Development Law Financial Instrument Guarantee Fund (DeLFI GF)

The financing of SMEs for the implementation of their investment plan that has been subject to an aid scheme of the Development Law 4887/2022 and provided that the cumulations limits of state aid are met (according to article 14 of EC 651/2014), through:

• Long term loan to cover their private participation. A prerequisite is that bank lending has been indicated in the financing scheme of the investment plan
• Short term loan in advance of the approved grant referred to their investment plan

Note that 25% of the subsidized investment should not comprise any type of State aid, public support or provision.

The following financing scopes are not accepted:

• Refinancing/restructuring of existing loans
• Financing programs of dividends’ payments or shares’ purchase
• Financing acquisitions and mergers

Long-term loans:

• For Small Businesses and Professionals with a turnover ≤ €2.5 million:
  Monthly or quarterly installments

• For Medium Enterprises with €2.5 million < turnover ≤ €50 million:
  Monthly, quarterly, semi-annual, annual installments of principal & interest combined or principal & interest apart

Short-term loans:
Bullet payment

In one lump sum or in installments

• The first disbursement will be made within four (4) months from the date of signing the loan agreement (contact)
• In case of partial disbursements
  • the first disbursement will be made within four (4) months from the date of signing the loan agreement (contact)
  • the total disbursement of the loan must be completed within thirty-six (36) months from the date of signing the loan agreement (contact)

Total or partial, at any time, without any charge

The capital repaid cannot be refinanced.

• Long Term Loan: Up to 40% of the loan amount
• Short Term Loan: the approved grant referred to the investment plan

Due to the 80% guarantee provided on each loan granted by HDB to the Bank, HDB will receive from the company a guarantee fee, according to one of the following types:

• With State Aid: Guarantee Fee is calculated on an annual basis on the guaranteed loan amount and is paid once upon the 1st disbursement for the total duration of the loan. It amounts to 0.20% of the guaranteed loan amount.
• Without State Aid: Guarantee Fee is calculated on the guaranteed loan amount and is based on the safe-harbour premiums of the European Commission’s Notice on guarantees (2008/C 155/02) which depend on the customer's rating. It is paid once upon the 1st disbursement for the total duration of the loan.

The following companies are eligible:

• Their investment plan is subject to an aid scheme of the Development Law 4887/2022.
• Implementation actions should not have started before submitting the loan application to the information system "Know your Customer KYC“.
• They are considered creditworthy in accordance with the current credit policy and internal procedures of the bank.
• They have not been subject to collective insolvency proceedings
• They do not have overdue debts over 90 days when submitting application for funding
• They are companies for which there are no grounds for exclusion of article 40 of law 4488/17 (A 137/139/17)
• There is no pending recovery order due to previous illegal and incompatible state aid based on an EU or WEU decision
• Τhey joined HDB programs (formerly ETEAN), which have been completed or are in force and have not shown adverse transactional behavior in the repayment of their debts (loan termination or overdue debts for a period of more than ninety (90) days) or in the case where they have shown adverse transactional behavior (loan termination or overdue debts for a period of more than ninety (90) days), have paid their debts in full before submitting the financing application, or if it is a guarantee program, the guarantee amount has not been paid by HDB when signing the Final Recipient Agreement or since the debt in question has been confirmed to the competent tax office., it has been included in a regulation regime, which continues to be in force on the date of submission of the financing application

1. Selection of bank by the applicant
2. After applying automatic evaluations of some of the eligibility criteria, the Bank expresses its interest in principle in receiving application, "Interested" Status
3. You receive a unique code per bank which you will enter during your application in the www.ependyseis.gr/mis

1. Enter www.ependyseis.gr/mis with your personal codes (in case of lack of codes you must register)
2. Fill in the details of the business to be financed in the application adding the unique code generated by the "Know Your Customer (KYC)" HDB platform
3. Select Piraeus Bank to submit your request
4. Finalize and submit your application to the system