DL 8 April 2020, n. 23, art. 18

With the DL 8 April 2020, n. 23, the Guarantee Fund for SMEs was further financed, in order to guarantee companies with up to 499 employees and professionals the liquidity necessary to restart their activities after the Coronavirus emergency.
Alongside the strengthening, a strong streamlining of bureaucratic procedures is also envisaged to access the guarantees granted by the Fund which, in a nutshell, will act on three main guidelines:

  •  100% guarantee for loans up to 25% of the revenues of the previous year and in any case within the maximum limit of 25.000 euros, without any assessment of creditworthiness, to SMEs, individual entrepreneurs and arts and professions whose activities has been damaged by the COVID-19 emergency, certified by a self-certified declaration, and in the presence of certain requirements;
  •  100% guarantee for loans up to € 800.000, to SMEs with application of the creditworthiness assessment, in the presence of certain requirements;
  • 90% guarantee for loans up to 5 million euros, with the possibility of reaching 100% with the counter-guarantee of the Confidi, in the presence of certain requirements.

Until 31 December 2020, the guarantee can be granted free of charge.
The guarantee of the Fund is a facility of the Ministry of Economic Development, also financed with European resources, which can only be activated against loans granted by banks, leasing companies and other financial intermediaries in favor of companies and professionals.
By significantly reducing the level of risk for the lender (the bank), the guarantee granted by the Fund allows the applicant (the company) easy access to credit. Therefore, the Fund does not intervene directly in the relationship between bank and customer: interest rates, repayment conditions, etc., are left to bargaining between the parties.
On the part guaranteed by the Fund, no further collateral, insurance or bank guarantees can be requested and acquired.
All the interventions of the Guarantee Fund for SMEs are supported by the guarantee of last resort of the Italian State. Therefore, even in the event of default by the Fund, the lender who has obtained relief from the enforcement of the guarantee due to the default or
inadequacy of the Fund, will be able to direct its claim by acting directly against the coffers
state.