Guarantees for Commercial Enterprises and Liberal Professions (State Guarantee Program)

The Free State of Thuringia's State Guarantee Program targets commercial enterprises and liberal professions that require financial collateral for loans. Funding is primarily aimed at projects within Thuringia, with exceptions for majority stake acquisitions in companies across Germany. The goal is to secure economically beneficial projects in which the state has a particular interest.

The program supports the financing of investments and working capital for commercial enterprises and liberal professions in Thuringia. It covers a wide range of eligible industries and focuses on ensuring liquidity and expanding business activities, particularly in the implementation and commercialization phases of projects.

The State Guarantee Program offers default guarantees as a financial instrument to secure loans. The guarantee amount varies depending on the project and can be up to 80% of the loan, or under certain conditions, 90% or 60%. The terms are limited depending on the purpose.

Specific requirements apply for participation in the State Guarantee Program, including the necessity of a viable business concept and the lack of sufficient own collateral. EU state aid regulations must also be observed. Applicants must also provide personal co-liability and consider certain costs and administrative fees.

The application for a state guarantee must be submitted to PricewaterhouseCoopers GmbH as the appointed agent and requires detailed documents, including a declaration of willingness from the bank and a tax certificate. The assessment is carried out by the agent, and the final decision is made by the State Guarantee Committee and the Thuringian Minister of Finance. The guarantee becomes effective upon signing and acceptance.

The State Guarantee Program is based on the Directive for the Assumption of Guarantees by the Free State of Thuringia, supported by the Thuringian State Budget Code and the respective Budget Law. It also integrates various EU state aid regulations to ensure compatibility with the internal market.