BGK guarantees support Polish entrepreneurs in times of crisis

According to a recent study conducted by Bank Gospodarstwa Krajowego (BGK) the companies that have benefited from granted by BGK Biznesmax guarantees perform better than an average company from SME sector. Beneficiaries of Biznesmax guarantees almost fivefold more often than the whole SME declare that within a year prior to the report they expanded export, improved their financial situation and increased employment, and four times more often indicate the improvement in their market situation.

Biznesmax guarantee programme is the support for Polish companies from SME sector. It helps the entrepreneurs to finance investments in development. The guarantees secure loan repayment at the lending bank, thanks to which the loan may be granted on better than market conditions. The entrepreneur may also receive an interest subsidy on the loan covered by the guarantee. As we read in the report “Effects of Biznesmax guarantees with subsidy programme report on the survey 2022”, the companies that have used this form of support much more often than SME in general experienced improvement in their financial situation and strengthened their market position.

Over 40 per cent of companies that benefited from Biznesmax guarantees admit that without this support they would not have been granted a loan or would have obtained it on worse conditions. This result is 5 per cent higher than in the previous edition of the report.

The economic slowdown induced by the pandemic and war in Ukraine makes the conditions for investing more and more difficult. During the times of economic downturn, solutions such as Biznesmax guarantee are of particular importance for the economic development. Thanks to the security the guarantees provide, the entrepreneurs may implement investments they would not be able to implement otherwise, due to difficult access to capital – Mateusz Walewski, director of BGK research and analysis department, says.

Solution that supports innovation

Entrepreneurs benefiting from Biznesmax guarantees invested four times more often than an average company from SME sector. These investments were ten times more often of innovative nature. Every third investment implemented by the beneficiaries of Biznesmax guarantees had in their opinion positive environmental effect.

Almost 80 per cent of entrepreneurs that benefited from Biznesmax guarantees, within 12 months prior to BGK research, implemented or launched the investment implementation. Over one third of surveyed companies in the given period increased the employment, in half of the cases it was possible exactly thanks to the guarantees.

Biznesmax guarantees programme has been operating since the end of 2017. Since then, Biznesmax guarantees have helped to secure the loans of PLN 6.1 billion. Almost 1.5 thousand companies have benefited from this support. Thanks to the programme, Polish companies can invest and develop innovations even in the times of difficult economic turbulences – Mateusz Walewski sums up.