News item | 4/17/2023 | 5:30 pm
The government is extending the SME credit guarantee (BMKB) by four years. Minister Adriaansens (Economic Affairs and Climate) has decided this after an evaluation of the scheme. The extension is good news for entrepreneurs who want to borrow money, but for example have too little collateral. With the SME loan guarantee, the Ministry of Economic Affairs guarantees part of the loan, making it easier for healthy entrepreneurs to borrow money.
Minister Adriaansens: “Not every entrepreneur has sufficient collateral that is necessary to arrange financing with a lender. As a result, SMEs often find it difficult to obtain business financing, which is extremely important for investment and growth. In that case, the BMKB offers a solution. This scheme helps about 3000 entrepreneurs per year! I am therefore pleased that by extending the BMKB we can continue to meet the financing needs of SMEs.”
Positive effect for entrepreneurs
The BMKB is one of the oldest schemes in the Netherlands and has existed for more than 100 years. Entrepreneurs can turn to lenders for this scheme, such as banks and alternative financiers. A recent evaluation shows that the BMKB is very important for entrepreneurs with a need for financing. It has a positive effect on revenue growth, profitability and, in later years, on the financial health of companies.
Since November 2022, a ‘green part’ of this scheme has also been introduced. This BMKB-Groen is intended to help entrepreneurs make their business more sustainable. The loan can be used, for example, to purchase an electric oven or to make the business premises more sustainable. It is a favorable variant of the regular BMKB scheme for entrepreneurs. This scheme will also be extended by four years until 1 July 2027.
Better connection
In addition to the extension of the schemes, a number of the recommendations that were also included in the evaluation have already been followed. For example, the scheme has been adjusted to better match the digital processes of financiers. Consider, for example, criteria that have been objectified so that (alternative) financiers are better able to assess applications in advance. In addition, the scheme has been made more accessible for small loans by better linking it to digital processes and by increasing the small loan to € 250,000. The cabinet also appoints an independent expert to advise on the recommendation to reduce the provision. This concerns the commission that entrepreneurs pay when taking out the BMKB.