Álava launches Grants to Support New and Expanding Businesses (Spain)

The BIC Araba Business Creation and Expansion Grant supports entrepreneurs and companies looking to start, consolidate, or expand businesses in Álava, Spain. The program offers grants of up to €80,000 for new businesses and up to €20,000 for expansion projects, helping modernize the regional economy and strengthen business competitiveness.

The BIC Araba Grant Program provides financial support to entrepreneurs and companies aiming to create new business units, consolidate early-stage ventures, or expand existing operations within the territory of Álava. The initiative focuses on innovation, diversification, and long-term economic sustainability.

Program Objectives and Strategic Focus

The program is designed to:

Promote entrepreneurship and business creation in Álava
Support early-stage business consolidation
Encourage business expansion and diversification
Improve competitiveness and productivity of local companies
Modernize the regional production ecosystem

By reducing financial barriers, BIC Araba enables businesses to move from idea to execution and from stability to growth.

Who Is Eligible?

Eligible beneficiaries include a broad range of entrepreneurs and companies connected to Álava.

Eligible Applicants

Individuals from Álava creating a new business unit
Natural or legal persons with businesses less than two years old
Existing legal entities diversifying through new business units
Individuals or companies relocating to Álava or opening a center of activity there

Applicants may be newly established or already operating, provided their project contributes to economic activity in Álava.

Grant Amounts and Funding Limits

Funding varies depending on the project type.

Maximum Grant Amounts

New businesses: up to €80,000
Consolidation or expansion projects: up to €20,000
Staff hiring support: up to €10,000 within the €20,000 cap

Grants are awarded based on project scope, impact, and eligible expenses.

Eligible Expenses for New Businesses

Funding for new businesses may cover:

Market research and feasibility studies
Technical and business advisory services
Prototype design and development (up to €20,000)
Patents, trademarks, certifications, and approvals (up to €10,000)
Business-related training not part of regulated education, up to 350 hours (€3,000 max)
Communication and marketing activities (up to €20,000)
Fixed asset investments excluding land, buildings, and vehicles
Rental costs for business premises in Álava (up to €10,000 per year)

Eligible Expenses for Consolidation or Expansion

Funding for existing businesses may support:

External consulting, legal, and technical advisory services
Technical and market studies
Communication and marketing actions (up to €20,000)
Management and improvement training under 350 hours
Fixed assets that improve productivity and competitiveness
Hiring technology specialists or business development professionals

How the Program Works

Step-by-Step Process

Define whether your project is new creation, consolidation, or expansion
Prepare a detailed business proposal and budget
Identify eligible expenses aligned with program rules
Submit the grant application to BIC Araba
Undergo evaluation based on impact, feasibility, and alignment with regional priorities
Receive funding and implement the approved project

Why This Program Matters

The BIC Araba Grant Program:

Strengthens Álava’s entrepreneurial ecosystem
Encourages innovation and diversification
Supports job creation and talent attraction
Helps businesses scale sustainably
Enhances regional competitiveness

It plays a key role in building a resilient local economy.

Common Mistakes to Avoid

Applying for expenses outside the eligible cost categories
Exceeding funding caps for specific expense types
Submitting incomplete financial documentation
Proposing projects without a clear link to Álava
Underestimating training or staffing requirements

Frequently Asked Questions

Can companies outside Álava apply?
Yes, if they are relocating or establishing an activity center in Álava.

What is the maximum grant for a startup?
New businesses can receive up to €80,000.

Are salaries eligible costs?
Yes, staff hiring is eligible up to €10,000 for expansion projects.

Can marketing expenses be funded?
Yes, communication and marketing costs are eligible up to €20,000.

Are vehicles or buildings eligible expenses?
No, land, buildings, and vehicles are excluded.

Is training eligible?
Yes, non-regulated training directly linked to business activity is eligible up to 350 hours.

Can very early-stage businesses apply?
Yes, including newly created businesses and those under two years old.

Conclusion

The BIC Araba Business Grant Program offers a powerful funding opportunity for entrepreneurs and companies looking to establish, strengthen, or expand operations in Álava. With generous funding caps and broad eligibility, the program supports innovation, competitiveness, and sustainable economic growth across the region.