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The Réunion Region and Bpifrance have launched the “Loan…
The Réunion Region and Bpifrance have launched the “Réunion Recovery Loan” intended to support the cash flow of VSEs and SMEs who wish to finance a development program
Réunion, November 6, 2024 – Huguette BELLO, President of the Réunion regional council, and Jérôme BOUQUET, Director of the Bpifrance Outre-mer and Île-de-France Network, launched the “Réunion Recovery Loan”, in the presence of Marie ADELINE-PEIX, Executive Director of Regional Partnerships, Creation and Territorial Action.
The Réunion Region and Bpifrance are mobilizing new resources to support VSEs and SMEs located in Reunion, or having their main activity in Reunion, wishing to finance a development program or needing to strengthen their cash flow, with the “Reunion Recovery Loan”.
With a duration of 5 to 7 years, including 1 year to 2 years of deferred capital amortization, this support loan is granted without taking guarantees on the company's assets or the manager's assets, and finances the tangible and intangible investments, such as the increase in working capital requirements, linked to a development program subject to co-financing of the same amount obtained from financial partners.
The “Reunion Recovery Loan” will mobilize €4 million in regional resources allowing Bpifrance to finance €14 million in “Réunion Recovery Loans” from around a hundred companies, i.e. €28 million of investment program with the mobilization of partners financial.
Via this system, the Réunion Region and Bpifrance aim to strengthen the cash flow of Reunion companies to support their development, as part of a revival of economic activity.
This system is part of the Region's ambitious development program “the new economy” to strengthen community support for Reunion Island businesses, in particular the island's VSE-SMEs, and diversifies the range of tools deployed. The “Reunion Recovery Loan” meets a need for Reunion companies who want to invest and develop their activity.
“The economic vitality of Reunion Island is based on the dynamism of our businesses. The health of our economy, let us never forget, is also that of our entire society. What drives us, what guides us, is the conviction that supporting our businesses is, ultimately, helping all of Reunion Island. It is by helping to create wealth, services, products and jobs that we transform our territory” declares Huguette BELLO, President of the regional council of Reunion.
“We are very proud to launch today, alongside the Réunion Region, this Recovery Loan, which strengthens our long-standing partnership. It is added to existing offers, in order to meet the needs of entrepreneurs who wish to invest and develop their activity in Reunion Island. With the mobilization of all financial partners, €28M will be invested in around a hundred companies, with a real impact on economic activity. » adds Marie ADELINE-PEIX, executive director in charge of regional partnerships, creation and territorial action.
How the “Reunion Recovery Loan” works:
Agreed at a preferential fixed rate of 3.32%[1]the “Réunion Recovery Loan” is aimed at VSE-SMEs in all sectors of activity, having more than 3 years of existence. The amount of loans distributed is between 20,000 and 300,000 euros. Loans of less than 50,000 euros benefit from a completely dematerialized process.
The aid takes the form of an intervention in the form of a loan, “the recovery loan”, intended to finance:
– tangible and intangible investments
– the increase in working capital requirements linked to a development program;
“The Recovery Loan” will be supported by Bpifrance which will ensure the procedures for processing requests, the decision to grant loans as well as the implementation of the operation and its management.
Please find all the information by clicking on this link.
[1] Rate for the month of November 2024
