KfW's ERP StartGeld loan program opens to non-profit enterprises
KfW will resume offering its ERP StartGeld startup loan program to non-profit organizations starting February 1st. The expansion, following a parliamentary decision, allows a broader range of public-good focused businesses to access funding.
The German state-owned development bank KfW announced it will reopen its ERP StartGeld startup loan program to non-profit enterprises on February 1st. Previously, the program was exclusively for commercial businesses.
The expansion of eligibility was approved through Germany's parliament as part of the ERP Economic Planning Act 2026. This decision enables support for all enterprises focused on the public good, including small commercial social enterprises and small non-profit organizations.
The ERP StartGeld program provides startups, self-employed individuals, and new businesses with access to loans of up to EUR 200,000 at favorable interest rates, available up to five years after business launch. KfW covers 80 percent of the default risk for loans from the applicant's regular bank, thereby improving access to capital. Funds can be used for both investments and operating expenses.
KfW stated its commitment to supporting businesses that prioritize social aspects and positively impact society. The program's updated criteria now encompass a wider array of organizations contributing to the public interest, irrespective of their profit-seeking status.