Subsidies for innovation and automation in 2025
Exciting times lie ahead for companies with a production department. Technology is evolving at lightning speed, and innovation is increasingly becoming the key to success. Yet, we often hear companies say, "Innovation is too expensive" or "We can’t access subsidies."
Let’s bust a myth right away: innovation doesn’t have to be unaffordable, and subsidies are certainly within reach! Yes, even for that special machine or technology you’ve always wanted to develop but haven’t dared to pursue yet. After reading this blog, the time to start is now!
What is a development project subsidy?
Innovation is rewarded. That’s the essence of the development project subsidy offered by VLAIO (Flemish Agency for Innovation and Entrepreneurship). This subsidy supports companies investing in innovative ideas, such as:
- Developing new technologies.
- Building prototypes.
- Improving production processes or services.
- Scaling up technology through demonstrators or pilot installations.
Subsidies range from 25% to 50% of the accepted project costs, with a minimum support of €25,000. Collaborations between companies, especially internationally, can even increase this percentage to 60%.
Find more information about financing your development project.
“Innovation is only for big companies” – Myth busted!
Many small and medium-sized enterprises (SMEs) think innovation projects and subsidies are only for the "big players." That’s simply not true. In fact, smaller companies often receive a higher support percentage, which can increase by up to 20%!
Example: Packaging machine
Imagine your company wants to develop a new type of packaging machine, like our Cofiller. You have the idea but lack the resources to make it happen. With the development subsidy, you can still create this machine, test it in a pilot phase, and eventually scale it up, all without exceeding your budget.
What makes your project eligible for a subsidy?
Not every idea qualifies, but if your project meets the following criteria, your chances of success increase significantly:
- Innovative Character: The project must develop a new or improved product, process, or service.
- Overcoming Challenges: There must still be risky steps to take before the idea is ‘market ready.’
- Knowledge Acquisition: Activities must aim at acquiring new knowledge.
A great example is how we developed our Costacker. This unique palletizer works safely alongside humans, stacks efficiently, and is specifically designed for production environments where space and safety are crucial.
Practical example for your subsidy
Suppose you want to develop a machine that automatically detects and removes defective products from a conveyor belt. This would require:
- A vision system to scan and analyze products.
- A robotic arm to remove defective products.
- PLC automation to control the process.
At Promation, we’ve already completed similar projects. Thanks to subsidies, you could cover up to 50% of the costs for technology development, testing, and implementation. This means your investment pays off faster while significantly improving your production process.
Beware of pitfalls
While subsidies are attractive, there are some pitfalls to watch out for:
- Submit on Time: Costs incurred before the official project start date are not subsidized.
- Ensure a Strong Business Case: Without a well-supported plan, your application will be rejected.
- Follow Cumulative Rules: The same costs cannot be subsidized multiple times.
At Promation, we’re here to guide you through this complex process. Whether you’re developing a prototype or scaling up an existing technology, we have the expertise to help.
Written by Stijn Provoost
Founder of Promation. Passionate about programming and new technologies. With Promation, Stijn has one major goal: to improve production processes through industrial automation, robotics, and vision systems.
What are you waiting for? Kickstart your innovative processes!
Innovation doesn’t have to be expensive or complicated. With development project subsidies, the barrier to optimizing your production process is lowered, and your competitive position is strengthened.
At Promation, we understand how important it is to combine the right idea with the right resources.