AVGS and the start-up grant (Gründungszuschuss): which comes first

AVGS and the Gründungszuschuss (start-up grant) come one after the other. The AVGS pays for start-up coaching before you launch, and in it you draft your business plan and financial plan. With these documents, you apply for the Gründungszuschuss before the start, or for Einstiegsgeld if you receive basic income support. Both support you in the first period after the start.

No legal entitlement: The employment agency or job centre alone decides on the AVGS, at its own discretion.

Whether AVGS coaching could work for you, the Fit Check shows you after five questions. Already have a voucher? Here’s how to redeem it.

Contents

1. The difference: three benefits, three purposes
2. The Gründungszuschuss: requirements and amount
3. Einstiegsgeld for people on basic income support
4. What the fachkundige Stelle needs from you
5. The order: from coaching to the second phase
6. Frequently asked questions about AVGS and the Gründungszuschuss
7. Your next step

The difference: three benefits, three purposes

The AVGS and the two benefits for the time after the start solve different problems. That is why they do not exclude each other.

	AVGS	Gründungszuschuss	Einstiegsgeld
Purpose	Coaching before you start	Living costs and social security cover after the start	Allowance after the start
For whom	Unemployed people, jobseekers, people on basic income support	People receiving Arbeitslosengeld	People receiving Grundsicherungsgeld
Who decides	Agentur für Arbeit or Jobcenter	Agentur für Arbeit	Jobcenter
Legal basis	§ 45 SGB III	§§ 93, 94 SGB III	§ 16b SGB II

All three are discretionary benefits. Coaching is not a requirement for the Gründungszuschuss. It does help you prepare the documents you need for it. What the voucher itself is and what it states is explained in the guide on the AVGS voucher.

The Gründungszuschuss: requirements and amount

You can get the Gründungszuschuss if you end your unemployment by becoming self-employed as your main occupation. According to the Federal Employment Agency (in German), main occupation means at least 15 hours a week. § 93 Abs. 2 SGB III (in German) names three requirements:

• When you start, you still have at least 150 days of entitlement to Arbeitslosengeld.
• You prove that your business is viable with a statement from a fachkundige Stelle.
• You set out your knowledge and skills for self-employment.

The grant is ruled out if fewer than 24 months have passed since earlier start-up support (§ 93 Abs. 4 SGB III). If you quit your job yourself to start a business, support is usually not possible, according to the Federal Employment Agency.

It is paid in two phases, as set out in § 94 SGB III (in German):

Phase	Duration	Amount	Condition
1	6 months	Arbeitslosengeld last received plus 300 euros	Approval before the start
2	up to 9 months	300 euros a month	Separate application, proof of business activity

According to the Federal Employment Agency, you do not pay tax on the grant. You apply for it online.

Einstiegsgeld for people on basic income support

If you receive Grundsicherungsgeld, there is no Gründungszuschuss. Instead, the Jobcenter can pay you Einstiegsgeld under § 16b SGB II (in German). According to the Federal Employment Agency (in German), these requirements apply:

• You have not yet become self-employed as your main occupation.
• You will work self-employed as your main occupation, at least 15 hours a week.
• You are personally suited.
• There is a good prospect that the business will mean you no longer need Grundsicherungsgeld.

Your Integrationsfachkraft (your caseworker at the Jobcenter) sets the amount and duration, up to 24 months. Einstiegsgeld is not offset against your Grundsicherungsgeld. The Vermittlungsvorrang (placement priority) has applied again since July 2026. It explicitly does not apply to Einstiegsgeld for starting a business, as stated in § 3a Abs. 2 SGB II (in German).

Under § 16c SGB II (in German), there are also grants of up to 5,000 euros or loans for purchases. Here too, the business must be likely to be viable. What else the July 2026 reform changes is explained in the guide Grundsicherungsgeld and self-employment.

What the fachkundige Stelle needs from you

For the Gründungszuschuss, a fachkundige Stelle confirms that your business is viable. According to the Federal Employment Agency (in German), examples are an IHK (chamber of commerce and industry), a Handwerkskammer (chamber of crafts), a bank, a trade association or a tax adviser. You choose the body yourself and pay the costs. It uses the form Vordruck BA GZ 04.

For its review, the body needs these documents:

• a description of the venture (business plan)
• a Kapitalbedarfs- und Finanzierungsplan (capital requirements and funding plan)
• an Umsatz- und Rentabilitätsvorschau (revenue and profitability forecast)
• your CV
• proof of your qualifications, such as certificates

For Einstiegsgeld, the Jobcenter asks for similar documents according to the Federal Employment Agency (in German), including an Umsatz- und Rentabilitätsvorschau for three years. It can also ask for a Stellungnahme (statement). These documents are produced in start-up coaching. How a financial plan is structured is explained in the guide Creating a financial plan.

The order: from coaching to the second phase

Under § 324 SGB III (in German), you apply for all employment promotion benefits before the event that triggers them. For the voucher, that event is the start of the coaching. For the Gründungszuschuss, it is the start of your self-employment. This gives the following order:

1. You apply for the AVGS in a meeting with your contact person, see Applying for AVGS.
2. Once it is approved, the coaching begins. In it, you draft your business plan and financial plan.
3. With the finished documents, you obtain a statement from a fachkundige Stelle of your choice.
4. Before the start, you apply for the Gründungszuschuss or Einstiegsgeld, with the statement and documents.
5. You start your business. For the Gründungszuschuss, you need at least 150 days of Arbeitslosengeld entitlement left.
6. After six months, you apply for phase 2 and prove that you work self-employed as your main occupation.

Counting back, this means your coaching should start early enough that you still have 150 days of Arbeitslosengeld left at the start. Your approval notice for Arbeitslosengeld shows how much you have left.

Frequently asked questions about AVGS and the Gründungszuschuss

Can I get the Gründungszuschuss without AVGS coaching?

Yes. The coaching is not a requirement. You do need the documents and the statement from the fachkundige Stelle.

Can I combine AVGS and Einstiegsgeld?

Yes. If you receive basic income support, the Jobcenter issues the voucher under § 16 SGB II (in German). You apply for Einstiegsgeld there before the start.

Do I have to pay back the Gründungszuschuss?

No, it is a grant. If you give up self-employment, you can claim your remaining Arbeitslosengeld again, says the Federal Employment Agency (in German). This works within four years of when the entitlement arose. It is reduced by the days on which you received phase 1.

Who issues the expert statement?

A body of your choice, such as the IHK, the Handwerkskammer or a tax adviser. You pay the fee yourself.

Your next step

AVGS start-up coaching prepares you for the start until your business plan, financial plan and grant application are ready. The coaching is in German and requires German at B2 level or above. The Fit Check shows you in five questions whether it suits you. The Agentur für Arbeit and the Jobcenter decide on the voucher, the Gründungszuschuss and Einstiegsgeld at their own discretion.