Lower Silesian
Development Fund

• For whom:
  Micro, small, or medium-sized enterprises within the meaning of Annex I to Commission Regulation (EC) No. 651/2014 of June 17, 2014, declaring certain categories of aid compatible with the internal market in application of Articles 107 and 108 of the Treaty  (OJ L 187 of June 276, 2014), based in the Lower Silesian Voivodship or conducting business activity, e.g. in the form of a branch, subsidiary, facility, or representative office, registered in Central Registration and Information on Business (CEiDG) or in the Register of Entrepreneurs of the National Court Register, whose predominant business activity before January 1, 2020, and on the day of submitting the loan application is an activity corresponding to at least one of the listed PKD (Polish Classification of Activity – see: List of eligible PKD codes), interested in funding with the Industry Loan funds of an investment located in Lower Silesia and intended for the development of a company belonging to a business category included in the “List of eligible PKD codes”. The business activity conducted by the Entrepreneur who meets all the conditions described above has been affected by COVID-19. The Application for the Industry Loan must include a description of the circumstances indicating the negative impact of the COVID-19 outbreak on the activity of the SME, taking into account business-related events such as:
  • decrease in revenue, indicating amounts and periods,
  • loss of customers or suppliers
  • period of suspension of business activities in 2020, etc.

• List of eligible PKD codes: 

• • 55.10.Z – Hotels and similar accommodation
  • 55.20.Z – Holiday and other short-stay accommodation
  • 55.30.Z – Camping grounds (including grounds for camping vehicles) and camp-sites
  • 55.90.Z – Other accommodation
  • 56.21.Z – Event catering activities
  • 56.10.A – Restaurants and other eating places
  • 56.10.B – Mobile eating places
  • 56.29.Z – Other food service activities
  • 56.30.Z – Beverage serving activities
  • 79.11.A – Tour agents activities
  • 79.11.B – Tour middlemen activities
  • 79.12.Z – Tour operator activities
  • 79.90.A – Couriers on package tours and tour guides activities
  • 79.90.B – Tourist information activities
  • 79.90.C – Other reservation service activities not elsewhere classified
  • 91.03.Z – Operation of historical sites and buildings and similar visitor attractions
  • 93.11.Z – Operation of sports facilities
  • 93.12.Z – Activities of sport clubs
  • 93.13.Z – Operation of fitness facilities
  • 93.19.Z – Other sports activities
  • 93.21.Z – Activities of amusement parks and theme parks
  • 93.29.A – Other amusement and recreation activities n.e.c
  • 93.29.B – Activities of escape rooms, haunted houses, dance halls and other forms of amusement or recreation held indoors or in other confined spaces.

• Details: 
  • Industry Loan funds must be used to finance investment or combined investment and working capital expenses, i.e:
    1. investment-related outlays on intangible assets and tangible fixed assets to conduct the business activity, excluding the purchase of real estate (land, buildings permanently connected with land, or parts of such buildings if, under specific regulations, they constitute an object of ownership separate from land),
    2. other expenses connected with the investment in question (e.g. refurbishments, purchases of tangible assets with a useful life of up to one year or a low unit price) with the value of the expenses for current purposes linked to the investment in question amounting for a maximum of 30% of the loan
  • Maximum amount: 3 million PLN
  • Maximum repayment term: 84 months
  • Repayment mode: monthly instalments of capital and interest, equal or decreasing. 
    • optionally, a maximum of 12 months’ grace in the repayment of the capital*
    • optionally, up to 6 months suspension (“holiday”) from the payment of capital and interest instalments* – in this case, monthly monitoring of the SME, i.e. its future debt sustainability

* it may extend the repayment period of the loan

• For whom:
  Micro-, small, and medium-sized enterprises with their registered office or place of business within the Lower Silesian voivodeship which have recorded a decline in revenues from the sale of goods and/or services due to the epidemic caused by the SARS-CoV-2 virus (COVID-19):
  • by not less than 20%, calculated as the ratio of the total revenue in any 2 consecutive calendar months falling in the period after January 1, 2020, until the day before the date of application, compared to the total revenue in the corresponding 2 consecutive calendar months of the previous year; or
  • by not less than 25% calculated as the ratio of the revenue from any calendar month after January 1, 2020, to the month preceding the month in which the application is made. The loan is only available to companies operating before January 1, 2020.

• Details:
  Loan to cover fixed monthly expenses:
  • Loan amount of up to 180,000 PLN
  • Payments in instalments
  • Repayment period up to 60 months + up to 12 months (grace/”holiday”)
  • Equal or decreasing monthly instalments of capital and interest
  • Optionally, up to 12 months grace in repayment of capital
  • Optionally, up to 6 months “holiday” in repayment of capital and interest
  • Interest rates more favourable than market rates: from 0%
  • No fees and commissions
  • Security: blank promissory note (obligatory) + other securities applied by the Financial Intermediary.

• UP TO 300 THOUSAND PLN
• OBJECTIVE: current expenditure excluding outlays on tangible fixed assets and intangible assets
• MAXIMUM REPAYMENT TERM: 3 years
• REPAYMENT MODE: monthly instalments of capital and interest, equal or decreasing
• GRACE PERIOD: deferral of up to 6 months in the repayment of capital instalments
• REPAYMENT HOLIDAYS: deferral to 3 months in the repayment of interest and capital instalments
• OBLIGATORY COLLATERAL: blank promissory note, other collaterals in accordance with the financial intermediary’s security policy
• INTEREST RATE: variable, from 1,19% per year
• COMMISSION: 0%

• UP TO 1 MILLION PLN
• OBJECTIVE: purchase of real estate and land located in Lower Silesia, for business purposes
• MAXIMUM REPAYMENT TERM: 10 years
• OWN CONTRIBUTION REQUIREMENT: at least 20%
• REPAYMENT MODE: monthly instalments of capital and interest, equal or decreasing
• GRACE PERIOD: up to 6 months
• OBLIGATORY COLLATERAL: mortgage established on the property purchased using the RML funds, in case of developed property – assignment of rights under fire and other random events insurance policy to the financial intermediary, renewed throughout the term of the RML agreement, blank promissory note, other collaterals in accordance with the security policy adopted by the financial intermediary
• INTEREST RATE: variable, from 1,19% per year
• COMMISSION: 0%

• FROM 1 TO 2 MILLION PLN
• OBJECTIVE: investment-related expenditure entailing outlays on intangible assets and tangible fixed assets for the purposes of conducting business activity, excluding the purchase of real estate (land, buildings permanently connected with land, or parts of such buildings if, under specific regulations, they constitute an object of ownership separate from land)
• MAXIMUM REPAYMENT TERM: 5 years (or 7 years if the LRIL is intended to finance undertakings increasing the use of innovation in enterprises or support the development-oriented undertakings contributing to increasing their competitiveness)
• OWN CONTRIBUTION REQUIREMENT: at least 10%
• REPAYMENT MODE: monthly instalments of capital and interest, equal or decreasing
• GRACE PERIOD: up to 6 months
• OBLIGATORY COLLATERAL: blank promissory note, other collaterals in accordance with the financial intermediary’s security policy
• INTEREST RATE: variable, from 1,19% per year
• COMMISSION: 0%

• 1.5 MILLION PLN: maximum value of a single guarantee for SMEs
• 1.5 MILLION PLN: maximum total value of guarantees granted to one SME
• FOR WHOM: micro, small, and medium-sized enterprises with their registered office in the Lower Silesian voivodship or conducting business activity in this Part of Poland (no minimum period of company business operation), to which the Lower Silesian Economic Fund offers guarantees for liabilities secured with the Regional re-guarantee on the basis of an agreement with the LSDF
• OBJECTIVE: guarantee for a turnover loan/credit, deposit guarantee, operating lease guarantee, guarantee for factoring transactions
• GUARANTEE PERIOD: up to 5 years

• FOR WHOM: for Financial Intermediaries selected by BGK under the procedure no. DZZK.89.DIF.2019 for the award of an order for the implementation of the Financial Instrument “Development Loan” within the framework of the Regional Operational Programme of the Lower Silesian Voivodeship 2014-2020
• OBJECTIVE: financing the required Financial Intermediaries’ Contribution to individual loans for micro, small and medium-sized enterprises from the Lower Silesian voivodship under order no. DZZK.89.DIF.2019.
• REPAYMENT PERIOD: up to 10 years
• GRACE PERIOD: up to 12 months

• OBJECTIVE: Investment in start-ups and projects with high growth potential
• HOW: The financing structure depends on the phase of project development, its specificity, and the owner’s preferences
• FORMS OF FINANCING: Obtainment of shares or acquisition of stocks in the company, mixed financing is also provided, including the provision of capital through the purchase of bonds, a loan or guarantee, etc.