BACB AD concluded the first agreement with BDB AD under a programme for indirect financing of SMEs with guarantee facility and counter-guarantee under COSME Programme with the support of the European Fund for Strategic Investments - EFSI on 23.11.2018.
“The funding is being obtained with the support of the European union according to the Guarantee agreement, Regulation 1287/2013 of the European Parliament and the Council establishing the Programme for the Competitiveness of Enterprises and small and medium-sized enterprises (COSME) (2014-2020)“
Purpose of the Programme:
To provide better access to finance for SMEs through the stages of their life cycle such as establishing, expanding or transferring of business.
Guaranteed loans provided by COSME+programme
- Investment Loan
Financing of investment projects, such as the purchase of FTAs (machinery, equipment and vehicles); construction and renovation of industrial warehouses, administrative areas; purchase of raw materials and stocks; etc.;
- Working Capital Loan
Financing of working capital needs of enterprises – purchase of raw materials, goods, external services, VAT on investment projects and others in the form of overdrafts, credit lines or loans in installments;
- Bank guarantees
Bank guarantees for tenders, performance, payment, etc.;
- Suitable collateral requirements
- No application fee
- Enhanced opportunities for financing
- 0% commission for management services regarding the funding of “Social Impact Project”
- The maximum total remuneration concerning the commitment in Bank guarantee is up to 2% per year
Interest: 3M EURIBOR + up to 5.7% per annum
Term of the Loan:
- Minimum term of the loan – 12 months;
- Maximum term of the loan – up to 120 months depending on the loan amount;
Guarantee coverage: up to 60% of the amount of the loan
Currency : BGN or EUR
Loan Amount: * maximum amount of EUR 150000* (or the equivalent amount in BGN – 293 000*)
The COSME Programme does not finance projects implemented with EU funds and/or funds from other donor programmes. Loans to refinance active loans from other financial institutions or BACB are not eligible.
*(not more than EUR 149 999 or BGN 292 999 incl.).