Participation Guarantees by Bürgschaftsbank Rheinland-Pfalz Open
Bürgschaftsbank Rheinland-Pfalz offers participation guarantees for private equity investments in small and medium-sized enterprises (SMEs) in Rheinland-Pfalz. This program enables companies to strengthen their equity base and finance important projects, such as innovation initiatives or business successions, which would otherwise not be feasible without such a guarantee.
Who is funded
This program targets small and medium-sized enterprises (SMEs) in commercial business, crafts, and liberal professions with a registered office or permanent establishment in Rheinland-Pfalz. It aims to strengthen the equity base of these companies and consolidate their financial affairs to create or secure sustainably competitive existences.
What is funded
The program supports a wide range of projects through participation guarantees aimed at strengthening the equity base and financial consolidation. The funding includes contributions from private equity companies and certain entitlement claims, while other types of costs such as default interest or processing fees are excluded from the guarantee. Supported projects can span various development phases, from business formation to commercialization and the modernization of existing operations.
Type and Scope of Funding
Funding is provided in the form of a guarantee, covering up to 70 percent of the participation sum. The maximum participation sum is limited to 1.5 million Euros, with up to 2.5 million Euros possible in justified exceptional cases. The term of the guaranteed participation is set to a maximum of 10 years and must correspond to its intended use.
Conditions and Requirements
Specific conditions apply to applicants and beneficiaries. These include due diligence and reporting requirements for equity companies, consent requirements for significant corporate changes, and regulations regarding maximum exposure and cost coverage. The funding is also subject to European Community state aid rules and counter-guarantee declarations from the federal and state governments. Important changes to the participation require the Bürgschaftsbank's consent, and the participation must not serve to restructure financial affairs.
Application Procedure
The application for a participation guarantee must be submitted to Bürgschaftsbank Rheinland-Pfalz GmbH before the start of the planned measure. The selection of guaranteed participations does not occur through a tender process but is based on an individual assessment of whether the participation would not materialize without the guarantee. The Bürgschaftsbank verifies the fulfillment of the funding conditions.
Legal Basis
The legal basis for the participation guarantees is formed by the General Guarantee Conditions 2023 of Bürgschaftsbank Rheinland-Pfalz GmbH. Additionally, the counter-guarantee declarations of the federal and state governments, as well as the state aid regulations of the European Community, are relevant. Further details on prices and conditions are publicly accessible.
Funding Overview
Maximum Amount:
1,500,000 EUR
Deadline:
always open
Open Until:
Ongoing
Award Channel:
Demand Driven Scheme
Region:
Rheinland-Pfalz (Germany)
Sectors:
Other
Beneficiaries:
Commercial Businesses, Crafts & Liberal Professions
Funding Stages:
Experimental Development, Product Development, Market Introduction, Scaling, Commercialization, Planning, Implementation, Process Optimization, Infrastructure, Other
Funding Provider
Program Level: Regional
Funding Body: Federal Republic of Germany (Federal Government), State of Rheinland-Pfalz (State Government)
Managed By: Bürgschaftsbank Rheinland-Pfalz GmbH
Additional Partners: Private Equity Companies (KBG)
Website: Bürgschaftsbank Rheinland-Pfalz