Novice

Within the Fund of Funds, SID Bank is expanding access to financing for developmentally important projects for small and medium-sized enterprises with a new financial instrument, portfolio guarantees for research, development and innovation (RDI). These are loans with a free guarantee from SID Bank in the total amount of more than EUR 30 million, which will be available to companies at Delavska hranilnica, which was selected by SID Bank through a public call. This guarantee instrument will further facilitate companies' access to favourable sources of financing with significantly lower insurance.

The selected financial intermediary, Delavska hranilnica, will be able to use first-class, unconditional portfolio guarantees to finance entrepreneurs, micro and small and medium-sized enterprises for projects aimed at strengthening research, technological development and innovation. Loans from the financial instrument will be granted under the de minimis aid scheme.

The new financial instrument of the SID Bank Fund of funds will enable beneficiaries to:

• Loan in the amount of EUR 10,000 to EUR 10 million,
• more favourable borrowing conditions - SID Bank provides up to 62.5% free, unconditional and first-class coverage of the risk of loss from loans granted to companies, which will have a favourable effect on the interest rate and especially on the amount of collateral,
• Portfolio guarantees are free of charge for entrepreneurs, companies and participating savings banks.

Companies will be able to use the funds for investments in tangible and intangible assets, as well as for working capital, which is intended to increase the diversification of the borrower's production, significantly improve existing products or services or significant changes in the production process.