Facilitated Finance

Facilitated finance is a set of regulatory measures aimed at providing companies with financial, economic, tax and technical-insurance benefits to support investments or develop a business unit.

European Union, Italy, Italian Regions and Provinces offer the above-mentioned facilities through the call for tenders concerning one or more types of aid, as listed below.

Tangible investments: with this measure, investments are financed for the purchase of machinery which is crucial to the production of goods, equipment and tools functional for the performance of the activity.

Intangible investments: costs related to research, design, development and advertising.

Non-repayable Capital Grants: this facility consists of a disbursement of a sum of money, some of which does not have to be repaid (non-repayable).

Tax credits: the contribution takes the form of a tax credit and is granted for research and development or for the hiring of highly qualified personnel. Another form of tax relief is the Patent Box for the detaxation of income deriving from the economic exploitation of intangible assets. Finally, there are reliefs on Tax on productive activities (IRPEF) and Company tax (IRES) for investments in start-ups and innovative SMEs.

Interest rate subsidies or Facilitated Credit: the subsidy consists of a reduction in the interest rates of a loan granted to companies.

Contributions to lease payments: under this contribution, an instrumental or real estate lease agreement is paid at favourable conditions.

Support and training services: a mentoring service is offered to entrepreneurs and managers, e.g., incubation.

Granting of guarantee: Providing a guarantee aimed at obtaining a medium/long-term loan that the entrepreneur could not otherwise have obtained.

Facilitated finance is now an integral part of business economics as it helps companies find financial resources. All companies can participate in several calls for tenders and access more financing, obtaining benefits for each type of investment.

Generally, each call for tender presents the aims of the project, indicates the beneficiaries and the location of the interventions, specifies the types of intervention eligible, quantifies the resources allocated, the type of grant, and finally the procedure and timing for the submission of applications.