There are some Good News about Money to come for several categories of business in Romania.

• Microgrants of 2,000 Eur for free-lancers and companies without employees;
• Working capital grant, equivalent of 15% of turnover, up to 150.000 Eur, for some companies affected by pandemic crisis, committed to continue their activities for minimum 6 months after receiving the funds and capable to sustain their own contribution of 15% of grant required.

Conditions to comply with:

1. Emergency Certificate due to Covid19 pandemic;
2. Operational profit at least in one of the last 2 financial years;
3. capacity of contribution with minimum 15% of the grants at the date of use of working capital grant d) maintaining or supplementing the staff number compared with the date of grant’s demand for a period of minimum 6 months from the moment of receiving grants;

Destination of Funds

The Beneficiaries can use the working capital grants for sustaining the following eligible expenses:

a) expenses with stock of raw materials, materials, goods;

b) current and outstanding debts towards the current providers, including utilities;

c) rent based upon concluded contract;

d) rent with services, except consulting and other indirect services;

e) equipment of medical protection, including disinfection materials anti-covid19;

f) objects of inventory;

g) equipment, installations, technologies for reopening the activity;

h) payment of state’s debt.

• Investment capital grant, up to 200.000 Eur, for companies willing to invest in development, under certain criteria and scoring conditions; capable to sustain 15% of grant required, except Bucharest and Ilfov county where the minimum own contribution is 30%.

Fields of activity accepted for investment grants:

a) food industry, bread sector, patisseries, related activities;

b) automotive industry, including auto services, repairs, washing stations, related activities;

c) energy, equipment/technology for energetic efficiency;

d) constructions, construction materials, equipment, specific transport means equipment, technology in constructions;

e) transport services, including internationals transport services;

f) body caring;

g) repairs and maintenance;

h) tourism, touristic pensions, hotels, restaurants, entertainment services, including specific infrastructure;

i) metallic confections/wood/furniture;

j) textile/leader industry;

k) pharmaceutical industry and medical equipmens

l) creative industries, including culture and creative services

m) education: pre-kindergarden, kindergarden, schools;

n) health services;

o) trading

Conditions to comply with:

a) operations held for a period of minimum 1 year before submission of grant’s request;

b) operational profit at least in one of the last 2 financial years;

c) commitment to assure the sustainability of projects, to continue for minimum 3 years after the project’s implementation;

d) minimum 50% of the incomes forecast in the business plan, annex at the financing request within the 2 first years and the difference in the 3rd year;

e) cofinancing of minimum 15% of the project’s value for other regions, and minimum 30% for region regiunea București-Ilfov;

f) committed to provide proof of costs reasonability for investments where is required state aid.

Scoring criteria:

1. Investment Project Return on Investment (RIR) – maximum 25 points

• RIR: < 5% – 10 points;
• RIR: ≥ 5,01% and < 7,5% – 15 points;
• RIR: ≥ 7,51% – 25 points.

2. a) Other Regions Co-financing of projects – maximum 35 points

• over 35% – 35 points
• ≥ 25% and < 35% – 30 points
• ≥ 20% and < 25% – 20 points
• > 15% and < 20% – 10 points

2. b) Region București-Ilfov, Co-financing of investment projects – maximum 35 points:

• over 45% – 35 puncte
• ≥ 40% and < 45% – 30 points
• ≥ 35% and < 40% – 20 points
• > 30% and < 35% – 10 points

3. Ratio of Grant required and operational profit in previous financial year – 30 points

• ≤ 3 – 30 points;
• > 3 și ≤ 4 – 15 points;
• > 4 – 5 points.

4. CAEN code within country commercial trading balance according to Statistics Institute: maximum – 10 points

• Negative Balance – 10 points;
• Pozitive Balance – 0 points.

All the above grants must be contracted latest 31^st December 2020.

We recommend all companies to analyse their situation and action promptly for this call as the next one possibility of attract and use EU funds will be after 2022.

Extended power team of Argus Audit, specialized also in funding & financing, can assist companies and investors during this process of analysis, business plan, advise for optimization of scoring and apply for grants.

Let us know if this is could be interest for you and we will serve at our best.