Business Enhance Schemes

The Measures and Support Division within the Office of the Prime Minister has announced new European Regional Development Fund (ERDF) Grant Schemes under the 2021-2027 programming period and new aid schemes under Malta’s Recovery and Resilience Plan.

Some of these schemes have been launched on 3 March 2025, replacing previously available schemes and introducing key eligibility and administrative changes. These include the SME Enhance Scheme and the Digitalise Your SME Scheme, targeted at micro, small and medium-sized enterprises.

SME Enhance Scheme

The SME Enhance Scheme seeks to support start-ups and SMEs in acquiring productive tangible and intangible assets related to the expansion, diversification and innovation of operations and to initial investments. This scheme is a single investment scheme consolidating the previous SME Enhance (GBER), SME Enhance (de minimis) and Start-Up Enhance schemes, with different aid intensities according to the applicable state aid regime.

The minimum grant value is set at Eur10,000 and the maximum grant value is set at Eur128,400 for eligible actions, including an additional 7% flat rate to finance any indirect costs related to the investment.

Digitalise Your SME Scheme

The Digitalise Your SME Scheme seeks to support digitalisation investments by start-ups and SMEs, consisting of hardware, software and digital solutions, in order to improve efficiency, productivity and customer experience.

The minimum grant value is set at Eur10,000 and the maximum grant value is set at Eur128,400 for eligible actions, including an additional 7% flat rate to finance any indirect costs related to the investment. Applications under the de minimis Regulation are eligible for part-financing eligible costs up to 50% for investments in Malta and 60% for investments in Gozo. Applications under Start-up are eligible for part-financing eligible costs up to 60% for investments in Malta and 70% for investments in Gozo.

Changes in the new schemes

The changes introduced in these schemes include:

i) Applicant eligibility criteria - applicants whose total eligible cost to net assets ratio is less than 2% are ineligible;

ii) Capping of eligible costs (unless guarantee is provided for the difference in net assets) - for applicants with net assets which are less than 40% of the total eligible cost, total eligible cost is capped to 250% of their net assets; for start-ups with net assets which are less than 20% of the total eligible cost, total eligible cost is capped to 500% of their net assets;

iii) Negative net assets (apart from start-ups, subject to certain conditions) will render application ineligible;

iv) Financial viability check requirement for applications with a grant request of more than Eur60,000 (applicants may perform self-check via online tool); and

v) Possibility to extend project timelines in six month blocks, with deductions from original grant amount depending on number of extensions.

How can we help?

Deloitte Malta is able to assist in answering your queries, so please do not hesitate to reach out to us for any further guidance you may require.

In addition, Deloitte Malta is able to assist with the preparation of the required applications and any supporting documentation, as well as document submission and any required follow-ups.