Funding for business development in disruptive circumstances
Was your company's funding application approved? Congratulations! This page contains instructions on how to start, monitor and report on your project.
1) Starting the project
Business Finland pays the advance payment
Business Finland will pay an advance payment of 70% when the company has approved the funding decision. An advance payment already paid may be clawed back if the terms and conditions of funding are not followed.
Arrange accounting properly
Project costs must be accounted right from the start of the project. You must be able itemize the project costs and prove their connection to accounting.
Only costs that have arisen during the project may be accepted for the project. A project may start earlier than the moment the funding application was sent from the Online Service. Therefore, a fee paid for creating the application is not an acceptable cost for the project.
All costs declared for projects must be paid for by the time they are reported to Business Finland.
Eligible costs for the project
- A salary paid for a person is an eligible project cost in the proportion the person has worked in the project.
- The report must compare the actual work effort to the estimate in the project plan and report any deviations.
Indirect personnel costs
- The percentage of salaries referred to in the funding decision is an eligible indirect personnel cost.
- The persons must belong to the scope of Finnish social security.
- Expert services in accordance with the project plan are considered eligible purchased services.
- Purchased services are approved without VAT.
- If the value of the procurement is at least EUR 60,000, the beneficiary is subject to the acts on public procurement.
- The only eligible purchases from an associated company are purchases with a group.
- The percentage of the sum of salaries and purchased services stated in the funding decision is an eligible cost.
- Other costs are not reported to Business Finland, nor do they need to be included in the beneficiary's project accounting.
- Other costs include overhead, travel, material and equipment costs, as well as rents and purchase of machinery and equipment, machinery and equipment depreciations and rental costs (incl. cloud services).
2) Changes during the project
If you notice during the project that your company cannot execute the project in accordance with the original plan, submit a change application for the project in the Online Service:
- Change to the project schedule (a change application is not needed if the project is extended by a maximum of 4 months or ends earlier than anticipated).
- Significant changes to the cost estimate or execution plan (a change application is not needed for a change between cost categories that does not exceed 20% of the cost estimate)
- Replacement of the accountable project leader
- Change to the funding plan
Report minor changes to Business Finland's record office:
- The bank account number changes Send the template signed by an authorized signatory of the organization.
- The project's contact person or the cost statement contact person changes
3) When the project ends
Complete the report in the Online service
Complete the final report in Business Finland's Online Service within 4 months from the end of the project period. You can complete the report once you finish your project, even if your project period hasn't ended yet.
The report may only be submitted by the accountable project leader or an authorized signatory of the organization. The accountable project leader is responsible for ensuring that:
- the project's implementation has met the funding conditions
- the funding has been used in compliance with the project plan
- the funding has not been used for purchasing services from associated companies other than group companies
Business Finland pays the remaining portion of the funding
The remaining 30% of the funding will be paid after the final report has been approved. Paying the funding is subject to the company completing the final report and that the project has been implemented in accordance with the plan and in compliance with the funding decision and the terms and conditions of funding.
Funding cannot be paid if the company has outstanding tax debt that does not have a tax payment arrangement in place or for which a tax payment arrangement has not been applied for. In addition the company must not have neglected to file any tax returns. Business Finland may exchange information regarding the funding beneficiary with Finnish Tax Administration, for example.
Business Finland strives to pay the funding within 21 days from the date the final report was submitted to Business Finland's Online Service.
Keep documentation for any follow-up audit
Keep documentation related to the project for 10 years from the last instalment of the funding payment.
Business Finland will carry out more detailed audits on some projects retrospectively. The projects subject to a follow-up audit are selected randomly or based on a risk assessment or suspected misuse. In the event of any non-compliance or misuse of funding, Business Finland has the right to reclaim the funding either partially or in full with interest.