New financing for exporting SMEs

Interesting opportunities are emerging for Made in Italy companies looking to strengthen their activities and consolidate their business abroad. SIMEST, which is under the control of the Ministry of Economic Development, through SIMEST SpA, now controlled by CDP (Cassa Depositi e Prestiti), has decided to introduce some innovations regarding revolving funds. Specifically, it will re-propose the financing under Law 133/08 – Article 6, paragraph 2, letter c “Capitalization of exporting companies” (already presented two years ago), revising its terms.

This financing program, designed exclusively for exporting SMEs with the aim of strengthening their financial stability and enhancing their competitiveness, provides for a loan of €500,000 over 4 years plus a 2-year grace period at an interest rate of 0.51% per quarter, without collateral and outside the traditional banking system, for companies that meet specific criteria.

Specifically, under the new amendments, all SMEs that have exported an average of at least 35% of their turnover over the past three years and that have a ratio of equity to fixed assets between 0.81 and 2.1 (for service and commercial SMEs, the ratio is between 1 and 2.1) are eligible to apply; It should also be noted that the application may also be submitted by a limited liability company (S.r.l.), but at the time of financing, it must be incorporated as a joint-stock company (S.p.A.).

The intervention will be divided into two distinct phases:

• Disbursement and preamortization phase;
• repayment phase.

With regard to disbursement, the 100% grant will be awarded within 6 months of the decision, which in turn will be made within 3 months of the application.

This is a particularly important measure for Italian Small and Medium-sized Enterprises, which are grappling with a difficult economic context, and whose need to internationalize their activities is becoming increasingly pressing, especially in order not to be crushed by international competition in global markets.

For more information and insights and to view the fact sheet. click here.

Interested companies wishing to start an internationalization process can request a meeting with our consultants by contacting us via e-mail at the following address: [email protected] or to our phone number: 059.9770184. For more information on the services offered by Octagona, click here.

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