Financing

1. Can I get a grant to start a business?

There are no general grants for business start-ups. In certain cases, if you are unemployed (or at risk of becoming unemployed), you may apply for a "Business Start-up" grant from the Swedish Public Employment Service.

The county administrative boards deal with regional policy company subsidies, which may also be granted for business start-ups in certain regions. Contact your own county administrative board for more information. If you are made redundant due to shortage of work, you may in certain cases qualify for practical and financial support from the Swedish Job Security Foundation (TRS) or the Swedish Employment Security Council (TRR).

2. Can I get a business start-up grant?

To be eligible for a grant you must be at least 25 years old and be registered as job-seeker at the Public Employment Service. You may receive the grant for a maximum of six months. Your application must show that your business concept can provide you with a long-term livelihood. The grant is for your personal support and corresponds to the benefit you would have received as an unemployed person. It is important to apply for the grant before you start any form of economic activity in your company.

3. Can I get a grant from the county administrative board?

You can apply to the county administrative board for support if you are a privately owned small or medium-sized company (fewer than 250 employees) in a sparsely populated or rural area anywhere in the country and you conduct business activities at market conditions. The support available is between 25 and 50 percent of the approved investment, although this may not exceed SEK 800,000 in a three-year period. An individual examination of the size of the grant is made in all cases. A grant can only be awarded in certain support areas. Contact your county administrative board or regional council for more information.

4. Are there any government loans for business start-ups?

ALMI Företagspartner AB is a state-owned company with 19 subsidiaries in the country. ALMI can award loans to companies, whatever the legal form of the business. The full financing solution is constructed according to the customer's particular situation and is normally put together in collaboration with a bank.

5. Can I borrow money without security?

In 2007, ALMI launched its new micro loan. The micro loan is designed to facilitate and stimulate the establishment of new companies and to develop existing companies which are having difficulties obtaining a normal bank loan. The micro loan is designed for entrepreneurs with a low capital requirement - up to SEK 250,000.

Unlike ALMI's other forms of financing, no co-financier is required for the micro loan. ALMI may lend up to 100 per cent of the capital requirement up to SEK 250,000 without security. To compensate for the higher risk and avoid competing with the private market, ALMI charges higher interest than the average bank rate. The loan will normally be required to be repaid in 3-5 years, and is interest-only for the first six months. Contact ALMI in your region for more information.

6. Are there any special grants or loans for female entrepreneurs?

No. The government may not earmark gender-specific grants. However, there are available support funds for starting projects aimed at promoting female entrepreneurship in Sweden.

7. Does the Swedish Agency for Economic and Regional Growth have any grants for companies?

The Swedish Agency for Economic and Regional Growth has various company grants which may be awarded in different prioritised support areas. To apply for regional investment support, a company must be active in support area A or B. The support areas cover virtually all Norrland and parts of the counties of Dalarna, Värmland, Örebro, Västmanland, Kalmar and Västra Götaland. In parts of the support areas, the opportunity for obtaining regional investment support is limited.

8. Are there grants to develop a product concept or innovation?

Grants for product concepts may be awarded by ALMI Företagspartner in the county in question. They work closely with Innovation Sweden and can give support for good product concepts with the potential for commercialisation. Contact the ALMI company in your county or find out more by visiting their website. Innovation grant potential varies according to where in Sweden you live. Contact ALMI to find out more.

9. Are there any EU grants I can apply for as an entrepreneur?

The EU does not have any general grants for business start-ups. In some regions, sectors and prioritised policy areas, there is potential for support. Grant applications are always subject to special conditions. The basic principle is that public grants must not distort or threaten to distort competition on the market. Consequently, very little support is awarded directly to individual companies.

However, support is available for areas such as skills development. You can also obtain advice on how to establish your company or acquire business partners in other EU countries.

Enterprise Europe Network is a network for small and medium-sized enterprises which provides information and support in EU-related matters. It can also help find suitable EU support or project partners in other countries. The EU Information Centre (www.eu-upplysningen.se) has more information about the various forms of EU support.