Loans START
Financing is available for small and medium-sized enterprises (SMEs) to initiate new activities or to enhance existing operations.
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This is translated information. In case of any discrepancies, the original Lithuanian version shall prevail. |
Who is eligible?
SMEs that comply with the SME status defined in the SME Law, and:
- That have been operating for the period not exceeding 3 years from the day of registration of an enterprise or self-employment;
or - That are implementing the projects of social impact and that have been operating for the period not exceeding 5 years from the day of registration of an enterprise or self-employment;
or - That were established in Lithuania not earlier than on 24 February 2022, the stakeholder of which (shareholder, member, partner) or the owner of which is a Ukrainian citizen holding the Lithuanian residence permit or a Ukrainian legal entity that has been operating not more than 5 years.
Loan ammount & duration
- In case of investment financing - loans up to EUR 3 000 000. Loan’s term is 10 years.
- In case of supplementation of circulating assets - loans up to EUR 200 000. Loan’s term is 3 years.
While there is no restriction on the number of loans per Borrower, the total outstanding loan balances under the Facility must not exceed EUR 3,000,000 for the same Borrower at any given time.
Loan’s interest
The loan’s interest is partially fixed. The share of partially fixed interest is determined according to the publicly available interest calculation methodology applied for loans granted by ILTE.
- Business entities up to 3 years are subject to 50% discount from the price confirmed in the pricing.
- Business entities implementing social impact projects and the Ukrainian companies are subject to 70% discount from the price confirmed in the pricing.
Preliminary interest rate calculator is available in Lithuanian version.
Where to apply?
The application for loan shall be addressed to ILTE. It shall be submitted together with the supporting documents via the application submission system (Lithuanian language version).
ILTE evaluates the submitted application no later than within 30 working days, counting from the date of all correctly submitted documents.
| You may apply for the loan if: | Mid-western Lithuania (MWL) region* | Capital region** |
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You are a small or medium-sized business (SME) entity operating for up to 3 years, or an SME entity implementing social impact projects and operating for up to 5 years, o SME entity that were established in Lithuania not earlier than on 24 February 2022, the stakeholder of which (shareholder, member, partner) or the owner of which is a Ukrainian citizen holding the Lithuanian residence permit or a Ukrainian legal entity that has been operating not more than five years. |
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| You are operating in the Republic of Lithuania. | |
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| The state and/or municipality does not own or owns less than 25% of the shares, stocks or other forms of participation in the company’s capital. | |
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| You are not active in the agricultural sector, and you are not engaged in fisheries and aquaculture activities. | |
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| You are not engaged in financial and insurance activities, unless you are developing financial technology. | |
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| The activities for which funding is applied for are not: specialized retail trade of weapons and ammunition, production and/or wholesale trade of tobacco products, organization of gambling or betting, wholesale trade of distilled alcoholic beverages. | |
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| In case of loans up to 25 000 euro, you are not a micro-, small enterprise or a businessman who satisfies the requirements of SME status and you have not been operating for less than 1 (one) year. | |
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| You satisfy the minimal criteria of reliable taxpayers. | |
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You are not an enterprise going bankrupt, while restructuring or liquidation. |
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| You have not received illegitimate aid that would be recognised by the European Commission as illegal or incompatible with the internal market, or you have repaid its total amount, including interest, in accordance with the legal acts. | |
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| At the time of application, you are not a business in difficulty and you have submitted the set of financial reports of the 2 last financial year to the Centre of Registers (not applicable for SME that has been operating for less than 1 year). | |
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| You do not have, or have terminated, trade commitments with natural and/or legal persons from countries hostile to the Republic of Lithuania by 31 August 2022. | |
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| Those with the authority of representation or control must not have been convicted or sentenced for criminal offences concerning economic activity in the last five years and must have no criminal record associated with criminal offences, whether expired or not, where such specifically target the financial interests of Lithuania and the European Union. | |
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| The applicant and its beneficiary, or the natural and legal entities who will benefit from the loan, must not be subjected to any sanctions including trade, economic or financial sanctions, embargoes or other restrictive measures. | |
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| You do not have business relations with legal persons registered in territories which do not cooperate with the European Union in the application of internationally harmonized taxes under their jurisdiction, nor do you carry out or intend to carry out transactions with legal persons registered in the target territories; | |
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| The activity for which you are applying for funding is not carried out under Regulation (EU) No. 2021/1058 in the cases listed in paragraph 1 of Article 7. | |
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| In the last 5 years, you have not been found guilty by a final court decision or a final administrative decision, and you do not have an unexpired or unexpunged conviction for failure to fulfill obligations related to the payment of taxes or social security contributions. | |
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You have submitted all the required documents. |
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* Alytus, Kaunas, Klaipėda, Marijampole, Panevėžys, Šiauliai, Tauragė, Telšiai and Utena counties.
** Vilnius County.
A borrower is not considered to be a business in difficulty if it is a micro- or small enterprise, if no collective insolvency procedure is applied for it, and if it has not received any rehabilitation or restructuring aid. Besides, the borrowers cannot be the entities going bankrupt, in the course of restructuring, and they have to satisfy other requirements.
All requirements are described in the description (Lithuanian language)
The instrument is subject to state aid.
| Business operators | Micro- or small enterprise | Medium-sized enterprise |
| The loan is granted | According to the General Block Exemption Regulation | According to the Regulation de minimis |
| Applied provisions of the Regulation |
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In the case of investment financing, private financiers must participate in the implementation of the project, contributing no less than 20% of the project's costs (calculated without VAT, except in cases where the loan recipient is not a VAT payer), of which at least 10% of the project costs must come from the loan recipient's own funds. The loan amount provided by ILTE cannot exceed 80% of the investment project’s costs (calculated without VAT, except in cases where the loan recipient is not a VAT payer).
A private financier can be the loan recipient or a private individual or legal entity operating in the Republic of Lithuania or a foreign country, contributing to the implementation of the project.
The project being financed must be recognized as economically viable and financially sustainable at the time of ILTE's application evaluation.
| Submitted documents and information | Self-employed businessman operating less than 3 years | Enterprises operating less than 3 years | Enterprises engaged in the projects of social impact and operating less than 5 years |
| Application | |
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| Declaration of SME status signed by a manager | |
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| Declaration of a single company* | |
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| Letter of the private sponsor intending to take part in the project (not applicable when all the funds covering the share of the private investor are those of the borrower. In such a case, such information has to be substantiated in the business plan) | |
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| Documents describing a business operator: registration documents, regulations, copy of the manager’s personal identity document, information about shareholders (owners, beneficiaries). Relevant structure of borrower’s shareholders and a document in a free form stating relations between the business operator and associated enterprises. | |
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| Registration documents on self-employment of the businessman, copy of the personal identity document, and a document in a free form stating relations between the businessman and associated enterprises | |
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| Business plan (in free form) | |
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| Clear and measurable key indexes of positive impact of social business have to be provided in the business plan of the company engaged in a project of social impact | |
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| Interim financial report of current financial year or equivalent documents if businessmen or enterprises have been operating for less than a year | |
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| Completed and signed Do No Significant Harm compliance questionnaire (Annex 3 ) | |
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| Financial state and forecasts of business operator (Annex No. 1 to the Description) | |
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| Decision of the business operator’s management body to receive a loan, to mortgage property, and to assign the persons authorised to enter into the contract with ILTE | |
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* Declaration of a single company shall be submitted by a medium-sized, small or microenterprise operating less than five years.
More detailed information is provided in the Lithuanian version.
The financed project has to be recognised as economically substantiated and paying dividends by ILTE in the course of evaluation of the respective application.
ATTENTION! 30-08-2024 UAB "Investicijų ir verslo garantijos" became UAB ILTE.
Instrument description (Lithuanian language version)