loan facilities for companies: the advantages of the Guarantee Fund
The search for loan , for a company , is usually always accompanied by the search for the right facilities , the national or regional tender, which allows access to loan at better conditions. However, not everyone is aware of the most important facility made available by the State for SMEs who are looking for cheaper financing conditions.
This important instrument is the Guarantee Fund (L.662 / 96). Its usefulness is more and more under the eyes of entrepreneurs, who can verify their access for their business and obtain loan in a simpler way and at advantageous conditions .
For this reason, today we offer a quick guide to the Guarantee Fund , specifying how it works, who it is addressed to and how you can request access.
What is the Guarantee Fund – It is an initiative of the State to support small and medium-sized Italian companies, facilitating their access to loan. Offers companies that meet certain requirements (see below), the possibility to rely on the state guarantee. In this way the risks for the banks are very reduced and loans can be issued more easily.
To whom the Guarantee Fund is addressed – SMEs, including craft companies, can access the fund, possessing the dimensional parameters set by the current Community regulations (they must not have more than 250 employees and must not exceed 50 million euros annual turnover). Access is possible for companies of any sector, with the exception, to date, of the so-called “sensitive sectors” excluded from the European Union, which are: Agriculture *, Fishing, Transportation, Automotive industry, Shipbuilding industry, Fiber industry synthetic, Coal industry Iron and steel industry. From a territorial point of view, all companies located on the national territory can access the guarantee. However, companies having their registered office or local unit in Tuscany and Lazio can only benefit from the counter-guarantee (ie, the company must ask for a loan guarantee from a Confidi who, in turn, can contact the Central Fund guarantee to obtain the counter-guarantee).
Purpose: why apply for access to the Guarantee Fund? – Because it is the best guarantee you can count on in your loan application. Access to the fund means having the Italian State as guarantor, having therefore the concrete possibility of obtaining financing. The advantage is both for the company, which exploits a preferential lane for access to loan, and for the bank, which breaks down the risk with a guarantor like the state and can grant the loan more easily.
How the Guarantee Fund works – It is possible to calculate access to the requisites requested through the last 2 financial statements or tax returns. However, the actual demand is made through the bank asking for funding. In a short time the request will be examined: here the Manager can ask the bank for any additional information deemed necessary for the completion of the examination. Once this preliminary phase has been completed, the Fund Manager will inform both the bank and the client of the outcome of the request. If positive, access to loan for the company will be guaranteed by the State for a maximum of 80% of the amount requested. In this way the possibilities of access to loan increase considerably and the total cost of loan can be reduced.
* Agricultural enterprises can however make use of the counter-guarantee by turning to a trust that operates in the agricultural, agri-food and fisheries sectors. However, there are exceptions: some of the activities included in section A of the ISTAT 1991 Classification (by way of example: the activities of services related to agriculture, hunting and trapping of animals for breeding, forestry and use of forest areas) do not they are considered agricultural under the Fund regulations and can therefore benefit from the direct guarantee (see circular No. 549 of 6 May 2009).