ERP Participation Program

• Companies looking for capital
• Venture capital firms

With the ERP participation program, we promote capital-seeking companies and capital participation companies. Capital-seeking companies receive new participation capital as participants through a capital participation company. This allows you to finance a variety of entrepreneurial measures - for example:

• Innovation projects such as the development and marketing of new products
• Structural changes
• Establishing or expanding businesses, fundamentally rationalizing or restructuring
• Start-ups
• Participation in a company succession Capital participation companies receive a favorable refinancing loan from the ERP participation program as a participation provider. A guarantee from a guarantee bank is a prerequisite for financing. This funding product is not suitable for:
• financing of internal transactions,
• financing of restructuring cases,
• if you want to finance an existing participation retrospectively. In addition, the KfW generally excludes certain projects from financing or sets conditions to be observed.

Conditions for the participant

• Any form of participation is allowed. The participation of the participant in the loss in case of bankruptcy or settlement must not be excluded.
• The maximum amount is usually €1.25 million.
• The participation must not exceed your existing equity.
• You can take advantage of an ERP-supported participation multiple times, as long as the maximum amount is not exceeded. In exceptional cases, participations of up to €1.5 million are possible. Duration: up to 10 years The participation fee is freely agreed between you as the participant and the participant. As a participant, you can terminate your participation at any time with a notice period of 12 months directly with your participant. No security is generally required for the participation. Exceptions apply to guarantees, guarantees or similar securities provided by shareholders or their family members and which serve to correct asset shifts or to limit liabilities resulting from the company structure of the participant. As a participant, you can combine the funds from the participation with other KfW products and public subsidies. Conditions for the participant
• You can finance the participation amount up to 100%.
• The maximum amount is usually €2.5 million. Duration usually 10 years. You can find out the applicable interest rates at your bank. No setup fee is charged. We then charge 0.15% per month for not yet drawn credit amounts. You will receive 100% of your refinancing credit paid out.
• You usually repay the loan at the end of the term in one sum.
• You must repay the loan prematurely if the participant terminates the participation prematurely.
• If you repay the loan prematurely while the ERP-refinanced participation continues, a prepayment compensation will be calculated.
• You agree on the type and amount of security with your bank.
• The guarantee of a guarantee bank is a prerequisite.