IFB launches "Hamburg Liquidity Loan"
IFB Hamburg has launched the EUR 300 million Hamburg Liquidity Loan (Hamburg-Kredit Liquidität) for struggling SMEs, the self-employed as well as associations and non-profit organisations that have run into liquidity problems amid the corona crisis, a press release said Thursday after applications opened in late May. The HCS InnoStartup funding programme for start-ups has been extended until June 30, 2020 to support fledgling companies with additional, conditionally repayable grants. This comes after the Hamburg Corona Emergency Aid (HCS) granted around EUR 500 million to SMEs.
Maintaining social and cultural diversity
"We know from many conversations that non-profit organizations and institutions are in huge need of support. For this reason, the liquidity loan has been tailored especially towards their needs," said Andreas Dressel, Senator for Finance. However, cultural institutions, artists and creative people should also be able to continue their activities despite dwindling income," according to Dr. Carsten Brosda, Senator for Culture and Media, as it is the prerequisite for preserving Hamburg's special cultural diversity.
Liquidity loan in house bank procedure
IFB Hamburg grants this latest loan in co-operation with "Bürgschaftsgemeinschaft Hamburg" (BG). More information can be viewed on IFB Hamburg's website. Interested parties can apply for the loan through their respective bank. The interest rate is 1 per cent with a maximum term of ten years and is secured by BG to between 90 and 100 per cent. Hamburg's budget guarantees EUR 300 million for this loan.