STEPS FROM APPROVAL TO DISBURSEMENT OF THE COVID-19 LOAN
After receiving the Notice of an approved COVID-19 loan, it is necessary to:
- open a dedicated-purpose bank account for the disbursement of the loan funds
- submit the required documentation and proof of fulfilling any additional conditions specified in the Notice of the approved loan
- based on the submitted documentation, the Legal Department of HAMAG-BICRO prepares the Loan Agreement and the associated promissory notes and sends them by post to the entrepreneur
- the entrepreneur signs and notarizes the Agreement and promissory notes and returns them to HAMAG-BICRO
- upon receipt and verification of the documentation, HAMAG-BICRO prepares the payment order for the disbursement of funds
TERMS OF USE OF THE COVID-19 LOAN
- The COVID-19 loan is disbursed exclusively to the dedicated-purpose account
- Possibility to finance invoices issued from 01/01/2020 onwards (provided they have not previously been paid)
- All payments made from the COVID-19 loan funds must be executed from the dedicated-purpose account directly to the accounts of the agreed suppliers
- The disbursed COVID-19 loan funds must be used within the agreed utilization period
COVID-19 LOAN FUNDS MAY NOT BE USED FOR:
- refinancing existing liabilities
- settling liabilities towards financial institutions (banks, leasing companies, etc.)
- reimbursing previously paid liabilities
- paying liabilities that arose before 01/01/2020
- acquiring securities
- granting loans to customers or other legal or natural persons
- investments for personal purposes
PROVING THE PURPOSEFUL USE OF THE COVID-19 LOAN
Within 15 days after using the COVID-19 loan funds, the entrepreneur is obliged to submit:
- a completed Table of purposeful use of COVID-19 loan funds
- bank statements from the dedicated-purpose account from the disbursement date of the COVID-19 loan until the date of the last transaction
- copies of final documents for financing working capital (invoices/delivery notes/contracts/payroll lists, etc.)
- if a foreign supplier was involved, submit the CMR as proof of import and the SWIFT as proof of the executed foreign currency transfer
- after all obligations related to justifying the purposeful use of the COVID-19 loan have been fulfilled, the dedicated-purpose account may be closed
- proof of compliance with visibility rules – photographs of signage in accordance with the Visibility Rules
VISIBILITY OBLIGATION
Whenever applicable, the COVID-19 loan beneficiary is obliged to:
- if they have a website, publish the “ESIF FINANCIAL INSTRUMENTS” logo on it together with the corresponding co-financing statement in accordance with the Visibility Rules
- the Visibility Rules are available on the HAMAG-BICRO website, and other visibility-related obligations are defined in the COVID-19 Loan Agreement



