The Agricultural Guarantee Fund, offered by Région Grand Est in partnership with SIAGI, is designed to help small agricultural enterprises access bank credit. This fund guarantees up to 70% of loan amounts, supporting projects related to the creation, acquisition, or development of agricultural activities. Eligible projects include business creation, takeovers, and modernization efforts, making it a vital resource for small businesses in the region.
Objectives
The fund aims to facilitate access to financing for small agricultural and related enterprises by covering a substantial portion of their loan amounts. It supports various initiatives, including the establishment of new agricultural activities, the acquisition of existing farms, and investments in modernization and diversification. This financial backing is important for ensuring the sustainability and growth of small enterprises in the agricultural sector.
Beneficiaries
The Agricultural Guarantee Fund is targeted at small enterprises located in Région Grand Est. Key eligibility criteria include:
- Must be a small enterprise as defined by the EU (≤ 50 employees, revenue ≤ €15 million or total balance sheet ≤ €7.5 million).
- Must operate in sectors such as agriculture, viticulture, forestry, aquaculture, anaerobic digestion, or photovoltaic energy.
Excluded are businesses in liquidation or not up to date with tax obligations.
Eligible operations
Eligible projects for the fund include:
- Creation of new agricultural or related activities.
- Acquisition of existing farms to ensure continuity.
- Modernization and diversification of production.
- Strengthening permanent capital to secure financial stability.
- Managing cash flow during temporary financial difficulties.
Ineligible expenses include pet animal breeding (except horses), activities excluded by SIAGI, and enterprises under liquidation.
Eligibility conditions
To qualify for the Agricultural Guarantee Fund, enterprises must:
- Be located in Région Grand Est.
- Operate in one of the specified sectors.
- Be current with tax and social obligations.
- Not be in liquidation proceedings or listed in the Central Cheque File.
Grant amount
The fund guarantees loans ranging from €15,000 to €200,000, with a guarantee rate of up to 70% of the loan amount. Loan durations can vary between 2 and 15 years, providing flexibility for small enterprises seeking financial support.
Frequently asked questions
Can I apply for the Agricultural Guarantee Fund if my business is newly established?
Yes, new businesses are eligible as long as they meet the other criteria, including being located in the Grand Est Region and operating in one of the specified sectors.
What types of projects can be funded?
Projects eligible for funding include the creation of new agricultural activities, business takeovers, modernization efforts, and cash flow management support.
Is there a limit on the amount I can borrow?
Yes, the fund guarantees loans between €15,000 and €200,000, covering up to 70% of the loan amount.
What happens if my application is rejected?
If your application is rejected, you can request feedback to understand the reasons and improve your proposal for future submissions.
How long does it take to receive a decision on my application?
The decision on your application for the Agricultural Guarantee Fund in the Grand Est region typically takes between 4 to 8 weeks. However, this timeframe can vary based on the completeness of your application and the volume of requests being processed. For the most accurate and up-to-date information regarding your specific application, please reach out directly to Région Grand Est.