Funding objective

The promotional loan is used to develop or produce new or substantially improved products, processes or services that are innovative.

Who is eligible for funding?

Eligible for funding are

• Small and medium-sized enterprises (SMEs) with
  • less than 250 employees and
  • an annual turnover of no more than 50 million euros or an annual balance sheet total of no more than 43 million euros.
• Larger medium-sized companies with
  • fewer than 500 employees, the majority of which are privately owned and
  • a group turnover of no more than 500 million euros.
• freelancers, e.g. doctors, tax consultants, architects

The companies or freelancers must be able to present at least two annual financial statements.

Not eligible for support:

• Restructuring cases and companies in difficulty
• Applicant companies in which KfW has a direct stake of at least 10%
• Companies whose activities do not meet the requirements of the InnovFin guarantee
• Installations for the use of renewable energies
• Debt rescheduling and follow-up financing of already completed projects as well as follow-up financing and prolongations or
• Acquisition of companies/shareholdings

What is supported?

• Investments - can be capitalized in fixed assets (e.g. purchase of machinery, equipment, vehicles and facilities; commercial construction costs, etc.)
• Operating resources (e.g. running costs, acquisition of current assets, etc.)
• Inventory

How is support provided and what conditions apply to the KfW Entrepreneur Loan Plus?

Type of support

• Low-interest loan

Interest on the loan

• The interest rate is fixed for the entire term of the loan.
• The program interest rates are based on the development of the capital market and the creditworthiness of the borrower. Particularly favorable interest rates apply in the SME window.
• The loan is approved at a customer-specific interest rate within the framework of the maximum interest rate for the respective price category applicable on the date of approval.
• The interest rate is set by the house bank, taking into account the borrower's financial circumstances (creditworthiness) and the value of the collateral provided for the loan.

The borrower is assigned to a credit rating and collateralization class specified by KfW.

Amount of funding

• The maximum loan amount is: up to EUR 7.5 million per project
• up to 15 million euros per group of companies
• The minimum loan amount is: EUR 25,000

Disbursement of the subsidy

• 100% of the loan amount

Term of the subsidy

• Working capital and warehouse financing
  • Up to 5 years with a maximum of one redemption-free start-up year (5/1).
• Investment financing
  • up to 10 years with a maximum of 2 redemption-free start-up years (10/2).

Repayment of the loan amount

• after the grace period in equal quarterly installments

Collateral for the loan

• Standard bank collateral for the loan (agreement with the house bank).
• KfW grants the on-lending bank a 50 percent exemption from liability.