Terms and conditions applicable to loan applicants

- Companies with no more than 250 employees, registered in the commercial register no more than three years prior to the date of submitting their loan application to the Bank.

- Annual turnover no more than EUR 50 million or annual balance sheet total no more than EUR 43 million.

- Owners of the undertaking only include natural persons and/or incorporated entities for the purposes of the Commercial Code

- The undertaking’s equity capital adheres to requirements provided in the Commercial Code.

- The undertaking, its owners and management board members have no overdue non-scheduled debts pertaining to state tax, and the requirement of submitting tax returns, provided in taxation laws, is duly performed.

- The undertaking is sustainable and solvent, and the undertaking’s business plan is implementable.

- At the time of concluding the loan contract, the undertaking, its owners and management board members have no overdue debts before the lender.

- It has not come to the knowledge of KredEx or the Bank that the undertaking’s owner or member of its management board or supervisory board is subject to a binding punishment for a criminal offence against property or economic criminal offence.

Terms and conditions of the loan

- Refinancing of existing loans with the start-up loan is not permitted

- The loan is repaid in monthly payments based on a depreciation schedule. Upon termination of the loan period, the loan balance must be zero.

- Payment relief pertaining to the principal loan amount is up to 6 months, yet not more than half of the length of the loan period.

Obligatory financial indicator of loan applicant

- The debt service coverage ratio (DSCR) following the issue of the loan is, conservatively estimated, no less than 1.2.

Indicative financial indicators of loan applicant

- Current ratio is at least 1.1

- Equity capital following the issue of the loan is at least 15%

- With investment loans, self-financing amounts to 10% of the project’s cost.

- Total financial burden does not exceed 70% of the loan applicant’s annual turnover.

The start-up loan is not granted to the following activities and undertakings 

- Primary production of agricultural products, fishery and aquaculture and forestry

- Weapon, coal and tobacco industry

- Acquisition of transportation means and equipment used in road transportation of goods

- Financing of working capital of retailers and wholesalers

- Real estate project developments for sales and rental purposes. If real estate development is carried out for own purposes, incl. for activities unrelated to real estate developments by the undertaking’s subsidiaries and related companies, some of the premises may be rented out if the relevant rental incomes, excluding those from the said subsidiaries and related companies, do not exceed 30% of the loan applicant's annual turnover.

- Export related activities directly connected to exported quantities, to creation and operation of a distribution network or to other export based current expenses if state aid is provided by issuing of a guarantee

- Direct or indirect owners of the loan applicant include off-shore companies registered in low tax rate areas  


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