Innovation loan
Does your company have a new technology, product, or solution that needs additional funding to reach the next stage?
The Innovation Loan is designed for businesses with innovative projects that require financing for development, investment, or market entry, especially in situations where traditional grant schemes or market-based financing are not a suitable option.
The loan is available to small and medium-sized enterprises as well as large companies. Generally, we expect the project to have reached at least Technology Readiness Level TRL5, meaning that the solution has already been initially tested and validated.
Innovation loan webinar
On 29 April 2026 we held a webinar introducing the innovation loan.
During the webinar, we spoke:
- who the Innovation Loan is designed for
- what the loan can be used for
- which types of projects are eligible for funding
- whether your company’s project could qualify for an Innovation Loan of up to €5 million
What can the innovation loan be used for?
The Innovation loan supports projects with clear innovative value where securing financing may be challenging for the company. It can be used, for example, when a business wants to further develop a new technology, product, or service; invest in production capacity; move a solution to the next development or market phase; or cover costs related to preparing for market entry.
The loan can be used to finance, among other things:
- personnel costs related to the project
- investments in tangible fixed assets
- investments in intangible fixed assets
- working capital needed, for example, for the production and marketing of innovative products
- applied research
- product development
- feasibility studies
- initial investments
- other activities related to the development of products and services
Who is the innovation loan intended for?
The innovation loan is suitable for businesses that meet the following criteria:
- the project is innovative
- the company is creditworthy
- the company’s equity meets the requirements and accounts for at least 10% of the balance sheet prior to receiving the loan
- the company has no outstanding tax arrears
- the project’s technological readiness level is generally at least TRL 5
Service information
The interest rate for the innovation loan starts from 2% per annum. For initial investments, applied research, product development, and feasibility studies, the interest rate is 2% per year. For other activities, the interest rate depends on the applicant’s risk rating and the specific terms of the project.
The contract fee is 0.5% of the loan amount. The contract amendment fee is 0.2% of the outstanding loan balance.
The loan period is up to 15 years. A principal repayment grace period of up to 3 years is generally available.
If you wish to repay the loan early, you must notify EIS at least 3 months in advance.
The innovation loan is not granted for financing the following activities and sectors, among others:
- primary production of agricultural products
- primary production in fisheries and aquaculture, and in certain cases the processing and marketing of related products
- forestry
- real estate development for sale or rental purposes
- gambling-related activities
- activities related to pornography
- illegal downloading of data or enabling illegal access to data networks
- research and development activities in healthcare related to human cloning or the development of genetically modified organisms
- production or trade related to illegal products or activities
- business activities involving forced labour or child labour
- trade related to endangered species
- production and distribution of racist, anti-democratic, or neo-Nazi media
- certain operating costs directly related to exports
- the steel, coal, and lignite sectors
- the transport sector and related infrastructure
- energy production, energy storage, energy transmission, energy distribution, and related infrastructure
- the broadband sector
If you are unsure whether your project or activity is eligible, we recommend contacting EIS before submitting an application.
When receiving the loan, the borrower must take into account the following obligations:
- demonstrate that the loan funds are used for their intended purpose
- submit quarterly activity and financial reports to EIS
- obtain approval for taking on additional obligations, making investments, or disposing of assets that exceed the thresholds specified in the loan agreement
How to apply?
The following documents must be included with the application:
- innovation loan application form
- a business plan, including the investment project plan and project objectives
- a detailed breakdown of the costs to be financed
- financial forecasts in a format accepted by EIS
- an interim report for the current financial year, not older than 3 months at the time of application
- CVs of the applicant’s key personnel
- a completed and signed environmental impact questionnaire
Good to know
If a company plans to take out a bank loan in addition to an EIS loan to implement its business plan, it is advisable to contact both the bank and EIS simultaneously. This allows both parties to better align the loan terms.
EIS services may include state aid, including de minimis aid. More detailed information is available on the State aid and de minimis aid page.