Article 3 of the law of June 30th 2004 introduces a possibility for an aid system increase concerning investments in tangible and intangible assets in favour of small and medium-sized enterprises as per article 2 of the draft law in support of creators or buyers of enterprises at the time of their first establishment. It is a measure which intends to encourage people with adequate professional qualities to create or take over an enterprise. This measure has for objective to revive entrepreneurship and the permanence of small and medium-sized businesses.
Object and scope
Enterprises which are eligible for initial investment aid are those which are eligible in the SME system. Additional aid can only be granted to starting up entrepreneurs with reference to the criteria of first establishment of the recipient of the aid considered.
Conditions of eligibility
Aid awarded according to this regulation, including, in case of successive take-overs of a same enterprise by different natural or legal persons, cannot be allocated more than once to the same economic entity over a period of 10 years.
Requirement of a business plan
As initial investment aid addresses exclusively starting-up entrepreneurs, it has seemed to be right to request proof of a carefully planned project or concept. For that reason for the Grand Ducal regulation has introduced the demand for a business plan as a condition for obtaining State aid.
Scope of the aid
Investment aid consists of a 10 percent increase of the aid in tangible and intangible assets in favour of small and medium-sized enterprises, as provided in article 2 of the law.