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Labor Office’s Start-up Grant (Existenzgründungszuschuß) Can Qualify as Premium Based Welfare

Can the start-up grant from the Labor Agency (Existenzgründungszuschuß, §421 l SGB III) qualify as welfare payments that are not harmful according to §2 III AufenthG? The VGH of Hesse published a judgment to answer this question on December 12, 2006, (re 3 TG 2484/06).

Whether or not this grant qualifies depends on the personal situation of the applicant. When the Existenzgründungszuschuß replaces Arbeitslosengeld I then it will qualify as a premium based welfare that will not torpedo your residence permit. The same applies to Arbeitslosen II when the law considers that the entrepreneur is barred from Arbeitslosengeld I because he opened a business and so became self-employed.

Published on the old CMS: 2008/8/29
Read on the old CMS till November 2008: 1,389 reads