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ZIM Funding: Felsaris Secures SMEs Up to €690,000 Grant

ZIM Funding 2025: Felsaris guides you from idea to approval, increases success rates to 95%, and secures up to €690,000 in grants for SMEs.

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David Leimann
23.12.2025
8 min
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ZIM Funding: How Felsaris Supports Innovative SMEs in R&D Projects

The Central Innovation Programme for SMEs (ZIM) is Germany’s most important funding program for small and medium-sized enterprises. With up to €690,000 in funding per individual project and an approval rate of over 50%, ZIM offers significant opportunities for innovation initiatives. Felsaris guides SMEs through the entire ZIM application process and maximizes success rates up to 95%.

What Is the Central Innovation Programme for SMEs (ZIM)?

ZIM, administered by the German Federal Ministry for Economic Affairs and Climate Action (BMWK), was developed to strengthen the innovation capacity of German SMEs. As a technology- and sector-neutral program, it supports market-oriented research and development projects across all industries. Since the new directive effective January 2025, companies benefit from significantly improved conditions, higher funding budgets, and expanded opportunities for external service providers.

Funding is provided as a non-repayable grant and covers personnel costs, external contracts, and project-related overhead costs. Particularly attractive is the fact that no repayment is required—even if the project does not achieve the expected commercial success.

Eligible Companies and Project Types

Small and medium-sized enterprises with an operating location in Germany are eligible to apply. Classification follows the EU definition:

Small enterprises: Fewer than 50 employees, annual turnover or balance sheet total below €10 million
Medium-sized enterprises: Fewer than 250 employees, annual turnover below €50 million or balance sheet total below €43 million
Affiliated medium-sized enterprises: Up to 1,000 employees in cooperative projects

ZIM supports various project types:

Individual R&D projects allow a company to independently develop innovative products, processes, or technical services. Funding rates range between 25% and 45%, depending on company size and location, with a maximum funding amount of €690,000.

Collaborative R&D projects promote cooperation between several SMEs or with research institutions. Funding rates of 30% to 60% are possible, with total funding of up to €2.3 million for the entire consortium.

Feasibility studies serve to prepare larger R&D projects and are funded at 50% to 70%, with a maximum of €125,000 for individual studies or €250,000 for collaborative studies.

ZIM Funding: New 2025 Directive Brings Significant Improvements

The new ZIM directive effective January 2025 brings substantial benefits for applicants. The maximum funding amount for individual projects increases from €550,000 to €690,000, while the upper limit for eligible project costs rises from €380,000 to €560,000.

Young companies benefit from simplified access conditions under the de minimis regulation, accelerating the application process. At the same time, opportunities to involve external service providers have been expanded—particularly relevant for SMEs without in-house R&D departments.

Processing times remain stable at an average of three to four months until approval, while project durations can be flexibly structured between 18 and 36 months.

Eligible Costs and Financing Structure

ZIM covers various cost categories directly related to research and development activities:

Personnel costs typically represent the largest share of ZIM projects. Direct personnel expenses of employees actively involved in R&D are eligible. This includes engineers, technicians, research staff, and other qualified specialists. Clear separation from non-eligible activities such as administration, management, or sales is essential.

External services can be subsidized up to a defined percentage of total project costs. This includes development contracts, specialized testing services, or commissioned research institutions. Since 2025, regulations for external partners have become more flexible, giving SMEs greater freedom in project design.

Overhead allowance of up to 100% can be claimed for project-related expenses such as building rent, energy costs, machine depreciation, or employer social security contributions.

ZIM Funding Consulting: Professional Support by Felsaris

Successfully applying for ZIM funding requires in-depth knowledge of funding guidelines, technical expertise, and experience working with project management agencies. Felsaris provides SMEs with comprehensive support—from the initial consultation to successful project implementation.

The consulting process begins with a free initial evaluation of the project idea. Felsaris experts assess the degree of innovation, technical feasibility, and market relevance. Even with rough ideas, the team develops a fully eligible funding concept.

Application preparation follows a structured multi-phase approach. After the kick-off meeting and collection of relevant materials, Felsaris conducts comprehensive market and competitor research. Work packages, scheduling, and technical descriptions are developed in close coordination with the client to ensure maximum quality and approval probability.

A particularly advantageous feature is Felsaris’ success-based fee model. Clients only pay once funding has actually been approved and disbursed. The commission amounts to 10–15% of the funding received, ensuring optimal liquidity during the project phase.

The ZIM Application Process: From Idea to Approved Project

A typical ZIM application goes through several clearly defined phases, professionally supported by Felsaris:

Phase 1: Concept Development and Preparation

The project idea is refined in detail. Felsaris conducts a feasibility assessment, analyzes the state of the art, and evaluates market opportunities. For complex projects, an initial project outline can be submitted to receive early feedback from the project management agency.

Phase 2: Application Preparation

The actual application process usually takes one to three months. Felsaris prepares the complete application, including technical description, work plan, cost calculation, and commercialization strategy. Particular attention is given to precise work package definitions and correct allocation of personnel costs.

Phase 3: Review and Approval

After submission, the responsible project management agency reviews the application. Felsaris supports responses to inquiries and implements any requested adjustments. The approval phase takes on average three to four months.

Phase 4: Project Support

During project implementation, Felsaris manages administrative tasks, including preparation of interim reports, support with funding disbursement requests, and documentation of project progress.

Success Strategies for Maximum Approval Probability

The industry-wide approval rate for ZIM applications is approximately 50–60%. Through systematic preparation and long-standing experience, Felsaris achieves success rates of up to 95%. Several factors are decisive:

Degree of innovation and novelty: The project must represent a clear technological advancement over the current state of the art. Thorough patent research and competitor analysis are essential.

Market relevance and commercialization prospects: ZIM only funds market-oriented developments. The commercialization strategy must include realistic revenue forecasts and a clear market plan.

Technical feasibility: The chosen solutions must be technically achievable without being trivial. Felsaris’ technical expertise plays a key role here.

Quality of application preparation: Complete, precise, and clearly structured applications significantly increase approval chances—both technically and financially.

International Cooperation and Network Funding

ZIM also enables international collaboration and supports innovation networks. In cooperative projects with foreign partners, German companies benefit from increased funding rates, while international partners can receive support through their respective national programs.

Innovation networks are funded with decreasing rates over time, allowing SMEs to join research alliances. Network management can be funded at 30–95%, depending on the project phase.

Collaboration with research institutions is particularly attractive. Universities and institutes can receive up to 100% funding of their project costs, while industrial partners benefit from reduced own contributions.

Project Support and Administration

After approval, project implementation begins and is accompanied by extensive documentation and reporting obligations. Felsaris relieves clients by taking over administrative responsibilities.

Time tracking and documentation: All project hours must be carefully documented and assigned to corresponding work packages. Felsaris provides professional tools and conducts regular plausibility checks.

Interim reports and proof of use of funds: Depending on project volume, progress reports must be prepared once or twice annually. These document technical progress, fund utilization, and deviations from the original plan.

Change management: If adjustments become necessary during the project, Felsaris supports applications for deadline extensions or budget reallocations.

The final report summarizes achieved results and evaluates goal attainment. The presentation of commercialization prospects is particularly important, as it may influence future funding applications.

Common Pitfalls and How to Avoid Them

Many ZIM applications fail due to avoidable mistakes that can be prevented through professional consulting:

Unclear differentiation from existing solutions: Without precise presentation of the innovation content, applications are often rejected. Felsaris conducts systematic state-of-the-art analyses and clearly highlights unique selling points.

Unrealistic cost estimates: Budgets that are too low or too high lead to reductions or rejection. Felsaris’ long-standing experience enables realistic calculations that withstand review.

Lack of market validation: Projects without proven market demand have low approval chances. Felsaris prepares solid market analyses and develops convincing commercialization strategies.

Poor project structure: Unclear work packages or missing milestones complicate evaluation. Felsaris structures projects systematically according to proven project management methods.

Conclusion: Optimally Leverage ZIM with Professional Support

The Central Innovation Programme for SMEs offers excellent financing opportunities for R&D projects. The new 2025 directive further improves conditions and opens additional opportunities for innovative companies.

However, successfully leveraging ZIM funding requires comprehensive expertise, time-intensive application preparation, and continuous project support. Felsaris provides the complete solution—from initial idea assessment and professional application preparation to successful project implementation.

Through its success-based fee model, free initial consultation, and 95% success rate, Felsaris ensures companies optimally benefit from ZIM opportunities. Schedule a free consultation today and secure up to €690,000 in funding for your innovation project.

Frequently Asked Questions About ZIM Funding

How long does the ZIM application process take?

From the initial project idea to approval, the process typically takes four to six months. Application preparation by Felsaris takes one to three months, followed by three to four months of review by the project management agency.

Which companies can apply for ZIM funding?

Eligible applicants are small and medium-sized enterprises based in Germany. The limits are 250 employees and €50 million annual turnover. In cooperative projects, affiliated companies with up to 1,000 employees may participate.

Does ZIM funding have to be repaid?

No. ZIM funds are granted as non-repayable grants. Even if the project does not achieve the expected commercial success, no repayment obligation arises.

Can international partners participate in ZIM projects?

Yes. Cooperation with foreign partners is possible and rewarded with higher funding rates for German participants. International partners do not receive direct ZIM funding but may receive support through their own national programs.

What does consulting by Felsaris cost?

Felsaris works on a success-based model and is only paid upon successful approval. The commission amounts to 10–15% of the approved funding amount. The initial consultation and project evaluation are free.