OBJECTIVE

To improve bank financing access conditions for the self-employed and companies with a guarantee reinforcement line. This line guarantees operations of up to €750,000 and although it does not necessarily exempt the beneficiary from having to provide guarantees, it does offer access to bank financing in better conditions that he or she would get from the market.

WHO CAN APPLY

The self-employed and companies in the process of expansion. A company is considered growing or expanding if it plans to increase the number of employees and/or business volume.

Companies in crisis, those operating in the fisheries or aquiculture sectors and primary producers of agricultural products may not apply for this funding.

REQUISITES

• A project that generates new business activity to be rolled out in the Canary Islands and promotor or team of promotors capable of implementing it.

FINANCIAL CONDITONS

AvalCanarias, Reciprocal Guarantee Company (SGR in Spanish) trading in the Canary Islands, guarantee applicants for the banks, who are the ones that will finally provide the funding for the operation from their own operating funds.

SGR conditions:

• Amount of the guarantees: Up to €750,000.
• SGR study charge: 0,5% of the nominal amount of the guarantee signed.
• SGR guarantee charge: Variable: 1% of the outstanding guarantee risk.
• Capital withholding: The applicant must take up and pay out the equivalent of 2% of the nominal sum of the guarantee in shares in the SGR.

• Bank conditions:

– Conditions will depend on the agreements that AvalCanarias may have signed with the banks at any one time. These can be consulted via the following link:

List of AvalCanarias preferential agreements.

PROCEDURE

Draft a short explanatory report and an investment plan for the new project you want funding for and send it to AvalCanarias to study the project.

AvalCanarias SGR Las Palmas Office
C/ Albareda, 3.
35007 Las Palmas de Gran Canaria
Telephone: 928 290 046
E-mail: info-lp@avalcanarias.es

AvalCanarias SGR Santa Cruz de Tenerife Office
Avda. José Manuel Guimerá, 3. Edif. Urbis. Locales 7 y 8.
38003 Santa Cruz de Tenerife
Telephone: 922 882 648
E-mail: info-tf@avalcanarias.es