ESIF ERDF Greece Guarantee Fund (EEGGF)

Piraeus Bank in cooperation with the European Investment Fund participates in the guarantee instrument of the Investment Guarantee Fund (EEGGF) and grants loans to support small and medium-sized enterprises with preferential terms and reduced collateral.
IDEAL FOR
Small and Medium Enterprises and Professionals with the aim of enhancing liquidity and the implementation of investment plans
REPAYMENT METHOD
  • With equal monthly or quarterly or semi-annual interest-bearing installments(capital and interest)
INTEREST RATE
Variable

based on Euribor


OTHER FEATURES
  • Grace Period up to 2 years
  • Early repayment free of charge
  • Fund guarantee for 80% of the loan
  • Collateral up to 40% of the loan amount
IDEAL FOR
Small and Medium Enterprises and Professionals with the aim of enhancing liquidity and the implementation of investment plans
REPAYMENT METHOD
  • With equal monthly or quarterly or semi-annual interest-bearing installments(capital and interest)
INTEREST RATE
Variable

based on Euribor


OTHER FEATURES
  • Grace Period up to 2 years
  • Early repayment free of charge
  • Fund guarantee for 80% of the loan
  • Collateral up to 40% of the loan amount

Eligibility Criteria

Program Description

Piraeus Bank in collaboration with the European Investment Fund (EIF), participates in the EEGGF), financing investments by small and medium enterprises (SMEs) operating in Greece. The ESIF ERDF Greece Guarantee Fund (EEGGF) is co-financed by Greece and the European Union / European Regional Development Fund, through the EPANEK operational program. The objective of the EEGGF IS to improve access to finance for SMEs , through loss protection provided by the EIF Guarantee to newly originated loans or finance leases for eligible SMEs in Greece.


Eligible companies, are companies that meet the following criteria:

  • are very small, small or medium-sized enterprises, i.e. they employ up to 250 employees calculated in annual work units (EMU) and the Turnover of the last closed year does not exceed € 50 million or the Assets does not exceed € 43 million.
  • do not operate on one or more Restricted Sectors, as descripted below
  • are not active in the primary sector, in agriculture, fisheries or aquaculture
  • are not subject to collective  insolvency proceedings nor fulfill the criteria under its domestic law for being placed in collective insolvency proceedings at the request of its creditors
  • are not delinquent or in default in respect of any other loan or lease either granted by the Bank or by another financial institution
  • are established and operate in Greece
  • are not in an Exclusion Situation  and are not a Sanctioned person;
  • are not engaged in illegal activities in accordance with the applicable national law of the registered office in which the Bank or the Company is established
  • are not an undertaking in difficulty as defined under the Communication 2014/C 249/01



Restricted Sectors


Not eligible for funding, are companies whose business is related to:

  • Any production, trade or other activity, which is illegal under the laws or regulations of the home jurisdiction for such production, trade or activity – “Illegal Economic Activity” (i.e. Human cloning for reproduction purposes is considered an Illegal Economic Activity)
  • The production of and trade in tobacco and distilled alcoholic beverages and related products
  • The production of and trade in weapons and ammunition of any kind.
  • Casino and equivalent enterprises
  • Research, development or technical applications relating to:

    • Human cloning for research or therapeutic purposes, or
    • Genetically Modified Organisms (“GMOs”)
    • Electronic data programs or solutions, which:
  • Aim specifically at supporting any activity included in the Restricted Sectors referred above, internet gambling and online casinos, pornography
  • Or are intended to enable to illegally enter into electronic data networks or download electronic data.

Features

Purpose

Funding for Small and Medium Enterprises and Professionals to cover their investment plans or to enhance their liquidity with working capital.

  • Investment loan costs relate to costs of tangible and intangible assets (e.g. purchase of equipment, modernization of facilities, acquisition of software, etc.)
  • Working capital expenditures can meet the current needs of businesses (e.g. purchase of raw materials & goods, salaries, rents, etc.)

This funding can not be used to refinance or restructure of existing business loans.


Amount and Duration of Finance

For Small Business and Professionals (with a turnover of up to € 2.5 million) from € 7.000 to € 900.000

  • Investment loan from € 10.000- € 900.000 with a duration of 1 to 10 years
  • Working Capital from € 7.000- € 900.000 with a duration of 1 to 7 years

For Medium size enterprises (companies with Turnover> € 2.5 million- € 50 million) from € 10.000 to € 1.875.000

  • Duration from 1 to 10 years for amounts up to € 900.000
  • Duration from 1 to 5 years for amounts up to € 1.875.000

Grace Period

  • Up to 1 year for working capital
  • Up to 2 years for investment loans

During the grace period only interest will be paid


Currency

Euro (€)


Interest Rate

Variable based on the :

  • Euribor 1M / 3M (for Small Businesses and Professionals) and Euribor 3M / 6M (For Medium Size Enterprises)

The interest rates are charged with the interest margin and the contribution of L.128 / 75, which currently amounts to 0.60% .
The customer's final interest rate is determined on the basis of an assessment of its Creditworthiness.


Repayment

  • For Small Businesses and Professionals: Monthly, 3-month interest installments (capital and interest)
  • For Medium size enterprises: Monthly, 3-month, 6-month interest-bearing capital and interest)or installment (capital only) installments

Disbursements

One-off or Partial instalments. The allocation of the Program expires on 31.12.2023, unless the budget of the program is depleted earlier.


Collaterals

Reduced collateral requirements due to the offered guarantee of the Investment Guarantee Fund (EEGGF)


How to get it

On line application to the PSKE:

  • Enter www.ependyseis.gr/mis with your personal codes (in case there are no codes you must register)
  • Select the relevant Action "EEGGF Investment Guarantee Fund (EIF) and fill in the application details
  • Select Piraeus Bank and submit your application

In Application for financing in a branch of Piraeus Bank
Once the application process has been completed at www.ependyseis.gr/mis, enter one of the Piraeus Bank branches with the application form printed by the PSKE.

Order to find out about Financial Products through the “ESIF ERDF Greece Guarantee Fund “EEGGF” as well as about the process of their acquisition :


ESIF ERDF Greece Guarantee Fund “EEGGF” is co-financed by the EU and the Hellenic Republic under the Operational Programme for Competitiveness, Entrepreneurship and Innovation for 2014 – 2020 of the Hellenic Republic

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