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Seize opportunities – shape your future
As the familiar saying goes, ‘All roads lead to Rome.’ There are many paths to the dream of an independent, entrepreneurial future too. If you start a business while unemployed, you may qualify for special support from the Federal Employment Agency or the Jobcenter.
Startseite » Your startup journey » Make a plan » Challenges of starting a business » Starting a business while unemployed
Brave? Absolutely!
Are you receiving unemployment benefit I (ALG I) or Bürgergeld and want to take control of your life and be independent again? Do you have an idea you might be able to sell? Are you motivated to work for your own satisfaction and future? Then self-employment may be just the right path for you. Under certain conditions, you can expect financial support from either the Employment Agency or the Jobcenter. However, there is no legal entitlement to this funding.
- Independence and the freedom to make decisions and shape your work
- Greater satisfaction from pursuing your own goals and meaningful work, and greater self-esteem
- Organise your working hours and location to suit your way of life
- Better earning potential, as ALG I and Bürgergeld are limited
- Personal and professional development
Steps towards making a decision
1
Friends, family and like-minded people can give you feedback: does your idea have a chance of success?
2
Attend our startup event series or ask your caseworker about the topic.
3
Plan specifically what you want to offer and how you want to build your business.
4
The startup grant or Einstiegsgeld can make it easier for you to become self-employed.
Support for starting a business while receiving ALG I
If you meet certain requirements, you can benefit from the startup grant, through which the Federal Employment Agency provides financial support for your startup project.
Requirements for applying for the startup grant:
- At least 150 days of remaining entitlement to unemployment benefit I when you start your business
- The planned self-employment is your main occupation
- A convincing business plan, including a viability certificate from WiReGo
Amount and duration of the startup grant:
- Once approved, the startup grant is paid for six months
- The monthly grant equals your personal unemployment benefit plus EUR 300 towards social insurance
- If needed and on application, the Federal Employment Agency can approve the EUR 300 for a further nine months
Support for starting a business while receiving Bürgergeld
If you receive Bürgergeld and want to become self-employed, you may also receive financial support from the Jobcenter in the form of Einstiegsgeld in addition to Bürgergeld, subject to certain conditions.
Requirements for applying for Einstiegsgeld:
- The planned self-employment is your main occupation
- A convincing business plan, including a viability certificate from WiReGo
Amount and duration of Einstiegsgeld:
- Einstiegsgeld is paid for a limited period as a supplement to Bürgergeld
- The duration and amount of the payment depend on how long you have been unemployed and the size of your benefit household
- The funding period can be up to 24 months
Want to get your idea off the ground and leave unemployment behind?
Then seek advice from your caseworker early on. And come to us too. Our startup team will support you with your plans.
Startup modules – an event series for new businesses
If you want to start a business, our free event series gives you the key information and basic knowledge for successful self-employment.
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