Patience Key for Start-up Grant Applicants in Hamburg
Patience is crucial for founders when submitting funding requests in Hamburg, given the potential complexities and delays in the application process. - Importance of Endurance in Hamburg's Daily Life
Navigating the grant application process at Hamburgische Investitions- und Förderbank (IFB Hamburg) can be a lengthy affair for fledgling entrepreneurs. According to Julian Herrmann, CDU parliamentary spokesperson for start-ups and innovation, technologically innovative start-ups tend to wait around five and a half months, on average, for approval of the InnoRampUp funding program from the German Press Agency. The Senate's response to a minor inquiry reveals that the approval period for other funding programs in the same timeframe ranges between four to six months.
Herrmann highlighted that these extended waiting times grate on the city's start-up founders, particularly those in their fledgling stages. Contrastingly, the federal Exist funding program typically delivers a final verdict within two months, and funding starts within three months post-application. "Why on earth does IFB funding in Hamburg take twice as long as the federal program?!" Herrmann questioned, with InnoRampUp grants capping at €150,000.
The Senate attributed the lengthy processing times to a multi-stage process, which includes a short presentation at IFB Innovationsstarter GmbH and participation in a funding committee meeting. Moreover, the development of a start-up before it's eligible for funding often extends the process.
Notably, the Senate stressed that the average processing time hinges on several factors, namely:
- Founders' availability and speed in providing additional information or making deemed necessary improvements to their start-up.
- Quality and completeness of the information provided during the application.
- The project's complexity and its need for thorough evaluation and assessment.
- Availability of funds and budget allocations.
- Compliance with regulatory requirements.
Despite long waits for approval, rejections are typically processed much swifter, taking anywhere between one to three months.
While the enrichment data does not pin down specific processing times for grant applications, there are other funding initiatives in Hamburg worth mentioning:
- AI Ideation Programme: Although this program, run by AI.STARTUP.HUB, supports AI-related start-ups with ideation, it doesn't focus on general grant applications.
- Hamburg Invest and Startup City Hamburg: Both organizations boost the start-up ecosystem through networking opportunities, funding schemes, and more, yet they don't offer specific processing times for grant applications.
- The community could consider advocating for reform in the city's policy regarding vocational training, as the lengthy process for grant approval in financing for technology-focused businesses might be discouraging potential entrepreneurs seeking vocational training to start businesses in Hamburg.
- To ensure the success of their ventures, aspiring entrepreneurs might consider enrolling in vocational training programs that focus on business management, as navigating the complex grant application process with IFB Hamburg requires a thorough understanding of financial and administrative aspects, especially given the delayed approval times for funding programs.
