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How do I get money to export?

Posted on October 20, 2020October 20, 2020Categories Money to export

You probably need extra money to make export possible. But where can this be found? In the crowd, with the government or via the bank? In the white paper Export Financing, we highlight the most important sources and forms of export financing. You will read how other entrepreneurs have tackled it and you will receive practical tips on how to achieve suitable financing.

You need money for international plans . For additional costs and usually an international transaction takes a lot longer. There is therefore a good chance that you will need extra capital to make exports possible. Steven Ryan, co-founder and owner Vinice: “We often had to wait too long for our money. We did not want a loan from a bank or an investor. We wanted to remain financially independent and run as little risk as possible. By adjusting our payment model, we can now keep our cash flow going and finance the export of our products. ”

Alternative forms of financing

In addition to the ‘old’ financing options, initiatives for crowdfunding , credit unions and matchmaking have been maturing in recent years.

Crowfunding: do you want to know whether crowdfunding is a suitable form of financing for your company? Check via the Chamber of Commerce Crowdfunding Scan whether this form of financing suits you and your plans.

Credit unions: Credit unions bring entrepreneurs and investors together. They also provide customization. Credit unions look at the person of the entrepreneur, the company and the business plan. They are sparring partners to make entrepreneurs even stronger and to make use of the entrepreneur’s network.

Matchmaking: entrepreneurs with a plan but without (sufficient) capital are brought into contact via Matchmakers through their website with investors who want to invest money in promising companies. A number of providers are active in the field of Matchmaking in the USA .

Banks

In addition to the financing options mentioned above, the whitepaper also discusses bank financing. Machiel Roelofsen, director of Rotra Logistics, says that he has a good relationship with the bank: “They know our company and know that we are always very thrifty. There is mutual trust. We are transparent in all areas and keep the bank informed. Banks don’t like surprises. We don’t like that ourselves. That creates a bond. The trust ensured that the financing was arranged like this. Download the White  Paper  Export Financing and read more about which forms of financing are available to make export possible.…

What is the GO scheme and how do you apply for it?

Posted on October 20, 2020October 20, 2020Categories GO Scheme

Do you have a medium to large company and are you looking for credit? Then the Business Financing Guarantee (GO scheme) might be something for you. Due to corona, this arrangement is temporarily being expanded, so you can borrow more.

The GO scheme is especially relevant for entrepreneurs who have difficulty obtaining a bank loan or bank guarantee. The government takes over part of the risk from the bank. Banks receive a 50% state guarantee on loans of a minimum of $ 1.5 million and a maximum of $ 50 million (temporarily increased to $ 150 million). Due to the corona crisis, this percentage has been increased to 80 percent (large businesses) or 90 percent (SMEs).

This state guarantee means that banks run less risk and have more options for lending money. This allows more companies to receive financing, which is good for the Dutch economy. The participating banks have already provided more than $ 3.5 billion in loans through the GO scheme since 2009. This means that the government has issued guarantees worth more than $ 1.75 billion.

What are the conditions of the GO scheme?

Not everyone is eligible for the GO. Your company must meet a number of conditions:

You have a healthy business.

Your company is (medium) large and has (substantial) activities in the Netherlands, Bonaire, St. Eustatius or Saba.

Profitability and continuity prospects are positive.

You only have Fresh Money. This means that you may not replace existing non-guaranteed financing with guaranteed financing.

There have been no excessive withdrawals in the last 12 months.

You apply for the GO to finance your own business activities.

How do you apply for the Corporate Financing Guarantee?

As an entrepreneur you cannot apply for the GO yourself. Your financier must apply for this scheme at the Netherlands Enterprise Agency (RVO). Here you will find an overview of all banks participating in the GO scheme.

The bank first decides whether your credit application will be processed. They then determine whether an application for the GO scheme will be made. If you are indeed eligible for this scheme, the bank will send a standard form with a number of attachments:

Your credit proposal including all attachments

The minutes of the approval decision.

Your company’s annual accounts for the past 2 years, interim figures and the multi-year forecast after granting funding.

Corona measure: extension of the GO scheme

The outbreak of the corona virus is already having a significant impact on Dutch business. The government has therefore presented an emergency package with measures . One of those measures is to expand the GO scheme.

The maximum per company has been temporarily increased to $ 150 million. In addition, the cabinet has increased the guarantee ceiling from $ 400 million to $ 10 billion. The guarantee percentage has also been increased from 50 percent to 80 percent for large companies and 90 percent for SMEs, on the condition that you have been affected by corona. Your financier can request the GO up to and including March 30, 2021, the extension (GO-C) can be requested up to and including December 14, 2020.