Bürgschaftsbank Bayern Default Guarantees
Bürgschaftsbank Bayern supports companies and freelancers who need loans for investments or working capital but cannot provide sufficient collateral. The program offers default guarantees to mitigate credit risk, thereby facilitating financing in the trade, craft, hotel and catering, and horticulture sectors in Bavaria. The aim is to ease access to financing for SMEs and thus promote economic development.
Who is Supported
This funding program is aimed at small and medium-sized enterprises (SMEs), freelancers, and start-ups in Bavaria. The goal is to secure loans for economically viable projects when insufficient collateral is available. The funding focuses on businesses in the trade, craft, hotel and catering, and horticulture sectors with a registered office or an operational branch in Bavaria.
What is Funded
Bürgschaftsbank Bayern supports a variety of projects, including investments, business acquisitions, and working capital needs. The funding is targeted at specific sectors and covers a wide range of project development stages. However, certain types of loans and entertainment businesses are excluded.
Type and Scope of Financing
The program offers default and maximum amount guarantees for securing loans. The guarantee amount can be up to 80 percent of the loan amount, with an upper limit of 1.25 million Euros. For working capital loans, the maximum guarantee rate is 70 percent. There are also special programs for smaller guarantees with simplified procedures.
Conditions and Requirements
To receive a guarantee, applicants must meet certain conditions, including the economic viability of the project and the provision of maximum collateral. The program is subject to EU state aid regulations. There are also detailed obligations for borrowers and house banks regarding information provision, audits, and collateral management.
Application Process
The application for a default guarantee is submitted jointly with the house bank and forwarded by them to Bürgschaftsbank Bayern. For smaller guarantees, simplified and digitized procedures are available, enabling faster processing. The selection is made after reviewing the economic viability and compatibility with the objectives of economic development.
Legal Basis
The default guarantees of Bürgschaftsbank Bayern are based on the General Guarantee Conditions for Loans (ABB-Kredit) of the German guarantee banks. The program is also subject to the state aid regulations of the European Commission and national regulations such as the German Banking Act (Kreditwesengesetz).
Similar Programs
Funding Overview
Funding Status:
Open
Maximum Amount:
1.250.000 €
Deadline:
always open
Open Until:
Ongoing
Award Channel:
Demand Driven Scheme
Region:
Bavaria (Germany)
Sectors:
Service Sector, Tourism, Agriculture and Agribusiness, Other
Beneficiaries:
Trade, Craft, Hotel and Catering, Horticulture
Application Type:
Single Applicant
Funding Stages:
Process Optimization, Implementation, Scaling, Market Introduction, Commercialization, Planning, Service Delivery, Other
Funding Provider
Program Level:
Regional
Funding Body:
Bürgschaftsbank Bayern GmbH
Managed By:
Bürgschaftsbank Bayern GmbH
Additional Partners:
Federal Government and State
Website: