The launch of the first Loan Guarantee Fund for Audiovisual Works Production Companies was announced by the Ministries of Development & Investments and Digital Governance and the Hellenic Development Bank – HDB.

In this way, the Hellenic Development Bank-HDB implements initiatives to support specific sectors of Greek entrepreneurship with the aim of expanding the number of businesses financed by the banking system, as noted in the relevant announcement.

Budget - Guarantee Fund

This is the first Loan Guarantee Fund for Audiovisual Works Production Enterprises, of a total potential loan budget of 62.5 million euros.

Each company-beneficiary has the possibility to apply for a bank loan, at the two cooperating Banks (Piraeus Bank and Optima Bank) in the amount of 25,000 euros to 900,000 euros, to cover the needs either in working capital or for the financing of investment projects.

The Loan Guarantee Fund for Audiovisual Works Production Companies provides a guarantee of 80% of the loan amount.

In this way, access to the banking system is facilitated for a much larger number of businesses. With the guarantee of the Guarantee Fund, the beneficiary company enjoys either a lower interest rate on the loan, or smaller (or no) collateral.

According to the terms of the loan:

• Banks will not require collateral for loans up to 50,000 euros
• In all loans - regardless of their amount - it is forbidden to pre-mark a permanent and unique residence
• Loan repayment facilities are provided on favorable terms (grace period and long loan repayment period)

Beneficiaries of the Program

Micro, small and medium-sized enterprises operating in the sectors:

• Production of motion pictures, videos and television programs (NACE code 59.11)
• Activities incidental to the production of motion pictures, videos and television programs (NACE code 59.12)
• Production of computer game software prototypes (NACE code 62.01.21)
• On the date of the first disbursement of the loan, they are tax aware and insurance aware.
• Businesses which, when applying to the State Aid Information System (SAIS), are not considered problematic.
• They are considered credit-acceptable according to the applicable credit policy and internal procedures of credit institutions
• They are bank aware < 90 days in arrears)

Duration of loans - guarantee

Α. 5 years for Working Capital loans
Β. 10 years for Investment Loans (including any Grace Period)

The HDB Audiovisual Project Production Business Guarantee Fund is funded by the Public Investment Program (PIP).

The deadline for submission of applications by interested companies to the PSCE is Thursday 13.1.2022, at the following e-mail address: https://www.ependyseis.gr/.