PUBLIC CALL FOR GRANTS UNDER THE PROGRAM OF ENCOURAGING THE DEVELOPMENT OF ENTREPRENEURSHIP THROUGH DEVELOPMENT PROJECTS

16. January 2017.

The program of encouraging the development of entrepreneurship through development projects is implemented by the Ministry of Economy in cooperation with the Development Fund of the Republic of Serbia. Total available grants for the implementation of the program are 600,000,000.00 dinars. The earmarked funds of the Fund for lending to business entities under the Program are 2,400,000,000.00 dinars.

Business entities that meet the conditions of the Program may be eligible for financial support in the amount of 20% of the grants from the value of the investment. The remaining amount of the project value will be financed from the loan of the Development Fund.

Eligible to apply to the public call for grants and for a loan with the Fund, are entrepreneurs, micro, small and medium-sized enterprises and cooperatives that are registered with the Business Registers Agency, which submitted financial statements for the previous two years from the year in which the application is submitted, in which net losses were not presented and which met the requirements of the program. The requirement relating to the submission of financial statements does not apply to entrepreneurs who do not have the obligation to submit these reports (entrepreneurs practicing fee bookkeeping and those working with lump sums).

The financial resources earmarked by the program are intended for:

Construction /expansion /reconstruction /renovation /repair /purchase of manufacturing of business premises (only if they are part of the manufacturing area)
The purchase of manufacturing equipment (new or used, but not older than five years), including delivery vehicles used for the transport of one’s own products and other means of transport involved in the manufacturing process
Purchase of software and other intangible assets
Permanent working capital, which may participate up to 20% in the total structure of investing.

The amount of total investment for entrepreneurs may not be less than 375,000.00 dinars nor more than 8,750,000.00 dinars. When it comes to legal entities, it cannot be less than 2,500,000.00 dinars nor more than RSD 50,000,000.00.

Loans of the Fund under this program shall be approved in accordance with the program of the Fund and with this Program. The repayment period is up to 10 years, in which the grace period is up to one year for legal entities and up to 7 years, in which the grace period up to one year is for entrepreneurs.

The interest rate, with the application of the currency clause, is 1.5% per annum with a bank guarantee and 3% per year in addition to other collaterals.

Precisely and accurately filled out unified request for loan and the one for grants, as well as supporting documentation, is to be submitted to the Development Fund.

Addresses of the Development Fund are as follows: Bulevar Nemanjica 14a, Nis and Knez Mihailova 14, Belgrade.

The necessary documents in which all essential elements and rules for participating in this public invitation are closer specified may be downloaded on www.privreda.gov.rs and on www.fondzarazvoj.gov.rs .

The public call shall be open until the available funds are spent.

Source: Ministry of Economy and Coordination Body