What Is the BAFA Consulting Subsidy?
The BAFA consulting subsidy is a federal program for <strong>promoting business consulting for SMEs</strong>. The program is jointly funded by the German Federal Ministry for Economic Affairs and Climate Action (BMWK) and the European Social Fund Plus (ESF+). The goal: Small and medium-sized enterprises should have access to professional consulting — without bearing the full costs themselves. The subsidy covers a significant portion of consulting costs. <strong>Important:</strong> The program runs until <strong>December 31, 2026</strong>. The application must be submitted <strong>before the consulting begins</strong>.
The BAFA application must be submitted and confirmed BEFORE the consulting begins. Retroactive applications are not accepted.
Who Is Eligible?
The BAFA subsidy is aimed at small and medium-sized enterprises (SMEs) based in Germany. The key requirements: <strong>Company size:</strong> Fewer than 250 employees and annual turnover below 50 million EUR or a balance sheet total below 43 million EUR. <strong>Legal form:</strong> Operating commercially or as a freelancer. Registered in the commercial register, chamber of crafts, or comparable registers. <strong>Based in Germany:</strong> The company must have its registered office in Germany. <strong>Excluded:</strong> Companies in difficulty (per EU definition), consulting companies themselves, and companies in agriculture, forestry, fisheries, and aquaculture.
Subsidy Amounts and Regions
The subsidy amount differs depending on your company's location: <strong>Western Germany (incl. Berlin):</strong> 50% subsidy, maximum 1,750 EUR per consultation. <strong>Eastern Germany (excl. Berlin):</strong> 80% subsidy, maximum 2,800 EUR per consultation. <strong>Frequency:</strong> Up to 2 subsidized consultations per year are possible. A total of up to 5 consultations can be subsidized until the program ends in 2026. The maximum eligible consulting amount is 3,500 EUR per consultation (net). The subsidy is paid directly to the company after the consulting is completed.
Eastern German states: Brandenburg, Mecklenburg-Western Pomerania, Saxony, Saxony-Anhalt, and Thuringia receive 80% funding instead of 50%.
Step-by-Step: From Application to Funding
<strong>Step 1: Define Consulting Needs</strong> Clarify internally which areas of your digitalization need professional consulting. Wito AI helps you with the free readiness check for needs analysis. <strong>Step 2: Submit Online Application to BAFA</strong> The funding application is submitted online through the BAFA portal. Wito AI supports you with complete application documentation. <strong>Step 3: Wait for Confirmation</strong> After submission, you receive an acknowledgment of receipt. Processing time is typically 2-4 weeks. <strong>Step 4: Conduct Consulting</strong> Only after receiving the funding approval does the actual consulting begin. The consulting must be completed within 6 months of approval. <strong>Step 5: Submit Proof of Use</strong> After completing the consulting, submit the proof of use with the consulting report to BAFA. <strong>Step 6: Receive Funding</strong> The subsidy is transferred directly to your account after review of the proof of use.
Example Calculation: Standard Package with BAFA
<strong>Example: Craft business from Ravensburg, 38 employees</strong> The company chooses Wito AI onboarding plus 3 months standard package: <strong>Onboarding (one-time):</strong> 1,490 EUR <strong>3 months standard package:</strong> 3 x 990 EUR = 2,970 EUR <strong>Total costs:</strong> 4,460 EUR <strong>BAFA subsidy (western Germany, 50%):</strong> -1,750 EUR <strong>Net investment:</strong> 2,710 EUR <strong>Per month (over 3 months):</strong> approx. 903 EUR/month For 903 EUR/month you get an external CDO with strategy, AI implementation, process automation, and software development — instead of 11,750-20,300 EUR/month for a full-time CDO.
Tip: In eastern German states, the subsidy is even 80% (max. 2,800 EUR). The net investment drops to only 1,660 EUR for 3 months.
Scientifically Founded Assessment
Before submitting your BAFA application, we recommend our free AI readiness check. It is based on a <strong>7-dimension model</strong> derived from 8 international research models: <strong>The 7 dimensions:</strong> Strategy, Technology, Data and AI, Processes, Customers, People, and Security. The assessment comprises 26 questions and takes only 3 minutes. You receive an immediate score with concrete recommendations for action — the perfect foundation for your BAFA application and subsequent consulting. The readiness check is 100% free and non-binding. Your data is processed in compliance with GDPR and is not shared with third parties.
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