Start-ups write incendiary letter to Lindner and Habeck

The conditions of the Invest program were apparently changed without prior notice. Some founders and investors are not prepared to accept this.

In an open letter to Christian Lindner and Robert Habeck, start-ups and investors criticize the new funding conditions of the Federal Ministry for Economic Affairs and Climate Protection's Invest programme. The changed conditions have been in place since March 1 and were apparently not announced in advance. The Hamburg start-up Sponsoo initiated the letter. As of today, almost 40 start-ups and business angels have signed the letter. These include the start-ups Animalytics, Kurabu and Cybus as well as Snow Ventures. Together, the signatories are calling for the previous funding conditions to be restored.

The changes to the program stipulate that investments of less than 25,000 euros will no longer be funded. Previously, investments of 10,000 euros or more were subsidized. In addition, from now on no follow-up financing will be eligible for funding, only initial investments. The acquisition subsidy for convertible loans has also been halved to 10 percent.

"As start-ups and angel investors, we are willing to do our part to help overcome the pandemic, integrate refugees due to foreign policy crises or strengthen Germany as a business location," the letter reads. In return, investors are demanding that politicians keep their promises. Both the Greens' and the FDP's election manifestos included the expansion of support for start-ups. "Is this how you imagine the "expansion" of funding programs?" asks the initiative in its letter.