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Industries · HEALTHCARE

Healthcare and MedTech funding consultant for companies across the EU

We match medical device, diagnostics and digital health companies in the EU with the European and German programmes that fit their stage and location. We write the documentation and deal with the authorities.

What we fund

Funding that follows a healthcare product from lab to market

Medical device funding and digital health funding rarely come from one source. A product passes through development, validation, clinical and regulatory work, and each programme pays for a different part of that path. Which EU grants and German programmes fit depends on three things: your stage, where your company is established, and whether you work alone or with partners.

Why this industry

Why healthcare companies have more funding options than they use

Healthcare innovation funding comes from Brussels and from Germany, and most companies only look at one side.

EU

Open to companies across the EU

The EIC Accelerator and Horizon Europe accept companies established in an EU member state or an associated country; Eurostars accepts SMEs from its participating countries. None of the three needs a German entity.

DE

Germany as an R&D base

A German company, or the German permanent establishment of a foreign one, can claim the Research Allowance. KMU-innovativ and ZIM ask for a permanent establishment or branch in Germany when the grant is paid out.

MDR / IVDR

Regulatory risk is recognised

The BMFTR guideline for KMU-innovativ: Medizintechnik states that the demanding regulatory requirements for medical devices clearly raise the risk of investing in R&D, and funds SMEs on that basis.

Stack

Programmes can work together

National and EU instruments can fund different projects or different cost items. The same costs are never funded twice: the Research Allowance, for example, leaves out costs another grant already covers.

Eligible activities

Healthcare R&D that funders typically support

Funders look for novelty and technical risk. Each programme then sets its own rules on stage, partners and costs.

Medical devices

  • New device development from concept through functional prototype
  • Design and engineering to resolve a problem with no standard solution
  • Verification and validation testing requiring systematic experimentation

Typical routes: KMU-innovativ: Medizintechnik, Research Allowance, EIC Accelerator, Eurostars

Diagnostics and assays

  • New in-vitro diagnostic methods, assays and biosensors
  • Analytical method development and validation under uncertainty
  • Sensitivity, specificity and reproducibility work while the method is still in development

Typical routes: KMU-innovativ: Medizintechnik (covers IVD), Research Allowance, Eurostars, Horizon Europe. Companion diagnostics for a new drug: see biotech funding.

Digital health and SaMD

  • Image analysis, signal processing or decision-support algorithms
  • ML models for diagnosis or risk prediction developed from the ground up
  • Software as a medical device carrying genuine technical risk

Typical routes: KMU-innovativ: Medizintechnik (digital medical products), EIC Accelerator, Research Allowance

Lab and process development

  • New laboratory methods, workflows and automation
  • Scale-up of a process from bench to reproducible production
  • Materials and biocompatibility development for a device or assay

Typical routes: Research Allowance, Eurostars. GRW only for production investment in eligible German regions.

What qualifies and what doesn't

Where each programme draws the line

The same project can be fundable under one programme and excluded under another, so the split depends on the instrument.

Usually fundable

  • Device, diagnostic or SaMD development that resolves technical uncertainty (Research Allowance, KMU-innovativ, EIC Accelerator)
  • Clinical studies where the call topic asks for them (Horizon Europe Cluster 1)
  • Clinical trials and work towards regulatory approval at TRL 6 to 8 (EIC Accelerator grant)
  • Joint projects with research institutes, clinical partners and users, including preclinical studies (KMU-innovativ: Medizintechnik)
  • New or expanded production sites in eligible regions (GRW)

Usually not fundable

  • Clinical evaluation of Class I to IIb devices and IVD performance evaluation (Research Allowance)
  • Regulatory approval and DiGA listing on their own (Research Allowance)
  • MDR clinical investigations (KMU-innovativ: Medizintechnik) and clinical studies (Eurostars, German national rules)
  • Routine medical care and standard quality control (all programmes)
  • Work started before the application (KMU-innovativ, ZIM, GRW, KfW innovation loans; BAFA EEW needs approval first)
Rates and caps

What each type of funding pays

Each instrument pays in a different form. These are the official rates and caps, not a forecast for your project.

Tax credit
25% to 35%

Research Allowance: 25% of eligible R&D costs, 35% for SMEs. From 2026 up to €3M a year, €4.2M for SMEs. Paid out even when the company makes a loss.

Grants
Up to 100%

Horizon Europe: 100% for research actions, 70% for innovation actions. EIC Accelerator: 70%, grant below €2.5M. Eurostars: set by each country's funding body. KMU-innovativ: by research stage and company size. EXIST: stipends for founders. ZIM: applications currently paused.

Loans and equity
Up to €25M

EIC Accelerator equity: €1M to €10M from the EIC Fund for scale-up. KfW innovation loans: up to €25M per project (€7.5M at the basic level), for projects in Germany.

Rates and caps from the official programme rules, checked October 2026. The actual amount depends on eligible costs, company size and the funder's decision.

Your route

Which route fits your company

Location and stage decide the shortlist before the technology does.

EU company without a German entity

EIC Accelerator, Eurostars through your national funding body, and Horizon Europe consortia.

EU company with a German subsidiary or permanent establishment

Adds the Research Allowance. German SME grants such as KMU-innovativ and ZIM follow their own branch rules.

Founders at a German university or research institute

EXIST, applied for through the institution, then the routes above once the company exists. More on startup funding.

Building or expanding production in Germany

GRW in eligible regions, BAFA EEW for energy efficiency, KfW innovation loans.

Programmes that fit

Programmes we recommend for healthcare companies

Most healthcare clients use more than one instrument over a product's development, and the shortlist depends on location and stage.

Open to companies across the EU For companies with a base in Germany

How each programme works in detail is explained in our guides: EIC Accelerator, Eurostars, Horizon Europe, Research Allowance, KMU-innovativ, ZIM, EXIST, GRW, KfW innovation loans, BAFA EEW and WIPANO.

Compare all programmes
FAQ

Healthcare and MedTech funding, answered

Yes, we work with medical device, diagnostics and digital health companies across the EU. Without a German entity, the main routes are the EIC Accelerator and Horizon Europe, which are open to companies established in an EU member state or an associated country, and Eurostars for SMEs from its participating countries. German national programmes come into play once you have a permanent establishment or branch in Germany.

The EIC Accelerator, Eurostars and Horizon Europe Cluster 1 (Health) are the three to check first. The EIC Accelerator funds a single startup or SME with a grant below €2.5M and optional equity of €1M to €10M. Eurostars funds international R&D projects led by an innovative SME. Horizon Europe funds consortia of at least three independent partners from three countries, at 100% for research actions and 70% for innovation actions.

Yes, if it is taxable in Germany, typically through a German subsidiary or a permanent establishment. Eligibility follows German tax liability, and the tax authorities treat a foreign company with a German permanent establishment as eligible where Germany has the right to tax. The allowance is 25% of eligible R&D costs, 35% for SMEs, credited against German tax. Contract research counts only if the contractor is managed in the EU, or in an EEA state that provides administrative assistance in tax matters.

Yes, if you are an SME, or a mid-sized company within the guideline's limits, with a permanent establishment or branch in Germany when the grant is paid. The guideline covers medical devices, in-vitro diagnostics and digital medical products. Digital health solutions that are not medical devices qualify only if they can clearly become one later. Projects normally run with research institutions, clinical partners and users, and start with a project outline.

It depends on the programme. The EIC Accelerator grant can include clinical trials and work towards regulatory approval at TRL 6 to 8. Horizon Europe funds clinical studies where a Cluster 1 topic asks for them. KMU-innovativ: Medizintechnik funds preclinical studies but not MDR clinical investigations. Eurostars in Germany excludes clinical studies. The Research Allowance excludes clinical evaluation of Class I to IIb devices, IVD performance evaluation and approval work.

Yes, several programmes are built for that stage. The Research Allowance is paid out even when a company makes a loss: whatever exceeds your tax bill is refunded. The EIC Accelerator accepts startups, and even founders who will set up the company before the grant agreement is signed. Founders still at a German university or research institute can start with EXIST.

Yes, as long as the same costs are not funded twice. EU rules forbid declaring the same costs to two EU grants, and the Research Allowance leaves out costs already covered by another grant, including EU funding. In practice we split the work: different projects or cost items go to different instruments, for example a grant for one work package and the Research Allowance for in-house R&D outside it.

For the Research Allowance, yes: depreciation on equipment can be included. The asset must be movable, acquired or produced after 27 March 2024, used exclusively in the R&D project and necessary for it. Low-value assets written off immediately do not count, and the certifying body (BSFZ) confirms that each asset is needed. Grant programmes such as KMU-innovativ set their own rules on equipment costs.

Yes, and some programmes expect it. Under the Research Allowance, contract research counts at 70% of the fee for contracts placed after 27 March 2024 (60% before), if the contractor is managed in the EU, or in an EEA state that provides administrative assistance in tax matters. KMU-innovativ: Medizintechnik is built around cooperation: SMEs work with research institutions, clinical partners and users, and universities and research institutes can receive up to 100% as project partners.

For the Research Allowance our fee is purely success-based: 10% of the funding up to €500k per year and 5% above that, due only after payout. For all other programmes the fee is a fixed share plus a success component, both agreed in advance. The first eligibility check is free and comes with no obligation.

Talk to us

Ask us anything

Tell us about your project, wherever in the EU it is based, and we'll assess your case by hand. No prep, no obligation. Prefer to talk?

Not sure you qualify?Fee agreed upfront6–12h of your time