Programme Overview
Smart&Start Italia is Italy's flagship national programme for innovative startups and innovative SMEs. Administered by Invitalia (the national agency for investment attraction and business development) on behalf of the Ministry for Enterprises and Made in Italy (MIMIT), it combines a non-repayable grant with a zero-interest subsidised loan — one of the most favourable financing packages available to Italian tech startups.
The programme specifically targets businesses with a high technological or digital content, including artificial intelligence, clean technology, life sciences, advanced manufacturing, and digital services. Since its 2013 launch it has supported over 3,000 innovative companies.
Who Can Apply?
Innovative startups registered in the Italian Business Register as startup innovativa for no more than 5 years, with annual turnover under €5M and no profit distribution. Innovative SMEs (PMI innovative) are also eligible.
At least one founding team member must reside in Italy. Non-EU foreign founders may participate provided a team member holds Italian or EU residency. Companies operating in Southern Italy (Basilicata, Calabria, Campania, Molise, Puglia, Sardinia, Sicily) benefit from enhanced grant rates and larger total financing envelopes.
What Does It Fund?
Eligible costs include personnel (salaries and social contributions), R&D services, IP acquisition and licensing, industrial and commercial investments, and business development activities. Projects must have a strong innovation component — technological content is evaluated during the assessment phase.
Total eligible project cost must be between €100,000 and €1.5M (up to €3M for joint ventures or "team projects" with a business mentor).
Funding Amount & Rates
Grant (non-repayable): 30% of eligible project costs for companies located in Northern and Central Italy; 45% for companies in the South (Mezzogiorno regions).
Zero-interest loan: Up to 70% of remaining eligible costs (after the grant), repayable over 8 years with a 3-year grace period. Total interest rate: 0%.
Combined, the total public financing covers up to 100% of the eligible project cost, making Smart&Start one of the most generous startup financing instruments in Italy.
Deadlines & Timeline
Application window: Periodic open calls, typically 2–3 per year. Calls are announced by Invitalia and open for 30–60 days. Monitor the Invitalia website for the latest call notice.
Processing time: 6–9 months from submission to funding decision and contract signing. Projects must begin after the official start date communicated by Invitalia.
Pros & Cons
Advantages
- Up to 100% of project costs covered (grant + loan)
- Zero-interest loan — no equity dilution
- Non-repayable grant portion (30–45%)
- Covers personnel, R&D, and commercial costs
- Foreign founders eligible if Italian-registered
- Enhanced terms for Southern Italy
Limitations
- Italy-only — company must be Italian-registered
- Loan portion must be repaid (over 8 years)
- Periodic calls — cannot apply year-round
- Competitive evaluation; not all applications funded
- Bureaucratic reporting requirements during project