Loan for innovative enterprises Société Nationale de Crédit et d’Investissement (SNCI) The loan for innovative enterprises granted by Société Nationale de Crédit et d'Investissement (SNCI) aims to encourage and help young and innovative small and medium-sized enterprises (SMEs). Beneficiaries Loans for Innovative Enterprises can be granted to young innovative SMEs which possess a business permit issued pursuant to the law of 2 September 2011 (right of establishment), have been in existence for less than 8 years and have a substantial impact on national economic development. The beneficiary is an innovative enterprise, in so far as it can be demonstrated on the basis of a business plan, the development and commercialization of products/services or processes that are new or substantially improved/changed as compared to the state of the art in the concerned industry sector, and which carry a risk of technological or industrial failure. The innovative character of processes should be of a technological nature. The innovative character of products or services should be of a technological, commercial and/or organisational nature. Eligible costs Investments in depreciable assets and negative cash-flows resulting from the business plan presented by the innovative enterprises are eligible for this loan. Eligible costs include in particular land, buildings or parts of buildings used exclusively for professional purposes, equipment, machinery and professional facilities, materials/supplies, personnel expenditures, patent filing fees, expenses related to contract research, the use of databanks, technical libraries and laboratories, the acquisition of patents/licenses, innovation support services such as market research, the implementation of new regulatory standards, testing and certification, costs of commercial launches and required working capital. Types of loan The loan cannot be of more than €1,500,000 without exceeding 35% of eligible costs and taking into account the extent of the project and the size of the company. At least 35% of investments and expenses shall be co-financed by own resources. The amount of the SNCI loan (or SNCI loans) cannot at any moment exceed the amount of capital contributions made in form of equity/subordinated loans. The maximum loan duration is 10 years. It is fixed on the basis of the project requirements. The remuneration is fixed by the SNCI’s Board of Directors. It is composed of two components: a remuneration of the first loan tranche which is proportional to the risk and success of the project and an interest rate fixed for the second tranche on the basis of interest rates on the capital market. The loan is disbursed in two tranches according to the disbursement plant determined in the framework of the dossier. The first tranche accounting for 50% of the loan is repaid by a single payment at the final maturity date together with respective remuneration. Repayment of the second loan tranche is performed by constant quarterly instalments with the first one due no later than three years after the conclusion of the contract on the basis of the project requirements. Early repayment is subject to a prepayment fee. Submitting an application Applications must be sent to SNCI with the required documentation enclosed.
