Aid for self-employed workers, entrepreneurs and entities of the social economy

• Unemployed natural persons who register as self-employed workers, self-employed in the corresponding Social Security regime or in the mutual society of the corresponding professional association.

• The persons provided for in the previous point who are members of civil societies or community property. Also the partners of commercial companies, as long as they are not members of the administrative body of the company.

• The persons provided for in the first point, who are worker or work partners of cooperatives or labor companies.

For the purposes of determining the start date of activity as a self-employed worker, the date of initial registration in the Economic Activities Tax will be considered, in any case.

The final amount of the aid will be 80% of justified expenses, in accordance with the eligible costs established in article 4.2 of the Regulatory Norms.

A.- ARTICLE 4.2 EXPENSES (all expenses except those included in letter p)
 

B.- EXPENSES OF ARTICLE 4.2 LETTER p) - Expenses in tangible and intangible FIXED ASSETS.

The amount of the aid may be increased by 1.500 euros maximum to cover expenses contemplated in letter p) of article 4.2 (tangible and intangible fixed assets).

Therefore, the maximum amount of the subsidy will be extended, in general, up to 4.000 euros, and for specific groups up to 4.580 euros.
 

In any case, the granting of this aid will be conditional on the beneficiary making an expense with its corresponding payment that is necessary for the development of the activity, not including VAT or the equivalent indirect taxes when they are susceptible to recovery or compensation, among the previous three months on the date of commencement of the activity as a self-employed worker and the two months later at that start.

The eligible costs, which must be necessary for the start-up of the business activity and respond to its nature, may be:

• Fees of Notary, Registrar and Technical Engineers as a result of the constitution and start-up of the business activity.

• Fees of Lawyers, Advisors and management expenses related to the constitution and start-up of the business activity.

• Patents and trademarks register.

• Necessary expenses for the relief and/or transfer of the business, including diagnostic studies and advice or necessary assistance.

• Sanitary inspection fee and urban licenses.

• Rental of premises for the development of the activity as well as rental of rooms for the temporary provision of services in coworking spaces or private business incubators, referring to the months corresponding to the eligible period.

• Development of web page and other electronic commerce applications that are necessary for the exercise of the activity.

• Expenses incurred for the maintenance, repair and upkeep of the premises intended for the professional activity to be carried out by the applicant.

• Expenses related to the Compulsory Prevention Service for the self-employed who hire their first worker.

• Expenses incurred for registration on the Internet, or for access through licenses to the use of specific computer programs (the acquisition of professional software may be included in Annex II.B: Expenditures on tangible and intangible fixed assets).

• Expenses derived from compliance with the regulations on data protection.

• Research and development expenses corresponding to the budget year to which the subsidy is allocated.

• Advertising and propaganda expenses (except for public relations).

• Premiums for civil liability insurance and other insurance necessary for the activity.

• Professional college fees.

• Expenses corresponding to the registration of water, gas and electricity supplies.

• Invoices for the consumption of water, internet, gas and electricity corresponding to the premises where the business activity is carried out, and in relation to the eligible months.

• Expenses in tangible and intangible fixed assets, not foreseen in the previous sections.

VAT and those other expenses that may be subject to a subsidy, discount or exemption by other public or private bodies or institutions will not be considered eligible expenses. 

• Be up to date with tax obligations and with Social Security.

• Carry out its activity in the Community of Madrid.

• Be unemployed and registered as a jobseeker in the Employment Offices of the Community of Madrid, on the date immediately prior to the start of the activity as a self-employed worker, considering said date, the initial registration in the Tax on Economic Activities.

• Register in the Special Regime for Self-Employed Workers, within the corresponding special self-employment regime or mutual society of the professional association as an practitioner.

• Not having carried out the same activity in the six months prior to the date of registration as a self-employed worker.

• In addition, the beneficiaries are obliged to comply with the maintenance of registration in the corresponding Social Security or mutual insurance scheme of the Professional Association as an exerciser of the activity, for at least two years.

• For the justification of payments, only those made by transfer and bank card are allowed as valid means of payment.

The deadline for submitting applications will be three months from the start date of the activity of the self-employed worker.

The application must be submitted subsequently at the beginning of their activity as a self-employed worker, and once the expenses have been incurred and the payments derived from the start-up of their activity have been made.

IMPORTANT: applications submitted before or after the indicated deadline will be considered INADMITTED.

 Yes. It is compatible with the aid for the extension of the Self-Employed Flat Rate.

• De electronic form through the Portal of Digital Administration Community of Madrid.

• En paper, in any registry of the General Administration of the State, of the Autonomous Community or of the City Councils.

the beneficiary must remain high in the corresponding Social Security or mutual insurance scheme of the Professional Association as an activity practitioner, for at least two years.

During this time, the beneficiary is obliged to notify the management body of any variation that occurs in relation to your status as a self-employed worker.

If the beneficiary has not stayed high o has not fulfilled during the whole period all the conditions to receive the aid, must make a proportional refund thereof.

Through this line, part of the initial expenses for setting up new cooperatives and employee-owned companies will be subsidized, as well as the final qualification of insertion companies, and part of the Social Security expenses of the constituent members of these entities, in the event that opt for the General Social Security Scheme.

Up to a maximum of 12.000 euros per newly created entity.

The amount will be extended up to $15.000 for the case of new entities that develop their activity in municipalities with less than 2.500 inhabitants, which will promote the development of rural nuclei, in this case entities set up by under 30 years, and in the case of entities that carry out their activity in the senergy, social, environmental, new technologies, dependency or education sectors.

Specifically, the following will be subsidized:

• Contribution expenses of the General Social Security Regime of the constituent members of the cooperative or worker-owned company, as well as of the constituent members of the company classified as an insertion company and expenses derived from the hiring of directors and managers by these entities , the latter calculated on the annual gross costs of the worker, considering the wages reflected in the payroll and the contributions made to the General Social Security Scheme for the months requested.

• Fees of Notary, Registrar and Technical Engineers as a result of the incorporation and start-up of the company.

• Fees of Lawyers, Advisors and management expenses related to the constitution and start-up of the company.

• Necessary expenses for the relief and/or transfer of the business, including diagnostic studies and advice or necessary assistance.

• Expenses derived from the transformation processes of entities with economic activity already existing in cooperatives, labor companies or insertion companies.

• Feasibility studies and business plans.

• Sanitary inspection fee and urban licenses.

• Rental of premises for the development of the activity as well as rental of rooms for the temporary provision of services in coworking spaces or private business incubators.

• Website maintenance expenses and other electronic commerce applications that are necessary for the exercise of the activity.

• Expenses incurred for the maintenance, repair and upkeep of the premises intended for the professional activity to be carried out by the applicant.

• Expenses incurred for registration on the Internet, or for access through licenses to the use of specific computer programs (excluding in any case the acquisition of professional software).

• Expenses derived from compliance with the regulations on data protection.

• Research and development expenses corresponding to the budget year to which the subsidy is allocated.

• Advertising and propaganda expenses (except for public relations). -Premiums for civil liability insurance and other necessary insurance. -Fees of professional schools.

• Expenses corresponding to the registration of water, gas and electricity supplies, as well as bills for water, internet, gas and electricity consumption corresponding to the place where the business activity is carried out, and in relation to the eligible months.

• Expenses related to obtaining accreditations and certifications by authorized bodies and entities.

• Expenses derived from compliance with the regulations on Prevention of Occupational Risks.

• Expenses for the implementation of quality standards and environmental management systems.

• Expenses derived from the preparation and implementation of Business Plans for Gender Equality.

• Training expenses for company personnel for the proper preparation of their social responsibility report.

VAT and other expenses that may be subject to subsidies, discounts or exemptions by other public or private bodies or institutions will not be eligible.

Through this line, part of the expenses derived from the hiring of advisers will be subsidized by associations of self-employed workers, cooperatives, labor companies, insertion companies and special employment centers in the region, which meet the requirements established establish, when providing general information services and advice on aspects related to the creation and implementation of a business project, individually or collectively.

The amount of the subsidy will be determined by the number of full-time and indefinite workers that the organization or association has to carry out consultancies, during the calendar year prior to the presentation of the application, without the need for it to be of new contracts.

The entity must have at least Two workers hired directly by the organization, full-time and indefinitely, throughout the calendar year prior to the request.

La maximum grant will be 50% of the gross monthly salary of the worker hired by the association full-time and indefinitely, including the Social Security expenses of the company derived from said worker, up to the limit of 100 times the Minimum Interprofessional Salary of the year of reference corresponding to said worker, in relation, at most, to the 3 months corresponding to the calendar year immediately prior to the filing of the application, and up to a maximum of 12 euros per entity.

The entities must provide a detailed report with the advice given by the advisors and the activities in which they have participated during the reference calendar year.

Investments must be made in tangible or intangible fixed assets, and must be necessary for the creation of cooperatives and labor companies, for the expansion and development of their current structures, as well as for the incorporation of new information and communication technologies.

The beneficiary's contribution to the financing of the investments must be at least 50 by 100.

El grant amount, alone or in concurrence with other public aid or subsidies, will be as maximum of 50% of the investment carried out for the start-up of the social economy company, for its expansion or development, and up to a maximum of 20.000 euros per entity and year.

In the case of vehicles, the amount of the subsidy per vehicle may not exceed the $10.000. For computer equipment, the subsidy will not exceed $250 per team, with a maximum of six per beneficiary entity. For mobile telephony, the subsidy will not exceed 150 euros per terminal, with a maximum of three per beneficiary entity.

There are two types of aid:

• direct aid to companies in the social economy, which come from the Aid Program for the Promotion of Employment and the Improvement of the Competitiveness of Cooperatives and Labor-Related Companies.

• direct aid to new partners for contributions to social capital, which are newly created.

La partner onboarding In both cases, it must suppose an increase in employment with respect to the average of the 12 months prior to the date of incorporation of the new partners for whom the aid is received.

This subsidy may not be granted in the case of the incorporation of worker or work partners who had held such status in the same company in the two years prior to their incorporation as partners, but yes in the case of having been workers.

a) Aid to the companies of the social economy to which they are incorporated.

Cooperatives, employee-owned companies or insertion companies that incorporate worker or work partners in their own company are subsidized.

The help will be $5.000 for each worker or incorporated work partner, or $10.000 in the case of long-term unemployed (those unemployed who have worked less than 6 months in the last 18 months), people in a situation of social exclusion, people with a recognized disability equal to or greater than 33%, young people under 35 years of age and women.

The maximum number of partners to subsidize per entity may not exceed five.

b) Aid to new partners for their contributions to the share capital.

The amount of the grant will be 50% of the contribution to the capital of the company, up to a maximum of $3.000.

The aid will be subject to the effective incorporation as a partner as well as the reflection of the subsidized contribution to the capital of the company, in the accounting entries of the same.

The subsidy, on its own or in concurrence with other subsidies or grants launched by other public administrations and which affect the same eligible activity, may not exceed 50% of the total contribution required to become a member, without prejudice to the compatibility with tax incentives/deductions, with the capitalization of unemployment for the contribution to social capital, or other aid that does not directly affect the subsidy of the contribution to social capital.

1. At the first line grant, cooperatives, labor companies and insertion companies constituted or qualified within the established term.

2. At the second line, the professional associations of self-employed workers, cooperatives, labor companies, Insertion Companies and Special Employment Centers, which have as their scope of action the Community of Madrid, in accordance with its Statutes, and have at least two workers hired full-time and indefinitely directly by the organization to provide services to the self-employed or social economy entity, throughout the calendar year prior to the submission of the application.

3. At the third line, cooperatives and labor companies that make investments necessary for their start-up, growth or development, from the 1 January 2019, and in relation to the expense that said investment entails, for the second line of subsidies.

4. on the fourth line, people who join as partners to cooperatives, labor companies and insertion companies, from the 1 January of 2019As well as cooperatives, labor companies and insertion companies to which said partners are incorporated.

         Maintenance of employment is required, not the specific subsidized contract.

• For first line of grantsThe deadline for submitting applications will be ten months from the date of constitution of the cooperative or worker-owned company, or of the provisional qualification in the case of insertion companies, and must be submitted after said constitution or definitive qualification, and once the expenses and payments necessary for the same.

The spending must have been made in the period between the three months prior to the date of incorporation of the cooperative or worker-owned company, or six months prior to the provisional rating of the insertion company, and the nine months subsequent to said constitution or provisional qualification.

• For second line of grants, The deadline for submitting applications will correspond to the first two months of the calendar year (January and February), and must refer to the actions of the association in the 12 months of the year immediately prior to said request.

• For third line of grants, the deadline for submitting applications will be the first two months of the calendar year, and must refer to the investments made in the twelve months of the year immediately prior to the filing of said request.  

• For fourth line of subsidies The deadline for submitting applications will be three months from the effective incorporation of the partner to the entity, considering that said effective incorporation occurs at the moment in which the employment relationship between the person who joins and the company is born.