Technology Entrepreneurship
15.12.2025

Valencia is allocating one million euros to attract innovative technology companies

  • The City Council, through València Innovation Capital, is launching a new grant program “with the largest financial contribution to date to strengthen the entrepreneurial ecosystem.”
  • Councilwoman Paula Llobet explains that the goal “is to strengthen the innovation ecosystem and establish the city as a leading hub in the Mediterranean and Southern Europe for innovation, technology, and business growth.”
  • The first program, Startups Seed 2025, will allocate 600,000 euros to support early-stage projects through grants of up to 25,000 euros
  • New this year is a second line of support under the Early Stage program, which will allocate 400,000 euros to fund startups that have received private investment

The City Council, through València Innovation Capital, has launched a new program to support technology entrepreneurship with an investment of one million euros. This is the largest financial contribution made to date by the city government with the goal of “strengthening the entrepreneurial ecosystem and consolidating the city as a Mediterranean leader in innovation, technology, and business development,” as announced today by Paula Llobet, the City Councilor for Innovation, Tourism, and Investment Attraction for the City of Valencia.

This investment is structured around two complementary lines aimed at emerging companies or startups at different stages of development “and aligns with the city’s goal of attracting talent, creating skilled jobs, and strengthening strategic sectors such as artificial intelligence, digital health, semiconductors, sustainability, the video game industry, and the application of technology to strengthen public services—or GovTech,” the councilwoman explained.

The first program, Startups Seed 2025, will allocate 600,000 euros to support early-stage projects through grants of up to 25,000 euros. This funding is complemented by a municipal incubation and acceleration program to be held at La Harinera, the City Council’s technology entrepreneurship hub, combining workshops, specialized mentoring, masterclasses, and a final Demo Day focused on securing investment.

Paula Llobet emphasized “the strategic importance of this investment” and stated that “Valencia is at a pivotal moment: we have talent, we have companies, and we have the ambition to be a Mediterranean leader in innovation. “This one million euros reinforces our commitment to those who are creating technology in Valencia for the world.”

The councilwoman also explained that “the combination of these two support programs allows us to accompany startups from their earliest stages through to scaling up, and strengthens every stage of technological entrepreneurship.” She added: “We want innovative companies to be founded here, grow here, and establish themselves here. This strategy ensures that Valencia remains an attractive place to start a business, grow, and invest.”

New this year is a second line of support, as part of the Early Stage 2025/2026 program, which will allocate 400,000 euros to subsidize startups with proven traction and investment, thereby incentivizing private investment and fostering a more competitive and professional environment.

Regarding this new initiative, Paula Llobet emphasized that “many Valencian startups are already ready to compete in global markets, but they need a strong push to make the leap. “With this second initiative, we’re helping to strengthen their structure, attract investment, and accelerate their growth.” “Furthermore,” she noted, “the Early Stage program responds to a clear need within the ecosystem: to support those startups that have already demonstrated their potential and can generate an immediate economic and social impact in the city.”

The Early Stage grants, which will range from 25,000 to 50,000 euros per recipient, will help fund expenses related to growth, team consolidation, technological development, market strategy, expansion into new countries, and capital for operations essential to their expansion.

The Early Stage program is expected to cover 100% of eligible expenses between January 1, 2025, and January 30, 2026, with a single lump-sum payment following the grant award decision. Its expected impact includes the consolidation of high-value-added technology sectors, the creation of specialized jobs, economic diversification, and a direct contribution to the Sustainable Development Goals by promoting inclusive, sustainable projects with social and environmental impact.

The application period for both calls for proposals will begin on the day following their publication in the Official Gazette of the Province and will remain open until January 30, 2026.

A strategic transition toward a more efficient aid model

Paula Llobet noted that the current structure of the entrepreneurship support programs—including the new Seed program—is the result of a transformation process that began in 2023. That year, on November 24, the Local Governing Board approved a designated grant of €1,000,000 to the Valencian Community Foundation for Strategic Promotion, Development, and Urban Innovation, which is responsible for developing the “València Innovation Capital” strategy, with the aim of launching a public-private investment vehicle. This instrument was designed to combine public resources and private capital in order to foster innovative startups and contribute to urban transformation.

“Following a technical and operational analysis, and with the aim of simplifying management and minimizing risks, the City Council decided on July 25, 2025, to shift this approach toward a system of direct grants. This change allows us to maintain our commitment to strengthening the innovation ecosystem while introducing a support mechanism that is more agile, transparent, and aligned with the real needs of Valencia’s startups.” “Thanks to this evolution, the city is adopting a more flexible and effective model, consistent with the innovation policies being implemented by other European municipalities and regions that stand out for their leadership in technological entrepreneurship,” the councilwoman concluded.