The extended guarantee for small and medium-sized enterprises (BMKB) scheme will open sooner. State Secretary Mona Keijzer of Economic Affairs and Climate today decided that entrepreneurs can already register. The scheme will be operational from Monday, March 16, 2020 and is part of a previously announced package of measures by the government to mitigate the economic consequences of the corona virus.

The government estimates that with this first step, 300 million euros in additional financing will be made available immediately to SMEs that are affected by the corona issue. In addition, entrepreneurs can apply for a reduction in working hours (Ministry of Social Affairs and Employment) and apply for a postponement of payment / reduction of a provisional assessment of taxes to the tax authorities. Self-employed people can rely on it Self-Employed Assistance Decree.

“The BMKB can be used by companies for bridging credit or increasing their overdraft, ie the amount that they can 'overdrawn'. The expansion is essential for the liquidity of smaller entrepreneurs who miss out on income or production due to the corona virus. Think of catering entrepreneurs and their suppliers, a travel agency, but also companies that can no longer source raw materials from abroad, ”said State Secretary Mona Keijzer.

Broadening BMKB regulation because of the corona virus

The Ministry of Economic Affairs and Climate Policy guarantees the loans to entrepreneurs through the BMKB, so that they can borrow money more easily. Entrepreneurs can contact lenders, such as banks, for this. In the regular scheme, the surety credit concerns 50% of the credit that the financier, often a bank, provides. The government surety amounts to 90% of this surety credit.

With this easing measure, the amount of the surety loan in the BMKB is increased from 50% to 75%. This makes it easier and faster for banks to extend credit and companies have the opportunity to borrow more money earlier. In addition, the scheme will be compared to the earlier announcement on Thursday, March 12, 2020 be broadened even further and also be applicable to bridging loans and overdrafts with a maturity of up to 2 years.

Banks can register for the expanded BMKB with the Netherlands Enterprise Agency (RVO) the implementing organization of the Ministry of Economic Affairs and Climate. Entrepreneurs report to their lender.

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