Southeast Estonia Business Development Grant (2021-2027)

The objective of the grant is to contribute to the development of the Southeast Estonia region (Põlva, Võru, and Valga counties) by supporting business development, innovation, and the creation of more diverse employment opportunities .

The application round is open from September 1, 2025 . The round will be closed when the funds are depleted or by December 31, 2028, at the latest .

Companies that meet the following conditions are eligible to apply for the grant :

  • it is a micro- or small-sized enterprise;
  • the company’s main area of business is in Põlva, Võru, or Valga county;
  • according to the Estonian Business Register, the company has been in operation for at least 36 months;
  • the company’s sales revenue for the previous financial year was at least €40,000;
  • the company’s number of employees for the previous financial year, calculated as full-time equivalents, is at least 1 .

The grant can be applied for to fund the following activities :

  • development activities and investments related to a new or significantly improved product or service;
  • activities and investments related to increasing production or service volume;
  • investments related to the automation or digitalization of production or service provision, and staff training;
  • sales and marketing activities that support the previous three main activities, up to a maximum of 10% of the total .

The grant amount is between €20,000 and €60,000 . Self-financing must be at least 40% . The total project cost may not exceed €200,000 .

Applied Research Program

The Applied Research Program supports the development of innovative products and enables you to increase your company’s revenue by developing new or significantly modified technologies, processes, products, or services .

In the application round, the grant amount is from €250,000 to €2 million. The required self-financing is 20%-75% .

The 10th application round is open from 9:00 AM on January 26, 2026, to 4:00 PM on March 23, 2026. To participate in this round, the project idea must be submitted for preliminary evaluation by January 26, 2026, at the latest .

The 11th application round is open from 9:00 AM on August 3, 2026, to 4:00 PM on September 28, 2026 .

The budget for each application round is €15,000,000 . The grant amount that can be applied for is from €250,000 to €2,000,000 .

Who is the program for? For companies that wish to develop innovative technologies, processes, products, or services; test new materials; or gain knowledge about technological feasibility . An entrepreneur can participate either independently or in cooperation with other Estonian or foreign companies, research institutions, testing laboratories, or intellectual property experts . All companies registered in the Estonian Business Register are eligible to participate, regardless of the company’s size and period of operation. The participating company must not be in financial difficulty .

The grant can be used for:

  • Conducting applied research;
  • Experimental product development;
  • Conducting a feasibility study;
  • Initial protection of intellectual property .

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