The European Investment Fund (EIF) and one of the largest banks in Luxembourg have drafted an agreement through which innovative companies in the Grand Duchy would have access to finance. The agreement is called InnovFin SMEG and is dedicated to small and medium-sized enterprises (SMEs) in Luxembourg. If you want to open an innovative company in the Grand Duchy, you can rely on our law firm in Luxembourg.

What does the InnovFin SMEG agreement entail?

The Luxembourg Government has started to pay attention to international trends related to innovation and decided it is time to make room for the development of this segment here too. In order to offer good conditions for innovative companies, the Government together with the European Investment Fund has drafted the Investment Plan for Europe which provides for funds worth 40 million euros for innovative SMEs in Luxembourg. The European Fund for Strategic Investments is another supporter of the program.

Concretely, the InnovFin SMEG agreement provides for advantageous loans for innovative small and medium-sized companies in Luxembourg for the following two years. Our lawyers in Luxembourg can offer information on other incentives available for innovative companies.

Innovation is also important for the Luxembourg economy

In only two years, innovative companies in Luxembourg have started to make a difference for the economy in a good way: these types of businesses are important for job creation, for attracting investments and an increasing competitiveness with other European countries. One fact must be taken into consideration and that is innovative and research and development companies are still in the small and medium-sized phase in Luxembourg and this the main reason they need all the support offered, which can come either through favorable loans or governmental assistance.

Another thing that should be noted is that the Investment Plan for Europe addresses all innovative companies in Europe, not only those in Luxembourg, which is why it is one of the most important initiatives for EU companies which will also find it easier to expand their operations abroad.

For information on the legislation supporting the innovation and research and development industry, please contact our attorneys in Luxembourg.