INTENSIVE BANK LAUNCHES A NEW PROGRAMME FOR SMALL BUSINESS
Intensive Bank initiated a new programme for long-term investment crediting. From June 1 the bank is launching credits to small and medium-sized companies which plan to increase their competitive power. Credits are payable in 4 to 10 years with a 3-year grace period at most. Projects applying for financing should not be worth less than EUR40,000 and more than EUR10M.
Applicants are required to be small or medium-sized firms in accordance with the Law on Small and Medium-Sized Enterprises. Besides, their managers should finance at least 25% of the project amount. The credits from Intensive Bank should not be smaller than EUR20,000 and bigger than EUR1M.
Applicants should also have at least 2-year experience in the branch they are investing. Credits are launched for acquisition of new technologies and technological lines, machinery, equipment, patents, licenses and know-how. Loans are also provided for training and extra qualification of the companies' personnel.
The loans are provided by the financial institution and through the European Investment Bank's credit line.
The new programme agreement was signed by Intensive Bank's executive directors Kiril Grigorov and Ventsislav Petrov, and by Guido Bruh - EIB director for Central and Eastern Europe. The credit from EIB must be repaid in 15-year-term, with just 5.5% annual interest in the first three years. Intensive Bank received the initial tranche amounting to EUR2M a month and a half ago.