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Pancreta Entrepreneurship
EU and National Development Programmes

Pancreta Entrepreneurship
EU and National Development Programmes

Loans Through the Hellenic Fund for Entrepreneurship and Development

Business Financing – Entrepreneurship Fund II

The Action aims at promoting entrepreneurship, facilitating the access of enterprises to financing, and reinforcing investments by granting loans with preferential terms.

The cost of loans granted under this specific action is particularly advantageous for businesses as, due to the co-investment relationship between the Funds and the banks (1:1.5 - 40% of the loan is funded by the Entrepreneurship Fund II and the rest 60% by the Bank), and given that the funds of the Fund for Entrepreneurship are interest-free, interest charges are limited to 60% of the bank loan interest rate that the business would be charged with at any given time.

The funding application is submitted by the interested companies electronically in https://www.ependyseis.gr/mis , by choosing Pancretan Cooperative Bank as the co-operating bank. The application is printed and submitted to the Bank together with all other supporting documents of the Action.

TARGET CLIENTS

Newly-established and/or existing small and medium-sized enterprises of all legal forms (sole proprietorship, general partnership, limited company, SA) that fulfill the following requirements

  • Their registered office is on Greek territory and the investment is made in Greece.
  • They are small and medium-sized enterprises, i.e. they employ up to 250 employees and have an annual turnover up to 50 million euros or assets of 43 million euros. The aforementioned figures include any collaborating companies or affiliates.
  • They do not exceed the aid limit set by the De Minimis Aid Rule.
  • They are active in eligible NACE Classification Codes.
  • They are up-to-date with regard to their tax and social security obligations.
LOAN CHARACTERISTICS

Two categories of loans are offered:

  • Special purpose business development loans (working capitals).
    - loan amount: €10,000 - € 500,000,
    - loan repayment term: 48 up to 60 months, with a grace period of up to 6 months.
  • Investment loans
    - loan amount: € 25,000- € 1,500,000
    - loan repayment term: 5 to 10 years with the option for a grace period up to 24 months.
INTEREST RATE

Variable based on the ECB interest rate and maximum margin of 4.30%, plus the Law 128/1975 levy (0.60%), which applies for 60% of the loan.

ADDITIONAL INFORMATION

The Fund's resources (€ 366.3 million), are co-financed by the European Regional Development Fund (ERDF) and the Greek State and are derived from the contribution of the Operational Program Competitiveness, Entrepreneurship and Innovation (EPANEK), and the Regional Operational Programs (ROPs).

Loans in collaboration with the European Investment Bank (EIB) and the European Investment Fund (EIF)

Pancretabank collaborates with the European Investment Bank, offering its clients, businesses and Local Government Organisations, the possibility to obtain favorable financing for the implementation of their investment plans, development projects and infrastructure projects in Crete.

Up to now, the Bank and the EIB have signed agreements for a total amount of €285 million, to be offered to Small and Medium-sized Enterprises and Local Government Organisations in the form of long-term investment loans.

Simultaneously, Pancretabank and the EIF have signed agreements of a total amount of €67.5 million, for the provision of guarantees towards the financing of Small and Medium-sized Enterprises.

Loans in Cooperation with the European Investment Bank

TARGET CLIENTS

Small and medium-sized enterprises or Midcaps.
a) autonomous Small and Medium-sized Enterprises (SMEs) which employ less than 250 employees.
b) Midcap Enterprises employing between 250 - 3,000 employees.

LOAN CHARACTERISTICS

Financing up to 100% of the business plan.

  • Special purpose business development loans (working capital)
    - loan amount: depending on the turnover of the enterprise and its operational needs.
    - loan repayment term: 2 to 12 years
  • Investment loans
    - loan amount: up to €12,5 million
    - loan repayment term: 2 to 12 years with the option for a grace period ranging from 6 months to 2 years, depending on the investment implementation timetable.
INTEREST RATE
  • Preferential charges in accordance with the enterprise’s credit rating
  • More favorable terms for enterprises that support youth employment (15-25 years of age)
  • Exempted from Law 128/75 levy.

Loans in Cooperation With the European Investment Fund (EIF) Through the “COSME” Programme

TARGET CLIENTS

Newly-established and/or existing small and medium-sized enterprises of all legal forms (sole proprietorship, general partnership, limited company, SA).

LOAN CHARACTERISTICS

Amount granted: The maximum financing amount is €1,500,000.
If the enterprise applying for the loan fulfils even one of the eligibility criteria of the Innovfin Programme (InnovFin Innovation Eligibility Criteria), the maximum financing amount equals €150,000.
Purpose of the loan:
a) Investment in fixed and/or intangible assets and/or
b) working capital
Duration of the loan: up to ten (10) years, with a minimum repayment term of 5 years (for amortised loans).

INTEREST RATE

Variable based on Euribor with a margin of 4.00% - 7.00% (based on the credit rating of the enterprise), plus the Law 128/75 levy.

ADDITIONAL INFORMATION

Low guarantees given the existing EIF guarantee
Visit: COSME - Loan Guarantee Facility (LGF)


The financing is made possible thanks to the Guarantee provided by COSME and the European Strategic Investment Fund ("ESIF") set up under the Investment Plan for Europe. The aim of the ETSC is to contribute to the financing and realization of productive investments within the European Union and to ensure increased access to finance.


Loans in Cooperation with the European Investment Fund (EIF) Under the EU Programme for Employment and Social Innovation (EaSI)

The financing is guaranteed by the European Union under the EU Programme for Employment and Social Innovation (EaSI).
The financing is supported by the European Union under the Guarantee Facility, created with Regulation (EU) 1296/2013 of the European Parliament and of the Council on a European Union Programme for Employment and Social Innovation (EaSI).

TARGET CLIENTS

Micro-borrowers or micro-enterprises with various activities, with the exception of the sectors included in the “Restricted Sectors” below:
1. Illegal economic activities (any production, trade or other activity, which is illegal under the law. For example: Human cloning for reproduction purposes is considered an Illegal Economic Activity).
2. Tobacco and distilled alcoholic beverages (production of and trade in tobacco and distilled alcoholic beverages and related products).
3. Production of and trade in weapons and ammunition.
4. Gambling (Casinos and equivalent enterprises).
5. IT sector restrictions (research, development or technical applications relating to electronic data programmes or solutions, which aim specifically at:
- supporting any activity included in the Restricted Sectors referred above (1-4)
- internet gambling and online casinos, or pornography
or which are intended to enable to illegally:
- enter into electronic data networks;
- download and install electronic data.
6. Life science sector restrictions, when providing support to the financing of the research, development or technical applications relating to:

- human cloning for research or therapeutic purposes; or
- Genetically Modified Organisms (GMOs).

LOAN CHARACTERISTICS

The maximum financing amount per client is up to €25,000
Two categories of loans are offered:
a) Amortisation Investment or Permanent Working Capital
With fixed-term installments (monthly, quarterly, etc.)
Up to five (5) years with a minimum repayment term of 2 years
b) Working Capital (revolving credit)
Interest is charged per calendar quarter
Semi-annual or annual limit term.

INTEREST RATE

Variable based on Euribor plus margin (maximum 7.00%), plus the Law 128/1975 levy.

ADDITIONAL INFORMATION

No additional collateral is required for this type of financing.

Further information:

http://www.eif.org/what_we_do/microfinance/easi/

http://ec.europa.eu/social/main.jsp?catId=1081&langId=en


A guarantee, funded by the European Union under the Employment and Social Innovation Program (EaSI), is provided.


Loans in Collaboration with the Non-Profit Company “Action Finance Initiative (AFI)”

Action Finance Initiative is a Civil Non-Profit Company, established by ActionAid Hellas and the French organisation ADIE in 2014, aiming at promoting micro-financing in Greece.

TARGET CLIENTS

The goal of the programme is to finance beneficiaries who experience economic and social exclusion, to provide aid to the unemployed, the self-employed and vulnerable citizen groups, by providing support on matters of organisation and collection of all supporting documentation required for the examination of a financing application by the Bank.

LOAN CHARACTERISTICS

The maximum amount of financing per client will be equal to €12,500
Two categories of loans are offered:
1. Coverage of working capital needs, and
2. Financing of investment loans.

Duration up to 60 months, with the possibility for a 6-month grace period.
Frequency of installment payments up to 3 months.

INTEREST RATE

Variable based on Euribor 1M/3M plus margin (7.00%) plus the Law 128/1975 levy.

ADDITIONAL INFORMATION

Guaranties:

  • No guaranties required.
  • For companies only, guarantee of the company’s bodies.
  • Inclusion in the EIF guarantee programme for Employment and Social Innovation (EaSI).