Subsidies are a potential source of financing for your company. Although this source of financing is clearly more restrictive than capital, self-financing and credits, it must not be ruled out or underestimated.
What is a subsidy?
A subsidy is generally:
- Related to a specific object requiring financing
- Limited to a percentage of the object to be financed
- Released in the form of a financial cash flow (except if it is related to a tax calculation)
- Provided after the expense in question is incurred, often in several instalments
The main advantages of subsidies (excluding exceptions or special terms) are that they:
- do not lead to interest charges
- do not require a return on investment
- do not have to be repaid
unlike other sources of financing.
For information, in 2020, the total amount of subsidies granted by the Brussels administration (Brussels Economy and Employment) amounted to nearly 28.5 million euros (4,279 files were the subject of a decision, of which nearly 70% were granted).
How to prepare a subsidy request?
Before filling in an application for public aid (subsidy, financing, employment bonus, etc.), it is first of all necessary to be aware that this aid is granted by more than thirty different public institutions. The granting conditions can, therefore, vary significantly from one aid to another. The criteria can be different between two institutions! The criteria can even be different from one aid to another within a single institution. Therefore, the importance of systematically verifying the grant conditions before applying for the aid you want.
To maximise your chances of obtaining a subsidy, we've gathered the essential points to keep in mind when planning a request for public aid for your company on this page.
It is generally recommended not to base your financial plan, the profitability of your project and the evaluation of financing needs on receiving subsidies.
It is essential to be aware that, to claim a subsidy, you must submit a file before incurring any expenses that you want to be subsidised.
You can find an overview of all the subsidies available to Brussels entrepreneurs in the Subsidies section (FR).