New programme: OPPIK EXPANSION – Guarantees
The Czech-Moravian Guarantee and Development Bank launched a new programme for OPPIK Expansion at the beginning of February to provide guarantees.
The Expansion programme guarantees can be used by small and medium-sized enterprises under the following conditions:
- loan amount of CZK 4 – 25 million
- a guarantee of up to 70% of the principal of the loan
- for a maximum of 7 years, or 10 years if the implemented project chiefly concerns the acquisition or technical appreciation of immovable property
- the project must be implemented outside the city of Prague
For so-called specially supported activities (e.g. processing of felled trees, water use in industry or business centres), preferential conditions shall apply, i.e. a loan guarantee of CZK 1 – 40 million, guarantee up to 80% of the loan principal and for 12 years.
Guaranteed credit can be used to acquire machinery and equipment or to purchase and make technical improvements to buildings, for long-term intangible assets, tangible and intangible assets, inventory, personnel costs, rent of space for own business or energy expenditures. However, all expenditures must be related to the implementation of the investment project under which the long-term assets are financed.
The project must belong to one of the supported activities defined by CZ-NACE, a complete list of which is presented in the programme.
Aid applications will be accepted beginning on 15 February 2019 and should run until 2023 (up to a financial allocation of CZK 4 billion).
More posts from Petra Klůnová
More from MO(O)RE News Czech