businesses. The current call specifically targets partnerships between skilled trades businesses, established SMEs, start-ups and digital companies.
The Innovationsprogramm für Geschäftsmodelle und Pionierlösungen (innovation programme for business models and pioneering solutions), or IGP for short, is a funding programme run by the Bundesministerium für Wirtschaft und Energie (Federal Ministry for Economic Affairs and Energy). It focuses on non-technical innovations. This means that the key factor is not simply a new technology, but primarily a novel application, service, way of working or form of collaboration.
According to the Bundeswirtschaftsministerium call for funding for cross-innovations, companies from different fields should combine their expertise. For example, a skilled trades business could combine its experience of scheduling field work with the development expertise of a software company.
SMEs are small and medium-sized enterprises. Whether a business is classed as a micro, small or medium-sized enterprise depends on factors including its number of employees, annual turnover and balance sheet total. The precise classification is important because it determines the maximum funding rate.
Which digital projects could be suitable for the call?
Suitable projects are those in which both partners develop a new solution and each takes on a clearly defined share of the work. Purchasing or routinely implementing software that is already available is generally not sufficient.
One possible example is a new workforce scheduling system for a building services provider. The business contributes its knowledge of shifts, qualifications, travel routes and last-minute absences. A software company uses this knowledge to develop a novel application that combines these requirements differently from existing solutions.
Other possible projects include:
- a shared digital customer service for several skilled trades,
- a platform for collaboration between skilled trades businesses and planning consultancies,
- a new billing model for digitally supported services,
- a cross-sector process for scheduling staff, vehicles and materials,
- a digital service that makes existing operational data useful to customers.
The key factor is that the project involves development. It should solve a specific problem, be clearly different from existing offerings and have the potential for commercial use. If processes, paper lists and Excel files first need to be organised, the structured digitalisation of existing business processes may provide the necessary groundwork.
What are the cost limits and funding rates?
IGP distinguishes between feasibility projects and market-readiness projects. The appropriate project type depends on how far the joint idea has already been developed.
Feasibility projects
According to the IGP entry in the German federal funding database, feasibility projects may run for up to 12 months and include total eligible costs of no more than 150,000 euros. They are suitable for evaluating an idea, developing a concept or creating an initial working prototype.
For feasibility projects, the maximum funding rate is 70 per cent for micro-enterprises, 65 per cent for small enterprises and 60 per cent for medium-sized enterprises. This rate indicates the potential proportion of eligible costs covered by the grant.
A simplified example: a small enterprise plans eligible costs of 90,000 euros. At the maximum rate of 65 per cent, 58,500 euros of these costs could be covered by a grant. A participating micro-enterprise with eligible costs of 60,000 euros could receive up to 42,000 euros at a rate of 70 per cent, provided that all costs are accepted.
Market-readiness projects
According to the Bundeswirtschaftsministerium information on IGP, market-readiness projects may run for up to 24 months. Eligible costs of up to 600,000 euros are possible across the entire project partnership.
For market-readiness projects, the maximum funding rates are 55 per cent for micro-enterprises, 50 per cent for small enterprises and 45 per cent for medium-sized enterprises. Such projects may, for example, cover the completion and testing of a previously evaluated solution, as well as preparations for its commercial use.
What requirements apply to the partnership?
At least two eligible companies must carry out the project together. The partner with the smallest share must perform at least 20 per cent of the total work.
A company must therefore not participate merely as a formal partner or invoice for a standard supplier service. Tasks should be allocated so that each company makes a clear contribution to the development work. This includes providing its own staff, taking professional responsibility and handling clearly defined work packages.
Before applying, the partners should agree and record at least the following points:
- the business problem and proposed solution,
- how the solution differs from existing offerings,
- each partner’s tasks and share of the work,
- the planned costs for each company,
- subsequent use and commercial exploitation,
- rights relating to software, data and jointly developed knowledge.
For bespoke software in particular, functions, responsibilities and usage rights should be clarified at an early stage. An overview of developing bespoke software and apps for your own business sets out the operational and technical questions that typically need to be addressed.
What is the process from initial application to funding application?
The electronic application to participate must first be submitted by 20 August 2026 at 15:00. Successful applicants are expected to be invited to a pitch in January 2027. The full funding application is submitted only after this stage.
The pitch is a short presentation of the project to a selection panel. An invitation does not constitute confirmation of funding. The date given in January 2027 is also provisional and may change.
The application should therefore not be prepared shortly before the deadline. Experience shows that several meetings are needed to coordinate between two companies. Costs, shares of work and project objectives must be consistent and approved internally by both businesses.
A practical sequence is:
- Describe the project idea and the specific customer problem.
- Secure the involvement of a suitable company as a committed partner.
- Select either feasibility or market readiness as the project type.
- Calculate the work packages, schedule and costs for each partner.
- Explain the innovation, market relevance and plans for joint commercial exploitation.
- Submit the electronic application to participate with sufficient time before the deadline.
The ZENIT GmbH summary of the current IGP call provides additional information about the selection process. The official documents and requirements issued by the Bundeswirtschaftsministerium remain authoritative.
ibx company advises small and medium-sized enterprises in Hannover and the surrounding region. If you would like to review a project idea, the partners‘ roles or the proposed digital solution, you can arrange a no-obligation initial consultation about the planned digitalisation.