It is no secret that companies making their first steps on the market have serious problems with obtaining financing. A lot of companies fail in the first 12 months. It is no wonder that for banks they are not very credible as borrowers.
However, it is worth knowing that having appropriate seniority is not a hard criterion for granting credit in many banks. Some institutions have prepared a special financing offer for start-ups. In which banks can a beginner entrepreneur with less than a year of experience seek financial support?
The loan offer for companies that have just registered their activities
Is theoretically not scarce. In practice, however, for a loan, especially exceeding 10-20 thousand. USD, it can be difficult. The more it is worth knowing where a start-up company can seek financial support.
Good Finance Bank is one of the banks where you can apply for a loan from day one. He has prepared a special offer for start-ups Loan for start + One year without ZUS, under which you can receive up to 100,000 USD without collateral on own assets, thanks to government support in the form of guarantees.
If a novice entrepreneur has the option of securing a loan with a mortgage on real estate, he will be able to borrow up to 350,000 USD Additionally, the offer is made more attractive by the fact that for the first 12 months of the loan period the bank will pay the entrepreneur a bonus of USD 400 per month (this is the amount that almost covers the monthly ZUS contributions of a novice entrepreneur, hence the wording “Year without ZUS” in the offer name).
However, to take advantage of this promotion, you must meet additional conditions, i.e. set up a company account at Good Finance Bank and pay ZUS premiums on time (!), Conclude an accounting contract with Tax Care, and repay loan installments on time. The minimum loan amount entitling to participate in the promotion is 50 thousand. USD.
Another Good Finance bank available for newly established companies is working capital loan, which can be used to purchase means for production or commercial goods. This loan is available without additional collateral. To obtain more attractive conditions, i.e. lower interest rates, it is worth trying to obtain collateral, e.g. in the form of movable property, real estate or assignment from the contract.
A loan for the company after a few months
A working capital loan in the credit account guaranteed by the European Investment Fund at Bank Good Credit SA allows you to borrow up to USD 20,000 USD to the company that issued at least one invoice or one invoice paid by the contractor. Funds from the loan can be used for current purposes, i.e. purchase of commercial goods, production means etc.
The loan may be granted thanks to a free EIF guarantee, constituting security up to 50% of the loan value together with interest.
With a loan up to 10,000 USD, sufficient collateral is the EIF guarantee and a declaration of submission to enforcement and a power of attorney to use a bank account, with a higher amount additional security is necessary.
The internship does not count, the plan counts
Some banks have prepared a special loan offer for start-ups, often available only thanks to governmental or EU support. What about the standard credit offer for companies? When can a young company count on a positive consideration of its application?
Some banks set the limit on the minimum company seniority (usually 12 months, sometimes 18 or even 24 months) from which credit products are available. For some institutions, however, the business plan, collateral and also credit history of the business owner are more important than the internship.
In a situation where the company has neither documented income for a fairly long period nor credit history, the bank may scan the owner. If he took loans from banks in the past and repaid them on time, the chances of getting a loan for a company increase.