What is De Minimis State Aid?

De Minimis state aid is a specific EU regulation allowing small amounts of public financial assistance to SMEs without requiring prior approval from the European Commission. It is intended to foster economic growth while avoiding distortion of market competition. Under this framework, SMEs can receive up to €350,000 in state aid (updated in 2024 from €300,000) over a three-year fiscal period.

For further details, see the Department of Enterprise, Trade and Employment’s guide and Enterprise Ireland State Aid.

How Can SMEs use De Minimis Aid for EDIH Services?

European Digital Innovation Hubs (EDIHs) like ENTIRE are crucial in supporting SMEs’ digital transformation by offering services such as Test before Invest, Skills Development, Innovation Ecosystem & Networking, and Support to Find Investment. SMEs can use De Minimis state aid to cover the cost of these services, up to 100% of the service value, enabling them to benefit from these resources without incurring additional financial burdens.

Here’s how SMEs in Ireland can utilise their De Minimis aid for EDIH services:

  1. The EDIH clearly describes the services and their corresponding costs for the SME. These services are tailored to support digital transformation and innovation.
  2. The EDIH liaises with Enterprise Ireland to verify the SME has sufficient availability within their De Minimis aid cap. Importantly, this information is shared directly with the SME, not the EDIH, ensuring transparency.
  3. Once confirmed, the SME completes and signs a state aid declaration form submitted to Enterprise Ireland to ensure compliance with state aid rules.

Following this streamlined process, SMEs can unlock valuable EDIH services that are fully funded under the De Minimis framework.

Why This Matters for SMEs

Accessing digital transformation services can be a game-changer for SMEs, improving their competitiveness and operational efficiency. The De Minimis state aid framework removes financial barriers, allowing SMEs to invest in essential innovation.

Speak to a member of the ENTIRE team today to learn more about the services available and how you can use De Minimis state aid to support your business on its digtal transformation journey.