In brief

• The EU grant awarded to a company is not immediately available in its bank account.
• Expenses must first be financed from the company's own funds, and the reimbursement is received later.
• Part of the project costs is not covered by co-financing, and delays increase the company's financial burden.

Reimbursement instead of a transfer

The grant amount specified in the agreement is not the amount available in the bank account. Companies carrying out investments co-financed by the EU must first pay for machinery, services or construction works, and only then apply for a refund of part of the costs (Dotacja z UE to nie od razu pieniądze na koncie. O czym przedsiębiorca musi wiedzieć, zanim ruszy z projektem – Infor.pl). This means that during the project the company needs sufficient working capital or a credit facility as security.

Costs not covered by the grant

Not all expenses related to the project qualify for support. Some costs remain on the company's side, which must be taken into account already at the budget planning stage. Entrepreneurs who consider only the amount from the application may in practice run short of funds.

Risk of delays

Investment implementation often proceeds more slowly than the schedule assumed. Delays extend the time during which the company finances the project from its own pocket, which increases the cost of financing and burdens liquidity.

Settling the investment

After the works are completed, the settlement stage follows. It requires complete documentation and fulfilment of the conditions set out in the agreement. Formal errors may delay the payment of the refund or reduce its amount.

What to do before starting

Before starting the project, it is worth preparing a financing plan covering the entire period between incurring an expense and receiving the refund, a reserve for non-eligible costs, and a time buffer for delays. Only on this basis can one assess whether the grant actually supports the investment or merely triggers it.