Grants for Entrepreneurs in 2026

Entrepreneur and Entrepreneurship – Definitions

An entrepreneur is a natural person or legal entity who independently operates a business. This involves the systematic performance of a specific activity (such as providing services or selling goods) with the aim of making a profit. An entrepreneur acts on their own behalf, bears responsibility for the results of their work, and assumes the associated risks.

Grants for Companies vs. Grants for Self-Employed Individuals

Available grants and the conditions for receiving them sometimes differ depending on whether a company (as a legal entity ) or a self-employed individual (as a natural person) applies for them. Let’s summarize how they actually differ:

Company (legal entity):

• This refers to a business operated by a separate legal entity, such as a joint-stock company (a.s.) or a limited liability company (s.r.o.).
• A company has its own legal personality separate from its founders or owners. This means that if Mr. Novotný establishes an s.r.o., this company becomes a legal entity that has the right to enter into contracts, own property, and be liable for its obligations, separate from Mr. Novotný’s personal assets.
• The founders or shareholders have limited liability for the company’s debts and obligations.

A “company” as such is merely the name under which an entrepreneur is registered in the commercial register. In everyday language, however, the term is used to refer to a business entity. We use the term in the same way in this article.

Self-employed person (OSVČ):

• This is a form of business in which an individual conducts business activities on their own account and at their own risk.
• A self-employed person does not have a separate legal entity like a company—they act as a natural person. This means that, in this case, Mr. Novotný himself is the self-employed person and acts and conducts business as a natural person. All of his personal and business affairs are therefore intertwined, whether they concern assets, liabilities, or rights.
• A self-employed individual bears full personal liability for debts and obligations arising in connection with their business.

In our country, grants for entrepreneurs are primarily provided by the European Union and the Ministry of Industry and Trade. They are often targeted at small and medium-sized enterprises and sole proprietors. Let’s take a look at the most important grants you can apply for this year:

The TWIST Program

The TWIST Program—short for Transfer, Research, Development, and Innovation for Strategic Technologies—is the Ministry of Industry and Trade’s flagship program for supporting industrial research, development, and innovation using funds from the state budget. It runs from 2025 to 2031, with a total of five billion crowns earmarked to support projects. It focuses primarily on artificial intelligence, quantum technologies, semiconductors, and microelectronics, as well as on translating research results into business practice.

The support is primarily intended for companies that are developing new products, services, technologies, or business processes, or that are collaborating with research organizations. This is not a rolling grant program— applications can only be submitted as part of individual public calls for proposals, the focus and conditions of which may vary. The program’s second call for proposals focused on the development and practical application of artificial intelligence in businesses; the application period has already closed, and the results are scheduled to be announced no later than July 15, 2026. Interested parties should therefore monitor announcements of future calls for proposals from the Ministry of Industry and Trade.

How to Apply for Funding from the TWIST Program

Funding from the TWIST program is not provided on an ongoing basis, but rather through individual public calls for proposals announced by the Ministry of Industry and Trade. Applicants must therefore first verify whether a call for proposals corresponding to the focus of their project is currently open. The project proposal must describe in detail, in particular, its objectives, the novelty of the research, expected results, how these results will be applied in practice, the timeline, the research team, and the budget. The specific conditions, eligible applicants, and supported technologies are set forth in the tender documentation for each call for proposals.

Applications are submitted electronically via the AIS MPO TWIST system. Applicants first log in using their electronic identity, register their company, and then create and complete the application. They attach the required supporting documents, such as a project description, affidavits, the principal investigator’s resume, financial statements, or proof of business authorization. Before submission, the application must be signed with a recognized electronic signature.

After submission, the application is reviewed for formal compliance and fulfillment of the competition’s conditions. Projects that pass this review are evaluated by at least two independent expert evaluators. Based on their evaluations and the recommendations of the TWIST Program Council, the Ministry of Industry and Trade will decide which projects to fund; this also depends on the available state budget funds, and there is no legal entitlement to funding. A contract for the provision of earmarked funding is then concluded with the successful applicant.

Currently, the second public call for proposals is not open to new applications. The submission deadline was December 17, 2025, and the results are to be published no later than July 15, 2026. Interested parties should therefore monitor announcements of future TWIST program calls for proposals.

National Guarantee

The National Guarantee is a financial instrument of the National Development Bank designed for sole proprietors and small and medium-sized enterprises. It helps them obtain bank loans for investments or operations even when they lack sufficient collateral of their own. The National Development Bank can guarantee up to 70 percent of the principal amount of a loan ranging from 500 thousand to 20 million crowns, for a term of up to ten years. The guarantee is provided free of charge, and the program is available throughout the Czech Republic.

Entrepreneurs can use the guaranteed loan, for example, to acquire, construct, or modernize buildings, or to purchase machinery, production lines, technology, software, or licenses. It can also be used to finance operating expenses, inventory, or warehouse management. Starting in April 2026, under specified conditions, support will also be available for the acquisition of undeveloped land. The entrepreneur negotiates the specific interest rate, loan term, and other terms with the bank or participating leasing company; the NRB guarantee may reduce the requirements for additional collateral and contribute to more favorable loan terms.

How to Apply for the National Guarantee

The entrepreneur first arranges an investment or operating loan with one of the participating financial partners. Subsequently, they can submit an application for the guarantee online through the National Development Bank. If they do not use the online application, the completed application and attachments can be submitted via the NRB’s electronic submission system or data box. Required attachments include, among other things, a copy of the signed loan agreement, a project description, and a statement regarding the size of the business and any public support received. A personal visit to a branch is therefore not necessary.

Support is not automatic. The applicant must meet the definition of a small or medium-sized enterprise, comply with the program’s conditions and public support rules, and demonstrate that the financed project aligns with the permitted purpose. At the same time, the guarantee does not relieve the entrepreneur of the obligation to repay the loan properly.

When approving the guarantee, the bank takes into account standard procedures for assessing lending risks and, based on this, decides whether to grant the guarantee.

Modernization Fund

The Modernization Fund, administered by the State Environmental Fund of the Czech Republic, focuses on grants for entrepreneurs that support the transition to more environmentally friendly and energy-efficient operations. These include, for example, grants for the modernization of energy systems, production, or processing facilities with the aim of reducing greenhouse gas emissions and increasing the share of renewable energy sources, as well as contributions toward the construction of photovoltaic power plants. In addition to direct grants, the Modernization Fund also offers preferential loans.

Grants and Subsidies for Start-up Entrepreneurs

In addition to the subsidies mentioned above, there are also specific subsidies and grants designed to help new entrepreneurs get their businesses off the ground:

Business Grant from the Labor Office

The business start-up grant—also known as the grant for creating a job for the purpose of self-employment —is intended for job seekers (individuals registered with the Employment Office). This support is similar to when the Employment Office offers retraining or helps job seekers find work.

The grant is intended to cover the costs of essential equipment needed to start a business. For example, for a tradesperson, this may include essential tools (drill, grinder, etc.) or protective work equipment (gloves, helmet, safety goggles, etc.). For a hairdresser, this might include basic salon equipment (professional scissors, a sink, a hair dryer, a mirror, a styling chair, etc.).

The maximum business start-up grant may be equal to six times the average wage for the first through third quarters of the preceding calendar year. The unemployment rate in the area where the job seeker is applying for the grant also plays a role (if unemployment is below the average, the maximum grant is four times the average wage).

Criteria for assessing the application:

• The applicant’s difficulty in finding employment on the labor market: The Czech Labor Office (ÚP ČR) considers whether the applicant has limited opportunities to find regular employment (e.g., due to age, health condition, childcare responsibilities, long-term unemployment, etc.). The goal is to support those who face barriers to entering the labor market.
• Business Plan: The applicant must submit a business plan demonstrating that there is demand for the goods or services to be provided by the business and that the business is viable in the given location (e.g., a sufficient number of potential customers, appropriate competition).
• Applicant’s Medical Fitness: The Labor Office verifies whether the applicant is medically fit to perform the specific self-employment activity they plan to undertake.
• Applicant’s Motivation and Preparation: Last but not least, the applicant should demonstrate that they have a clear vision for their business, are prepared, and possess the necessary skills or experience.

Bridge Grant from the Labor Office

The business grant is also linked to a bridging grant. This grant is directly tied to the grant for establishing a job for the purpose of self-employment and is intended to partially cover the operating costs incurred during the initial phase of the business. These costs include, in particular:

• Rent and rent-related services: Applies to premises where the business is conducted. However, it does not include rent for residential units or related services.
• Transportation: Costs associated with transporting materials or finished products.
• Repairs and maintenance of premises: If the premises are owned by the applicant and the costs are directly related to the operation of the business.

The bridging allowance may be provided for a maximum of 5 months. The amount of the allowance is limited by the Employment Act and is determined by the regional branch of the Czech Labor Office (ÚP ČR) based on an assessment of the applicant’s specific situation. It may amount to a maximum of 0.25 times the average wage for the first through third quarters of the preceding calendar year.

Crowdfunding

A special type of business funding is so-called crowdfunding, which is based on contributions from the general public and serves primarily as an alternative to traditional loans, which are often less accessible to aspiring entrepreneurs.

How does crowdfunding work?

1. Project presentation: It all starts with publishing your business plan on a crowdfunding platform (e.g., Hithit, Donio, or Startovač). The project should include a detailed description, objectives, the amount needed for implementation, and rewards for contributors.
2. Contributing: People (known as “backers”) contribute any amount they choose to the project.
3. Project implementation: You can then use the funds to carry out your business plan. On some platforms, however, you can only withdraw the money if the project reaches its funding goal.

Types of Crowdfunding

• Reward-based crowdfunding: Contributors receive a reward for their support, which is usually related to your business (e.g., a finished product to try out).
• Equity crowdfunding: Backers invest money in exchange for a stake in the company or a share of the profits.
• Lending Crowdfunding: Contributors provide the entrepreneur with a loan, which must later be repaid with interest.
• Donation-based crowdfunding: People contribute to a business without expecting any reward. This model is more common for charitable or social projects.

Help and Support for Entrepreneurs

In addition to grants and subsidies, as entrepreneurs you also have the option to take advantage of various types of assistance should you find yourselves in a difficult situation. Various forms of assistance for entrepreneurs were introduced, for example, in response to the coronavirus pandemic, which led to long-term revenue losses for many types of businesses. Specifically, these included, for example, a relief package that, among other things, waived advance payments of personal and corporate income tax for entrepreneurs, as well as preferential loans for entrepreneurs.

Summary

Among the major business support programs in 2026 is the TWIST program, which focuses on industrial research, development, and the practical implementation of strategic technologies. It primarily supports projects in the fields of artificial intelligence, semiconductors, microelectronics, and quantum technologies. Applications are submitted through individual public calls for proposals issued by the Ministry of Industry and Trade, with the key criteria being a well-prepared project, its research novelty, and the anticipated practical application of the results.

Entrepreneurs can also take advantage of the National Guarantee, through which the National Development Bank guarantees up to 70 percent of a loan intended for investments or operations. Funding can be used, for example, for machinery, buildings, technology, software, licenses, inventory, or other operating expenses. The Modernization Fund, in turn, supports projects focused on reducing emissions, energy savings, renewable energy sources, energy storage, and the modernization of the energy sector, manufacturing, or transportation. The scope of eligible applicants and supported expenses is always determined by the specific call for proposals.

Start-up entrepreneurs registered as job seekers can apply to the Labor Office for a grant to cover the equipment needed to start a self-employed business. A follow-up bridging grant can help cover certain operating costs, such as rent or transportation, for a limited period. An alternative method of financing is crowdfunding, which can take the form of pre-sales, investments, loans, or donations. In addition to national programs, entrepreneurs can also take advantage of regional, sector-specific, or special support, the availability of which depends on currently announced calls for proposals.