From the 15th August 2011, small and medium-sized companies based in Berlin will have easier access to finance for innovation and internationalisation activities.
Developed within JOSEFIN and branded as "Berlin Kredit Innovativ", the new product of Investitionsbank Berlin (IBB) will benefit Berlin-based SMEs, freelancer and start-ups. Commercial bank loans up to 500.000 € can be claimed. Favourable conditions, 100% payout and flexible terms are complemented by a 60% liability relief for commercial banks. The integrated optional coaching offered by the Technology Coaching Center enhances the sustainable business growth and minimises the risk for finance institutions.
A distinctive feature is that german regions managed to finish negotiations with the EIF successfully and the consortium of four regional development banks – Investitionsbank Berlin, NRW.Bank, LfAFörderbank Bayern and the Investitionsbank des Landes Brandenburg – signed an agreement on innovation loan guarantees from the EU's Competitiveness and Innovation Programme (CIP) in December 2010. The risk sharing model envisages 30% risk covered by the development banks and 30% by the EIF, relieving house banks significantly in order to incentivise lending to innovative SMEs with low collateral leaving 40% risk only.
For more information, please visit the website of the IBB: www.ibb.de