What are the benefits?

The instrument Portfolio Guarantees for Loans Funded from the European Regional Development Fund (hereinafter – “Portfolio Guarantees for Loans”) is aimed at facilitating access to funding for small and medium size enterprises (SMEs) when an SME is unable to provide a collateral that is attractive or sufficient to a financial institution.

What companies are eligible?

Small and medium-sized enterprises.

What is the maximum amount?

The maximum guaranteed amount of loan is €1,875,000, or €937,000 in the case of organisations involved in the carriage of freight by road. Funding under the instrument cannot extend beyond 120 months or 36 months for facility of credit limit.

The instrument Portfolio Guarantees for Leasing Transactions is worth €13,48m.

How does it work?

A portfolio guarantee secures the repayment of 80 percent of the principal amount of the loan to a financial institution. This amount shall be applied to each transaction included in the portfolio of the financial institution. The total amount of INVEGA payments shall not exceed the maximum amount limited by the ceiling, that is 20 percent.

In the case of guaranteed loans financial institutions shall apply a lower interest rate as compared to transactions concluded at market conditions. A portfolio loan guarantee is issued as de minimis aid as defined in the Commission Regulation (EU) 1407/2013.

Guaranteed loans shall be granted only to potentially economically viable activities related to the establishment of SME, its development or strengthening or development of new projects, facilitate access to new markets or carry out new activities of companies that are already established.

Guaranteed loans will be provided for investments and working capital.

In order to use this financial instrument, enterprises are required to apply directly to the financial institution. The structure and documentation of leasing transactions eligible under this instrument shall be prepared by the financial institutions concerned subject to their own internal regulations and procedures.

For more information about the terms and opportunities of this instrument contact the following credit institutions:

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