EMERGENCY MEASURES - Announcement of the COVID II program (loan guarantees)(No. 889)

On Monday 30 March 2020 the Ministry of Industry and Trade in cooperation with the Czech-Moravian Guarantee and Development Bank, a.s. (CMZRB) announced a COVID II program It is another program to support small and medium-sized enterprises and sole traders. In comparison with the COVID I program, this one provides entrepreneurs with a guarantee for commercial banks loans and a financial contribution to pay interest on these loans. The applications can be submitted since 2 April 2020.

The loan can be used to finance operating expenditures that is directly linked to overcome the economic crisis caused by the spread of SARS-CoV-2. These expenses have to be spent at the earliest on the day of the guaranteed loan conclusion. If the loan is used for assets acquisition, such assets have to be owned by the applicant. Eligible expenditure is the cost of wages and energy, rent, supplier-customer invoices, financing of receivables or the acquisition of material, inventory and other small assets.

The guaranteed loan is up to CZK 15 million and the financial contribution to interest can be up to CZK 1 million. The guarantee is provided up to 80% of the loan and the maximum guarantee period is 3 years. The program is announced in the form of rounds with a capacity of CZK 1.5 billion for each round. Once the capacity is reached, the relevant round will be closed for applications and the next round will be opened 10 working days after the end of the previous round. Individual rounds are opened and closed by a notice on the website https://www.cmzrb.cz/

Please note that the link leads to Czech version, unfortunately, English version is not available.

publikováno 01.04.2020