Dutch expanded BMKB scheme comes into effect sooner as a result of new measures against impact Coronavirus (COVID-19)
Contrary to previous information, it has been announced on the 15th of March 2020 that the expanded guarantee for SME loans scheme (BMKB scheme) will become effective as of the 16th of March 2020 instead of the end of March 2020.
With the BMKB scheme, the Dutch government grant guarantees for credits granted to SMEs. This guarantee makes it easier for SMEs to attract financing. Under the standard scheme, the Dutch government can guarantee up to 50% of the credit amount. Under the extended scheme, this percentage will become 75%. The scheme will also be applicable to bridging loans and overdrafts with a maximum term of 2 years.
The expanded scheme applies to SMEs. An SME is an enterprise that meets the following criteria: (a) a maximum of 250 employees and (b) an annual turnover of a maximum of EUR 50m or a balance sheet total of a maximum of EUR 43m. Companies that do not meet these criteria cannot benefit from the BMKB scheme. The GO Financing scheme may offer a solution.
It is expected that the Dutch government will take additional measures beneficial to larger companies in financial difficulties as a result of the Corona virus.
Ploum’s banking & finance team will keep you regularly informed of further developments that may be relevant in the context of financing and liquidity.