Current funding opportunities for companies in the COVID-19 crisis situation

Deloitte Global Investment and Innovation Incentives

15 April 2020

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Emergency aid at federal levelThe German government has adopted a package of measures to support companies in coping with the COVID-19 crisis. The following is a compilation of publicly available information on available funding opportunities to support the mitigation of the current COVID-19 crisis situation. This compilation makes no claim to completeness or topicality.

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Milestones so far in addressing the economic impact of the coronavirus pandemic

Friday, 20.03.2020 Monday, 23.03.2020Wednesday, 25.03.2020Friday, 27.03.2020

Friday, 10.04.2020

• Draft of a supplement to the Federal Budget 2020

• Additional borrowings of EUR 156 billion - exceeds new debt ceiling of EUR 100 billion

• Notification of the KFW Special Programme by the EU Commission

• EU Commissiontemporarily relaxes EU budget regulations for member states until the end of December 2020

• Suspension of the deficit rules Member States can take on unlimited debt in order to guarantee the national economy as much liquidity as necessary

• Bundestag (German Parliament) to suspend the debt brake laid down in the Basic Law and approve a new economic stabilisation fund of 600 billion euros

• Approval by the Bundesrat(Federal Council) to suspend the debt brake and the economic stabilisationfund

• EU finance ministers agree on an economic package of 500 billion euros, ot of which:

• Up to 240 billion euros: Credit lines from the European European Rescue System (ESM) as aid to states

• 200 billion euros: European Investment Bank EIB loan program for companies

• 100 billion euros: "Sure" short-time working program

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Outline of upcoming milestones and important deadlines

31.05.2020 30.06.2020 30.09.2020 31.12.2020

• Asset testing for applications for unemployment benefit II is resumed

• Applications for emergency aid for small enterprises/ self-employed expire

• End of financialcompensation for hospitals

• New regulations for short-time work compensation are no longer in force.

• Tax authorities no longer grant deferrals of tax liabilities.

• Tax prepayments can no longer be adjusted.

• Enforcement measures are reinstated.

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In the supplementary budget, the Federal Government provides for additional expenditure totalling around € 122.5 billion to deal with the COVID-19 crisis. It has also provided for a number of measures to support society:

Policy framework

Further support for hospitals• Postponement of all medical interventions

that are not absolutely necessary financial compensation for hospitals

• Various measures to strengthen the financing of hospitals

Competence for the federal government• Ministry of Health no longer requires the

approval of the Länder for decisions on the basic supply of drugs and strengthening of human resources

Economic Stabilisation FundLarge-volume support measures with the possibility of direct equity strengthening for large companies: • Guarantee framework amounting to EUR 400

billion• Credit authorisation of EUR 100 billion for direct

recapitalisation measures• Loan authorisation in the amount of EUR 100

billion for KfW's special programmesMicro-enterprises and self-employed persons: • One-off payment for three months - up to 15,000

euros depending on the size of the company • Easier access to unemployment benefit II

Social security• Basic security for jobseekers according to SGB

II, SGB XII and social compensation law more quickly accessible in a simplified procedure

• Child supplement adjusted to income during the crisis

• More flexible short-time allowance by the Federal Employment Agency, can be applied for retroactively per 01.03.2020

Sources: https://www.bmwi.de/Redaktion/DE/Dossier/coronavirus.html ; https://www.bundesfinanzministerium.de/Content/DE/Standardartikel/Themen/Schlaglichter/Corona-Schutzschild/2020-03-13-Milliarden-Schutzschild-fuer-Deutschland.html

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KfW entrepreneur loan (KfW - 037 / 047)

Current funding guideline

Source: https://www.kfw.de/Download-Center/F%C3%B6rderprogramme-(Inlandsf%C3%B6rderung)/PDF-documents/6000000188-leaflet-037-047.pdf; https://www.kfw.de/PDF/Download-Center/Konzernthemen/Nachhaltigkeit/Ausschlussliste

Contents

With Programme 037/047 KfW provides financing for investments and working capital of medium-sized and large commercial enterprises, sole proprietors and freelancers.

The KfW Entrepreneur Loan enables medium-sized and large companies, sole proprietorships and freelancers that have been in existence for at least 5 years to obtain low-interest financing for projects in Germany. Small and medium-sized enterprises as defined by the European Union can obtain particularly favourable conditions.

Eligible actions are those within the programme:

Investments• Resources• Warehouse• Acquisition of assets from other companies including takeovers and

active participations

Debt rescheduling, additional financing, certain construction measures, trust structures and transactions involving the use of self-protection are excluded from support. Furthermore, the projects generally excluded by KfW apply.

Nature and scope of the support, conditions

Loan amount:

• a maximum of EUR 1 billion per group of companies (in the sense of affiliated companies), limited to a maximum

• 25 % of the annual turnover in 2019 or

• twice the wage costs in 2019, or

• the applicant's current liquidity requirements for the next 18 months for small and medium-sized enterprises or 12 months for large enterprises.

For loans exceeding 25 million euros, the loan amount is limited to a maximum of 50% of the company's total debt.

Up to 100 % of eligible costs will be financed.

KfW provides different term variants (2/5 years) for the measures with different conditions depending on the measure.

Application process

Applications must be submitted directly via the house bank or another financing partner.

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KfW-ERP Start-up Loan - Universal (KfW - 073 / 074 / 075 / 076)

Current funding guideline

Source: https://www.kfw.de/Download-Center/F%C3%B6rderprogramme-(Inlandsf%C3%B6rderung)/PDF-documents/6000002259-leaflet ERP-Gr%C3%BCnderkredit-068.pdf; https://www.kfw.de/PDF/Download-Center/Konzernthemen/Nachhaltigkeit/Ausschlussliste

Contents

With its programme 073/074/075/076 KfW provides financing for investments and working capital for business start-ups, business successions and business consolidation.

The ERP-Gründerkredit - Universell enables low-interest financing of start-ups, succession arrangements or company consolidations.

Founders as well as freelancers and commercial medium-sized companies that have been in existence for less than 5 years are supported. The interest rate is subsidised from funds of the ERP Special Fund.

Eligible actions are those within the programme: • Investments• Resources• Warehouse• Acquisition of assets from other companies including takeovers and

active participations

Companies that were not in difficulty on 31 December 2019 can apply for a loan.

Debt rescheduling, additional financing, certain construction measures, trust structures and transactions involving the use of self-protection are excluded from support. Furthermore, the projects generally excluded by KfW apply.

Nature and scope of the support, conditions

Loan amount:

• a maximum of EUR 1 billion per group of companies (in the sense of affiliated companies), limited to a maximum

• 25 % of the annual turnover in 2019 or

• twice the wage costs in 2019, or

• the applicant's current liquidity requirements for the next 18 months for small and medium-sized enterprises or 12 months for large enterprises.

For loans exceeding 25 million euros, the loan amount is limited to a maximum of 50% of the company's total debt.

Up to 100 % of eligible costs will be financed.

KfW provides different term variants (2/5 years) for the measures with different conditions depending on the measure.

Application process

Applications must be submitted directly via the house bank or another financing partner.

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Direct participation in syndicated financing (KfW - 855)

Current funding guideline

Source: https://www.kfw.de/PDF/Download-Center/F%C3%B6rderprogramme-(Inlandsf%C3%B6rderung)/PDF documents/6000004518_M_855.pdf; https://www.kfw.de/PDF/Download-Center/Konzernthemen/Nachhaltigkeit/Ausschlussliste

Contents

With Programme 855, the KfW provides investment and working capital loans for medium-sized and large enterprises.

The special programme is aimed at companies that have experienced temporary financing difficulties as a result of the COVID-19 crisis from 1 January 2020.

The programme is aimed at domestic and foreign commercial enterprises, the majority of which are privately owned, for projects in Germany. Applicant companies must not have been in difficulties (according to the EU definition) on the cut-off date 31.12.2019.

Financing is provided within a consortium, either directly as a consortium partner or indirectly as a risk sub-participation. As an option, partner banks can also be refinanced by means of a pass-through loan at their own risk.

Debt rescheduling or subsequent financing of already completed projects is excluded from funding. In addition, KfW generally excludes certain projects from financing or stipulates conditions to be met.

Nature and scope of the support, conditions

KfW participates in debt financing with risk participations, whereby the KfW risk share is usually at least EUR 25 million and not

• twice the annual payroll in 2019, or

• 25% of the total revenue for the year 2019 or

• exceeds the liquidity requirements for the next 12 months.

KfW's assumption of risk can amount to a maximum of 80% of the project financing. In order to ensure an adequate risk partnership between KfW and the financing partners, KfW's share in the total debt of the enterprise is limited to a maximum of 50%.

KfW participates in financing with a term of up to 6 years.

Application process

Applications must be submitted directly via the house bank or another financing partner.

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Further measures for rapid assistance to businesses in need

Current funding instruments

State-owned guarantee banks

• Deficiency guarantees for up to EUR 2,5 million

• For SMEs and freelancers in all sectors

• Guarantee rate up to 80

• Express guarantees up to EUR 500 thousand

• For investments and working capital

• Application via house bank

• Can be combined with other public funding

Large Guarantee Programme

• Default guarantees for amounts of EUR 50 million or more

• Guarantee rate of up to 80

• For companies throughout Germany

• For investments and working capital

• Application via house bank

• Can be combined with other public funding

Source: https://www.vdb-info.de/aktuelles/pressemitteilungen/corona-krise-buergschaftsbanken-erweitern-unterstuetzung-von-kmu

Simplified risk assessment by KfW

• KfW waives its own risk assessment for loans of up to EUR 3 million; instead, the loan is assessed by its principal bank

• "Fast track procedure“: Approval within 5 days for loans between EUR 3-10 million

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For small companies, self-employed and freelancers

Emergency aid and loans

Source: https://www.bundesfinanzministerium.de/Content/DE/Standardartikel/Themen/Schlaglichter/Corona-Schutzschild/2020-03-19-Milliardenhilfe-fuer-alle.html

Content

The Federal Cabinet has approved emergency aid for small companies, self-employed persons and freelancers to the amount of up to 50 billion euros.

Measures

1. Emergency aid for companies/self-employed persons with

a. up to 5 employees: single payment of up to € 9,000 for 3 months

b. up to 10 employees: single payment of up to € 15,000 for 3 months

2. Unemployment security: Easier access to unemployment security for self-employed persons for 6 months (no assessment of capital, subsequent means test)

3. Loans: KfW special programme for companies

a. Which have existed for 5 years or more: KfW Entrepreneur Loan

b. Which have not been in existence for 5 years: ERP Start-up Loan

Financing and conditions

Funding is provided as:

1. non-repayable cash grant (emergency aid)

2. Credit with up to 90% risk assumption

The applicant must give an assurance that he is in economic difficulties as a result of the Corona pandemic.

Application process

• Applications for emergency aid can be submitted until 31.05.2020 via the responsible regional authorities.

• Applications for unemployment security can be made informally by telephone, e-mail or (in-house) mail to the responsible job centre.

• Applications for KfW loans must be submitted directly via the house bank or another financing partner.

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For SME with more than 10 employees

KfW Quick Loan

Source: https://www.bmwi.de/Redaktion/DE/Coronavirus/kleine-mittlere-grosse-unternehmen.html

https://www.kfw.de/KfW-Konzern/Newsroom/Aktuelles/KfW-Corona-Hilfe-Unternehmen.html

Content

• Subsidised loan for purchases (investments) and running costs (operating costs)

• for companies with more than 10 employees, which have been on the market at least since 1 January 2019

• the company has last generated a profit - either in 2019 or on average over the last 3 years

• No forecast of the applicant's continuation is necessary; the company must have made a profit only over the past 3 years (or the shorter period if the company has not been active on the market for 3 years)

• Profit and dividend distribution not possible during the credit period.• Excepted from this are customary market remunerations to business

owners (natural person)• The loan cannot be used in combination with one of the three

programmes of the "KfW Special Programme 2020

Financing and conditions

• Maximum loan amount: up to 3 months' turnover in 2019• Companies with up to 50 employees receive a maximum of 500,000

euros• Companies with more than 50 employees receive a maximum of 800,000

euros• Interest rate: currently 3%• Duration: 10 years, 2 years without repayment• 100% risk assumption by KfW (financing partner/house bank is released

from liability) • No risk assessment by financing partner/house bank

Application process

Applications are possible since April 15, 2020.

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Support package for start-ups

Funding Scheme

Content

• Applicants: start-ups, emerging technology companies and small and medium-sized enterprises

• Strengthening venture capital investors (at fund level) to provide additional capital to portfolio companies facing liquidity constraints

• Support for financial rounds with failing fund investors ("secondary market")

• Support for young start-ups without venture capitalists in the shareholder group and for small and medium-sized enterprises

• In principle, start-ups have access to all other corona funding programs

Status: 01.04.2020

Financing and conditions

• 2 billion euros• Enhanced venture capital financing

Application process

No further details have yet been announced.

The program has not yet been approved by the EU Commission.

source: https://www.bmwi.de/Redaktion/DE/Coronavirus/kleine-mittlere-grosse-unternehmen.html

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Special programme on the framework directive for the promotion of entrepreneurial know-how

Funding Scheme

Content

• Consulting for Corona-affected SMEs including freelancers without own contribution independent of industry and age

• eligible consultancy costs: consultants' fees, expenses and travel costs

• General management consultancy (business protection consultancy to restore economic performance and competitiveness) and special consultancy for companies

• Grant is paid to the consultancy firm • Prior information meetings with a regional contact person, as required by

the Framework Directive, are not mandatory before an application is submitted.

• Amendment of the Directive in force since 3 April 2020

Funding conditions

• Subsidy is 100 % of the invoiced consultancy costs, max. EUR 4 000

• Financing is provided by the Federal Ministry of Economics and Energy (BMWi) and the European Social Fund (ESF) of the EU.

Application process

• Applications can be submitted to the licensing authority (Federal Office of Economics and Export Control - BAFA) until 31 December 2020.

Source: https://www.bmwi.de/Redaktion/DE/Downloads/B/bekanntmachung-foerderung-unternehmerischen-know-hows.pdf?__blob=publicationFile&v=4https://www.bafa.de/DE/Wirtschafts_Mittelstandsfoerderung/Beratung_Finanzierung/Unternehmensberatung/unternehmensberatung.html;jsessionid=416CBE28A947FA3F779407017F57B15C.1_cid362?nn=8062106

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COVID19 Hospital Relief Act

Support for hospitals

Source: https://www.bundesgesundheitsministerium.de/fileadmin/Dateien/3_Downloads/Gesetze_und_Verordnungen/GuV/C/Entwurf_COVID-19-Krankenhausentlastungsgesetz.pdf

Content

The new measures are designed to support hospitals, contract physicians and nursing staff to effectively combat the corona epidemic. The aim of the law is to avoid revenue shortfalls and deficits of the hospitals and to ensure the liquidity of the hospitals in the short term.

Most important measures

• Financial compensation for postponed operations and treatments

Lump sum of 560 euros per day for each unoccupied bed

• Bonus in the amount of 50,000 euros for each additionally created intensive care bed for hospitals

• Surcharge for additional costs of hospitals, especially for personal protective equipment, per patient of 50 Euro

• Temporary "nursing fee value" to be increased to 185 euros

Financing and conditions

• Funding is provided in the form of a non-repayable cash grant

• Some measures limited in time

• Additional expenditure is partly financed from the liquidity reserve of the Health Fund

• Additional expenses are borne by private and statutory health insurance companies, the federal government, the states and municipalities

Application process

Hospitals determine the amount of compensation payments themselves according to the prescribed method of calculation and pass on the claims to the state authority responsible for hospital planning. This authority then forwards the amounts to the Federal Social Security Office, which transfers the funds required.

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Call for proposals for research on COVID-19 in the wake of the Sars-CoV-2 outbreak

Current funding guideline

Source: https://www.gesundheitsforschung-bmbf.de/de/10592.php

Contents

Due to the current outbreak of the corona virus Sars-CoV-2, the BMBF is funding individual projects and, in justified exceptions, small research consortia (with up to three partners), which are oriented towards theWHO's priorities and address the following points:• the biology of the virus and its transmission;• Animal and environmental research on the origin of the virus, including

control measures at the human-animal interface;• epidemiological studies;• clinical characterisation and clinical management of diseases caused by

the virus• infection prevention and control, including the best ways to protect

healthcare workers• Research and development of drugs and other therapeutic methods as

well as the development of new diagnostic approaches;• accompanying research and ELSA research in connection with the

outbreak.

Funding is provided for projects in four modules:1. Early clinical studies for the application of already approved therapeutic

approaches on Sars-CoV-22. Control of COVID-19 through new therapeutic and diagnostic approaches3. Research that contributes to the understanding of the virus and its

spread4. Support of already ongoing research projects on corona viruses

Nature and scope of the support, conditions

• Research institutions, institutions of the public health system and health care as well as commercial enterprises are eligible to apply for funding

• Project support with the help of non-repayable grants

• Funding rate: up to 100 % of project-related expenditure/costs

• Project volume up to EUR 500,000 per project

• The funding period is up to 18 months

Application process

One-step application procedure:

• Submission of formal applications for funding (including project outline, project description with exploitation plan, financing plan, etc.) possible until 11.05.2020

Responsible promoter:DLR project management- Health research -Heinrich-Konen-Strasse 153227 Bonn

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Emergency aid from the federal states

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In addition to national funding, the federal states grant various country-specific initiatives, which are intended to benefit SMEs and the self-employed in particular.

Germany - Support at Land level

Please click on the federal state to get to the corresponding program.

Baden-Württemberg

Bavaria

Saxony

Mecklenburg-Western Pomerania

Hesse

Thuringia

Saxony-Anhalt

Lower Saxony

Bremen

Rhineland -Palatinate

Saarland

North Rhine-Westphalia

Schleswig-Holstein

Hamburg

Brandenburg

Berlin

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Germany - Support at Land level

Baden-Württemberg - liquidity loan

Granting of working capital, liquidity and bridging finance:

• Loan amount: EUR 10,000 to 5 million

• flexible duration between four and ten years

• Can be combined with a guarantee

Target group: Freelancers and companies with max. 500 employees in BW

Applications are submitted via the Landeskreditbank

Link: https://www.l-bank.de/produkte/wirtschaftsfoerderung/liquiditatskredit.html

Bavaria - emergency aid Corona

The Bavarian State Government supports affected SMEs and freelancers in Bavaria with emergency financial aid. The emergency aid is graded according to the number of people in employment and amounts

• up to 5 employees EUR 5,000,

• up to 10 employees EUR 7,500,

• up to 50 employees EUR 15,000,

• up to 250 employees EUR 30 000.

Target group: Companies with up to 250 employeeswith business or workplace in Bavaria

Submission of the application form to the relevant authorising authority

Link: https://www.stmwi.bayern.de/soforthilfe-corona/

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Germany - Support at Land level

Berlin - liquidity support

From now on liquidity aid can be provided to IBB:

• granting of rescue loans (up to EUR 0,5 million, interest-free)

• Restructuring loans (up to EUR 1 million)

• Sectors previously excluded but affected (e.g. retail, catering, accommodation) will also have access to the programme

Target group: SMEs with permanent establishment in Berlin

Submission of the application documents to the InvestitionsbankBerlin

Link: https://www.ibb.de/de/foerderprogramme/liquiditaetshilfen-berlin.html

Hamburg - Hamburg Corona emergency aid

The emergency aid programme is aimed at freelancers and SMEs in Hamburg who have run into liquidity bottlenecks that threaten their existence due to the general disposition. This is done through direct, genuine grant funds in the amount of:

• EUR 11,500 (solo self-employed)

• EUR 14,000 (1-5 employees)

• EUR 20,000 (5-10 employees)

• EUR 25,000 (10-50 employees)

• EUR 30,000 (51-250 employees)

The number of employees is counted in full-time equivalents. The key date for the calculation of the number of employees is 11.03.2020.

Target group: self-employed and SMEs

Application via IFB Hamburg

Link: https://www.hamburg.de/coronavirus/13737132/2020-03-19-bwvi-eckpunkte-schutzschirm/

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Germany - Support at Land level

Mecklenburg-Western Pomerania - Special state guarantee programme for liquidity support

The Land of Mecklenburg-Western Pomerania provides liquidity support in the form of repayable grants:

• Up to EUR 20,000 (micro-enterprises and freelancers)

• Up to EUR 200 000 (SMEs)

Loans up to EUR 20,000 are completely free of interest; for larger loans the first year is free of interest, thereafter an interest rate of 3.69% p.a. will apply. A residual debt discharge after 36 months will be possible if the existence of the company is endangered.

Target group: SMEs and micro enterprises

Procedure: GSA (simplified procedure), as of 01.04.2020 Application reservation as of now

Link: https://www.gsa-schwerin.de/leistungen/zuwendungen-zur-vermeidung-von-liquiditaetsengpaessen/antragsanforderung.html

Lower Saxony - NBank liquidity support

The Land of Lower Saxony plans to introduce a credit programme and financial liquidity support:

• Credit for maintaining solvency and financing working capital

• Amount of the loan: 5,000 Euro to 50,000 Euro

• The loan term is 10 years.

• The loan is interest-free for the first two years.

Target group: SMEs, micro-enterprises and self-employed

Link: https://www.nbank.de/Unternehmen/Investition-Wachstum/Niedersachsen-Liquiditaetskredit/index.jsp

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Germany - Support at Land level

Saxony-Anhalt

• Securing loans totalling EUR 390 million

• Deferments: Granting of immediate interest-free deferrals of capital service payments

• Deferment of enforcement: waiver of enforcement measures against affected companies until the end of the year.

• Instruments for the event of insolvency: Granting of mass loans to maintain business operations in the context of insolvency (application) proceedings as well as for the pre-financing of insolvency default money, applies exclusively to SMEs.

Target group: companies and private customers

Promotion by Investitions-/Bürgschaftsbank Sachsen-Anhalt via the local bank

Link: https://www.bb-mbg.de/index.php/fuer-unternehmen/leistungen-fuer-unternehmen

North Rhine-Westphalia -NRW.BANK.Universalkredit

Help with liquidity bottlenecks, financing of working capital and investments. Release from liability in favour of the house bank - from now on temporary for the duration of the crisis in addition to the existing 50% risk assumption also an 80% risk assumption. The minimum loan amount previously required for this will be suspended.

The following supplementary maturity variants are introduced to bridge the liquidity requirement:

• bullet loans with 2 and 4 years maturity

• Installment loans with 3, 4 and 5 year terms with the optional possibility of 1 or 2 grace years

Target group: companies with an annual turnover of up to € 500 million, founders and freelancers

Request via house bank

Link: https://www.nrwbank.de/de/foerderlotse-produkte/NRWBANKUniversalkredit/15260/nrwbankproduktdetail.html

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Germany - Support at Land level

Brandenburg - Emergency aid Corona Brandenburg

Non-repayable grant for companies with

• up to 2 employees: up to EUR 5,000• up to 5 employees: up to EUR 10,000• up to 15 employees: up to EUR 15 000,• up to 50 employees: up to EUR 30 000,• up to 100 employees: up to EUR 60,000

Target group: Brandenburg's medium-sized companiesand freelancers in financial distress

Application to the Investment Bank of the State of Brandenburg

Link: https://www.ilb.de/de/covid-19-aktuelle-informationen/aktuelle-unterstuetzungsangebote

Bremen - Corona emergency aid programme

Micro-enterprises with up to 10 employees or up to EUR 2 million annual turnover in Bremen and Bremerhaven, which have run into economic difficulties due to the effects of the coronavirus, can receive emergency aid of up to EUR 5,000 (in special cases up to EUR 20,000) under the simplified procedure.

Target group: Especially self-employed and micro-enterprises in Bremen and Bremerhaven

Applications to be submitted from 23.03.20 | 12:00 Bremen: BAB or Chamber of Commerce or Bremerhaven: BIS Bremerhaven

Link: https://www.bab-bremen.de/stabilisieren/beratung/task-force.html

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Germany - Support at Land level

Saarland - Emergency aid programme for SMEs

In order to bridge the period until the expected federal programme takes effect, a conditionally repayable grant is to be made available, staggered according to the number of employees (full-time equivalent):

• EUR 3,000 emergency aid (0-1 employees)

• EUR 6,000 emergency aid (up to 5 employees)

• EUR 10,000 emergency aid (up to 10 employees)

Payment shall be made immediately after the emergency aid has been granted.

Target group: SMEs and self-employed persons in Saarland with a maximum of 10 employees

Link: https://www.saarland.de/SID-5A93488C-D6D5F9F6/254639.html

Saxony - Special programme for micro-enterprises

For small enterprises and freelancers with up to 5 employees who are in financial difficulties due to the coronavirus,liquidity support loans are to be made available on the following terms:

• Credit volume up to EUR 50,000 (in exceptional cases up to EUR 100,000)

• Interest-free• Subordinated, i.e. no collateral required• Repayment free in the first three years

Target group: Micro enterprises and freelancers in Saxony

Application via the Sächsische Aufbaubank (SAB)

Link: https://www.coronavirus.sachsen.de/unternehmen-arbeitgeber-und-arbeitnehmer-4136.html#a-4478

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Germany - Support at Land level

Schleswig-Holstein - SH financing initiative

In order to stabilise the strained economic situation caused by Corona, especially for SMEs, fast and easy access to finance is to be guaranteed:

• Financing loans up to EUR 2 million volume of funding, up to EUR 750,000 the application is reviewed in an express procedure

Limited until 31.12.2020

Target group: SMEs in Schleswig-Holstein

Application via the financing coordinators, guarantee bank, IB.SH or MBG

Link: https://wtsh.de/wp-content/uploads/2020/03/Infoblatt-SH-Finanzierungsinitiative-17.03.2020.pdf

Thuringia - Consolidation Fund

In order to support the companies affected by Corona, the existing directive was adapted:• Increase of the maximum loan amount to EUR 2

million (previously maximum EUR 1 million)• Opening up for the entire commercial sector including the

hotel and catering industry, trade fair services and business-related liberal professions

• simplified application procedure for all loan applications (previously up to a maximum of EUR 500,000)

• up to 2 years redemption-free

Target group: SMEs in Thuringia

Application via the Thüringer Aufbaubank

Link: https://aufbaubank.de/Foerderprogramme/Konsolidierungsfonds

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Germany - Support at Land level

Hesse - Liquidity support for small and medium-sized enterprises in Hesse

WIBank provides a loan amount of between EUR 5,000 and 200,000 per final borrower. Financing is provided in the form of a subordinated loan at WIBank's full risk, for which no standard bank collateral is required. Two maturity variants are offered:

• two years with final repayment

• Five years with a two-year grace period, thereafter redemption in equal quarterly instalments at the end of each quarter

Target group: SMEs according to current EU definition in Hesse

The development loan is granted in the house bank procedure.

Link: https://www.wibank.de/wibank/liquiditaetshilfe/liquiditaetshilfe-fuer-kleine-und-mittlere-unternehmen-in-hessen-521692

Rhineland-Palatinate - planned programme: "Strong companies Rhineland-Palatinate”

Immediate loan of the country to apply for via the house bank. Maturities of 6 years and a 90 percent release from liability of the house bank are planned. The period until 31.12.2021 is free of repayment. Repayment is possible at any time at the borrower's request.The maximum amounts for the immediate loan are graduated as follows• up to 10 employees: EUR 10,000

• up to 30 employees: EUR 30,000

Companies with 11 to 30 employees will receive an additional subsidy of 30 percent of the loan amount.

Target group: Companies with up to 30 employees

Link: https://www.pfalz.ihk24.de/servicemarken/corona/zukunftsfonds-starke-wirtschaft-rheinland-pfalz-4744168

In the above overview, only funding initiatives of the Länder are presented, which were newly created or adapted due tothe corona crisis. In addition to these newly introduced aid measures, the existing public funding and financinginstruments continue to be available in the respective federal states.

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Contact

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Dr. Sebastian Lange

Director

Global Investment and Innovation Incentives

Berlin

T +49 30 25468 5173M +49 151 182 93720seblange@deloitte.de

Finn Petersen

Professional

Global Investment and Innovation Incentives

Hamburg

T +49 40 32080 4493M +49 151 580 73374fipetersen@deloitte.de

Dr.-Ing. Maksim Danilov

Consultant

Global Investment and Innovation Incentives

Hamburg

T +49 40 32080 4506M +49 151 580 75512mdanilov@deloitte.de

Your Contacts

Deloitte Global Investment and Innovation Incentives (Gi³)

Lukas Lechner

Manager

Global Investment and Innovation Incentives

Hamburg

T +49 40 32080 4229M +49 151 580 75882llechner@deloitte.de

2020 Deloitte 28

Felix Felleisen

Partner

LegalCorporate/M&A

Düsseldorf

T +49 211 8772 2553M +49 172 866 9732ffelleisen@deloitte.de

Finn Petersen

Professional

Global Investment and Innovation Incentives

Hamburg

T +49 40 32080 4493M +49 151 580 73374fipetersen@deloitte.de

Dr.-Ing. Maksim Danilov

Consultant

Global Investment and Innovation Incentives

Hamburg

T +49 40 32080 4506M +49 151 580 75512mdanilov@deloitte.de

Your Contacts

Deloitte Legal

Sebastian Schnitzler

Counsel

Legal Procurement & Competition

Hamburg

T +49 40 3785 3837

M +49 151 5800 2155sschnitzler@deloitte.de

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