De-minimis regulation at WERK1

We can offer you all WERK1 services in this form, as we are publicly funded by the Bavarian State Ministry of Economic Affairs, Regional Development and Energy. The use of the areas in WERK1 therefore falls under the de-minimis-aid regulation of the EU.

The de-minimis-aid-regulation makes assistance granted by an EU member state to an enterprise, the amount of which is to be regarded as negligible – to certain conditions – not further approved by the European Commission (“de- minimis-aid”). Detailed information on the de- minimis-aid-regulation can be found on the information page of the Federal Ministry of Economics and Energy.

FAQ – De-Minimis

Excerpt from the official FAQ of the Bavarian State Ministry of Economic Affairs and Media, Energy and Technology, Department 17-Status: 04/2017

On January the 1st, 2014, the De-minimis-regulation (EU) No. 1407/2013 came into force and replaced the De-minimis-regulation (EC) No. 1998/2006. Subsidies under the De-minimis-regulation (old version) have been inadmissible since 1st of July 2014 (end of the transitional period). Questions of doubt and interpretation must be clarified with the granting authority.

WHAT IS A DE-MINIMIS-AID?

The promotion of enterprises is subject to European state aid law (Art. 107 of the Treaty on the Functioning of the European Union). It is intended to prevent competition in the European internal market from being distorted by (uncontrolled) subsidies granted by the Member States. For this reason, subsidies to companies must always be notified to the European Commission for approval

An exception from the obligation to notify is made possible by the de minimis Regulation

De minimis aid means aid up to an aid amount or subsidy value of EUR 200 000 (up to EUR 100 000 in the case of commercial road haulage) within three fiscal years, which does not have to be notified to the European Commission for approval. To this extent, the Commission assumes that there will be no distortion of competition as a result. This simplifies the support for companies, as each formal notification involves a considerable amount of (time) effort

ARE ALL WERK1-STARTUPS AFFECTED?

Yes, everyone who uses office space with us is affected, as your public subsidy takes the form of reduced rents. We will issue you with a certificate of subsidy payments for a period of 2 years.

THE APPLICATION AND APPROVAL PROCESS TAKE PLACE IN TWO DIFFERENT CALENDAR YEARS. WHICH PERIOD IS THEN DECISIVE FOR THE DE-MINIMIS-EXAMINATION?

The conditions for de-minimis-support must be met at the time of approval. In Germany, the calendar year (= tax year) is decisive. Therefore, the year of approval is decisive.