Purpose
The financing of SMEs to support and expand their operations, according to their Business Plan. The Fund will support the development of business activities and enhancement of the investment activity in the country, through:
- Investment Loans
- Special Purpose Working Capital Loans
- Working Capital through Revolving Credit lines
The following are not considered as acceptable financing purposes:
- the refinancing/repayment of existing borrowings
- the financing of a dividend payment plan or the purchase of shares
- the financing of Mergers and Acquisitions
Loan Amount
General Entrepreneurship Subfund
- Special Purpose Working Capital & Working Capital through Revolving Credit: €10.000 up to €500.000 per company
- Investment Loans:
- €10.000 up to €1.600.000 (all eligible Enterprises)
- 10.000 up to €10.000.000 (under certain conditions*)
Start –ups Entrepreneurship Subfund
- Special Purpose Working Capital & Working Capital through Revolving Credit lines: €10.000 up to €200.000 per company
- Investment Loans: €10.000 up to €1.500.000
Duration
Special Purpose Working Capital Loan: From 2 up to 5 years (including grace period)
(including grace period of max 12 months).
Working Capital through Revolving Credit line: From 2 up to 5 years . Max 3 years with annual credit renewal. Then, conversion of the credit line into a term loan for the remaining duration of the 5-year period.
Investment Loans:
General Entrepreneurship Fund:
- 5 up to 10 years (loan amount up to €1.600.000)
- 5 up to 12 years (loan amount up to €10.000.000)
Start Ups Entrepreneurship Fund
- 5 up to 10 years
(including grace period of max 24 months).
Interest Rate
Fixed for the entire loan duration or Variable based on Euribor 1m /3m /6m plus margin
The interest rates are charged with contribution of L.128 / 75 for the part of the bank’s funds (60%), which currently amounts to 0.60%.
The customer's final interest rate is determined on the basis of an assessment of its Creditworthiness.
Interest rate subsidy
Two-year interest rate subsidy** as follows:
- 2% for Attica and South Aegean regions and
- 3% for the rest regions of the country.
**Is irrevocably terminated in the event of an overdue payment of more than 90 days
Does not cover the contribution of Law 128/75 and the overdue interest rate which burdens the borrower in any case.
Especially for the General Entrepreneurship Subfund, it is applicable only for companies that participate in HDB’s programs for the first time.
Repayment
Fixed Loans:
- Small Εnterprises and self-employed professionals (Turnover ≤ €2,5 mil.): Monthly or Quarterly Amortization or installment payments
- For Medium Εnterprises, Semi – annual Installments option is also provided
- For Medium Enterprises and only for Investment Loans, Balloon payment option is also provided
Revolving Credit:
- Small Enterprises and self-employed professionals (Turnover ≤ €2,5 mil.): Monthly interest installments and schedule - free Capital payments up to 3 years
- For Medium Enterprises option of quarterly or semi - annual interest installments is also provided
Early repayment
Early partial or full repayment is possible without any charge. The capital repaid can not be refinanced (except the revolving credit lines).
Currency
Euro (€)
Disbursement:
Disbursements can be either one-off or partial.
- The first disbursement can not be < €10.000 and should be made within four (5) months from the signing of the Contract.
Αll disbursements are made on presentation of invoices which will be checked for their eligibility and their relevance to the submitted business plan.
Collaterals
Personal Guarantees and / or Material Collaterals.
- For financing up to €50.000 personal guarantees only.
- For financing from €50.001 material collaterals are accepted, for up to 25% of the loan amount for the General Entrepreneurship Subfund and up to 20% of the loan amount for the Start Ups Entrepreneurship Subfund.
Availability Period
The availability period expires on 31.12.2029