Money from the state: 33 start-ups in Saxony get help

The Corona Relief Fund of the Free State of Bavaria has so far disbursed 14.6 million euros. The fund has rejected 15 applications.

The Free State of Saxony wants as many start-ups as possible to get through the crisis. To this end, it set up a coronavirus aid fund at the beginning of August to provide young companies with the necessary liquidity. The federal state has now communicated figures for the first time on how much the Mittelständische Beteiligungsgesellschaft Sachsen (MBG), which manages the fund, has given to young start-ups.

According to the figures, MBG, a private investment company with public funding, has so far given out 14.6 million euros to a total of 33 start-ups. According to the company, these include the e-health company Scanacs from Dresden and the social start-up Theo turnt from Görlitz.

Martin Dulig, Saxon State Minister for Economic Affairs, Labor and Transport, believes that the aid has been well received so far. "I am very pleased that we are able to help numerous start-ups to continue on their successful path. The Free State of Saxony needs innovative and promising start-ups, because it is the young start-ups that are driving the modernization of our economy with their innovative business models," he says.

Saxony set up the fund back in August as part of a cooperation between the federal and state governments, the Kreditanstalt für Wiederaufbau (KfW), the Sächsische Förderbank and the MBG. It is intended to help young companies that have run into liquidity difficulties during the coronavirus pandemic. 80 applications have been submitted by start-ups in Saxony so far. MBG has approved 33 and rejected 15 due to lack of eligibility.