The Ministry of Economy, in cooperation with the Development Agency of Serbia and selected commercial banks and leasing companies, implements the "Public call for the allocation of grants within the support program for small businesses for the purchase of equipment".
1. PROCREDIT BANK A.D. Belgrade
2. SOCIÉTÉ GÉNÉRALE BANKA SERBIA A.D. Belgrade
3. HALKBANK, Belgrade
4. ERSTE BANK A.D. Novi Sad
5. UNICREDIT BANKA SERBIA A.D. Belgrade
6. Raiffeisen Leasing D.O.O. Belgrade
Total funds available for the implementation of the Program amount to 567,720,592.00 dinars.
The general goal of the Program is to strengthen the competitiveness of economic entities, improve their operations and internationalization, as well as create new jobs through investments in the procurement of production equipment and equipment directly involved in the process of production of tradable goods (hereinafter: production equipment), namely:
1) new production equipment and/or machines;
2) transport and manipulative means included in the production process and internal transport
3) new parts, specialized tools for machines or other capital goods.
Funds for the implementation of the Program cannot be used for:
1) value added tax (hereinafter: VAT);
2) covering costs related to the purchase of equipment such as: customs and administrative costs, costs of transport, forwarding, storage and manipulation, assembly and installation equipment, training, etc.;
3) covering costs related to the approval and implementation of a bank loan, i.e. financial leasing, such as the costs of: processing requests, interest, credit bureau costs for the user, registration of a pledge in the Agency for Economic Registers (hereinafter: APR), mobility insurance, exchange rate differences, etc.;
4) refund of funds for already acquired (advanced, paid or delivered) equipment;
5) loans and installments for loan repayment, as well as for loan reprogramming;
6) other expenses that are not in accordance with the purpose of the Program.
Benefits beneficiaries
The right to apply for the competition for the allocation of grants has:
1. legal entities, registered in the APR as business companies or cooperatives, which are classified as micro or small legal entities in accordance with the Law on Accounting ("Official Gazette of the RS", number 62/13) according to the financial reports for 2015, as well as
2) entrepreneurs registered in the APR.
Conditions for participation in the Program
Conditions that must be met by applicants for the award of grants:
1) that they have submitted to one of the banks or leasing companies involved in the implementation of this program:
– a completed application for the grant of grants with the necessary documentation proving the conditions from section 5.2 of this program;
– a proforma/proforma invoice/proforma contract not older than the date of publication of the Public Call and only for equipment that has not been delivered or paid in part or in whole by the date of the decision on the grant;
– a picture of the equipment from the proforma invoice;
2) that they are registered in the APR register at the latest on December 31, 2015;
3) that they are not classified as a medium or large legal entity in accordance with the Law on Accounting ("Official Gazette of the RS", number 62/13), according to the financial reports for 2015;
4) that no bankruptcy or liquidation proceedings have been initiated against them;
5) that they have settled their due obligations of public revenues;
6) that they have not been issued a penalty within two years before submitting the application legally binding measure of ban on carrying out the activity;
7) that the owners and responsible persons have not been convicted and that there is no investigation or criminal proceedings for criminal offenses against the economy;
8) that they are majority privately owned and that they are not in a group of related persons in which some of the members are large or medium-sized legal entities;
9) the purpose and purpose of investing in production equipment is in accordance with the nature of the subject's activity;
10) that they are business companies, cooperatives and entrepreneurs, according to the records of the Central Registry of compulsory social insurance on the number of workers on 30.12.2016. had at least one permanent employee;
11) not to perform activities in the following sectors:
1. primary agricultural production. Primary agricultural production, among other things, in the sense of this program, includes the cultivation of plant crops and domestic animals and other purposes directly related to the cultivation of plants and animals, as well as preservation and storage. (procurement of equipment for packing, sorting, processing and freezing activities, e.g. refrigerators, is not excluded.)
2. execution of construction works (production of construction products is allowed);
3. traffic and transport,
4. production of tobacco products;
5. any form of commercial, touristic or catering activity, except for bakeries with production and sale, production of cakes and pies and catering services;
6. printing and duplicating audio and video records, except for printing service;
7. service activities (including, among others, consulting, marketing, accounting and market research services as well as other services of information technology, production and broadcasting of digital content);
8. organizing games of chance, lotteries and similar activities;
9. production and sale of weapons and military equipment;
10. production and trade of oil and oil derivatives;
11. production of steel and synthetic fibers and coal mining;
12. production and trade of any product or activity, which according to domestic regulations or international conventions and agreements, are considered prohibited.
Funds under this program cannot be used for projects of economic entities in other activities, if they do not contribute to the achievement of the specific objectives of the Program.
12) that they are not in difficulties, according to the following definition:
An economic entity in difficulties is an economic entity that is unable to use its own funds, the funds of its owners/shareholders or creditors or funds from other sources on the market to prevent losses and which, without the intervention of the state, in the short or medium term, would threaten its survival;
The business entity is in difficulties:
- if the liability for its debts is limited and it has lost more than half of the basic capital, of which in the last 12 months it has lost more than a quarter of the basic capital;
- if at least one person is unlimitedly liable for its debts, and in the financial statements it is shown that its capital has been reduced by more than half, of which in the last 12 months months, more than a quarter of the capital has been lost;
- if it meets the requirements for opening bankruptcy proceedings;
The business entity is in difficulties and if none of the conditions from paragraph 1 of this point are met, if there are obvious indicators that indicate that it is in difficulties, such as: growth in losses, reduction in total income, growth in inventory, excess capacity, reduction in cash flows, growth in debt, increase in interest costs and fall or zero net asset value. In the greatest difficulties is a business entity that is unable to pay (insolvent). or for which bankruptcy proceedings have been opened;
A business entity that was founded less than three years ago is not considered a business entity in difficulty, unless it is a small or medium-sized business entity that meets the conditions for opening bankruptcy proceedings;
13) that in the current fiscal year and in the previous two years (in 2015, 2016 and 2017) they did not receive state aid, the amount of which together with requested funds exceeded the amount of 23 million dinars;
14) that they did not receive grants from public funds for the same purposes in the previous two years
When checking the creditworthiness of a business entity, commercial banks and leasing companies will be guided by the criteria they use in their regular credit, i.e. operations related to financial leasing. Business entities will contractually undertake not to alienate the equipment in question for at least 24 months after concluding the grant agreement, loan agreement, i.e. the agreement on financial leasing.
Economic entities can repay the funds of the loan, i.e. financial leasing prematurely compared to the term defined in the contract with the bank, i.e. the leasing company, with the proviso that if they make early repayment during the first third of the duration of the loan agreement, i.e. financial leasing, they are obliged to return the entire amount of approved grants.
Financial framework
Economic entities that meet the conditions of the Program and which banks, that is, leasing companies involved in the implementation of the Program, conditionally approve the loan, that is, financing, they can exercise the right to co-financing up to 25% of the net value of the purchase of production equipment. The business entity is obliged to provide participation in the amount of 5% of the net value of the production equipment, while the remaining 70% of the net value of the production equipment will be provided from loans from commercial banks or financial leasing from leasing companies involved in the implementation of this Program. the difference with a larger own participation or to increase the loan request from the bank or the request for financial leasing from the leasing company by this amount.
The amount of approved non-refundable aid in the amount of up to 25% of the net value of the production equipment cannot be less than 250,000.00 dinars, nor more than 2,500,000.00 dinars.
How to apply and deadline for submitting applications
Precise and accurate completed application and accompanying documentation in two copies (original and certified photocopy), in accordance with the Program, are submitted when applying for a loan, i.e. financial leasing, in one of the branches/branches of the following commercial banks and leasing companies:
1. PROCREDIT BANK A.D. Belgrade
2. SOCIÉTÉ GÉNÉRALE BANKA SERBIA A.D. Belgrade
3. HALKBANK, Belgrade
4. ERSTE BANK A.D. Novi Sad
5. UNICREDIT BANKA SERBIA A.D. Belgrade
6. Raiffeisen Leasing D.O.O. Belgrade
All the information necessary for participation in the Program can be obtained from the mentioned commercial banks and leasing company.
Required documentation:
1) application form - Form number 1;
2) signed written declaration of acceptance of the conditions for the allocation of funds - Form number 2;
3) pro-invoice or pre-contract (copy);
4) picture of the equipment with pro-invoice/proforma invoice/pre-contract;
5) original or certified copy of the certificate of the competent branch of the Tax Administration that the applicant has settled all due obligations of public revenues;
6) original or certified copy of the certificate of the competent court that the business entity has not been imposed a legally binding measure prohibiting the performance of activities in the last two years;
7) original or certified photocopy of the certificate that the owners and/or responsible persons of the business entity are not criminal convicted.
8) original or certified photocopy of the certificate for the owners and responsible persons of the business entity that they are not being investigated or prosecuted for crimes against the business.
The public call is open until the available funds are used up. Business entities can submit only one request for the allocation of grants for the purchase of equipment to one bank or leasing company.
Incomplete applications will not be considered. Applications submitted to the Ministry's office will be disqualified.
Supporting documentation:
Ranking of EKS Bank and leasing companies
Complete text of the Public Invitation
Information on the implementation of the Program
Form no.1 for economic subjects
Form no. 2 for economic subjects
Form no. 3 for banks and leasing companies
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