Ceska sporitelna to Offer Czech Start-up Projects CZK 550 million. Risks Will Be Shared with the European Investment Fund
A new agreement between the European Investment Fund (EIF) and Ceska sporitelna will enable Ceska sporitelna to provide a total of CZK 550 million to Czech start up projects over the next two years.
Thanks to EIF guarantees, Ceska sporitelna’s offer of advantageous loans covers a client portfolio ranging from start-up businesses to small firms, to companies with 500 employees.
Since 2004, Ceska sporitelna has provided loans to Czech companies with an EIF guarantee or European Investment Bank financing amounting to a total of EUR 1.25 bn (CZK 33.75 bn).
The European Investment Fund and Ceska sporitelna have signed an agreement on a guarantee for advantageous loans for start-up projects. The new agreement will allow Ceska sporitelna to provide up to an aggregate of CZK 550 million over the course of the next two years to Czech companies and entrepreneurs, for starting up their business.
“With the new loan with an EIF guarantee, we will be able to support start-up entrepreneurs with interesting projects, without needless paperwork, even if they do not have an established track record in business. Our partner, EIB, allows us to reduce our requirements in terms of loan security and to accept the higher risk involved in start-up projects," said Ladislav Dvořák, Manager of Strategic Projects at Ceska sporitelna.
“The microfinance loans under the EU EaSI programme will target entrepreneurs looking to start their businesses in the Czech Republic and we are pleased to work with Ceska sporitelna to support these borrowers. EIF is currently offering support to more than 1,300 micro-borrowers under the EaSI programme to-date in the Czech Republic and this agreement with Ceska Sporitelna will help an increased number of entrepreneurs to get their companies up and running,” said EIF Head of Microfinance, Per-Erik Eriksson.
Ceska sporitelna first started to grant loans with EIF guarantees in 2004 and, in addition, it has also granted Czech companies preferential loans from the European Investment Bank (EIB), amounting in total to EUR 1.25 bn. (CZK 33.75 bn). That makes Ceska sporitelna EIB’s most important partner in Central Europe. In the last two programmes in support of innovative investments of small and medium-sized companies, Ceska sporitelna has supported a total of 126 projects.