HBOR and ZICER - joint support for start-up entrepreneurs
HBOR and ZICER launch cooperation on the support for start-up entrepreneurs through innovative finance model
The Croatian Bank for Reconstruction and Development (HBOR) and the Zagreb Innovation Centre (ZICER) have signed a EUR 500,000 Framework Loan Contract that will provide finance for micro and small start-up entrepreneurs. The Contract was signed by Hrvoje Čuvalo, President of HBOR's Management Board, and Frane Šesnić, Director of ZICER.
This is the first time that HBOR has introduced such an innovative finance model, specially designed for entrepreneurs in the earliest stages of business development. The framework loan programme enables entrepreneurial support institutions (ESIs), such as ZICER, to issue loans to start-ups with financing from HBOR's funds and ESI's own funds in equal proportions. Loan repayment risk is also shared proportionally.
"This innovative programme is the result of our dedication to creating a financial ecosystem that supports ideas and innovations and facilitates entrance into markets for entrepreneurs. Those entrepreneurs, who are in the phase of developing their products or services, often do not have access to traditional forms of finance, and this programme is intended to fill that market gap. By cooperating with ZICER, we not only enable finance, but also provide professional mentoring and support for entrepreneurs, thereby increasing their chances of success. This is an important step forward in our strategic commitment to strengthen the competitiveness and innovation of the Croatian economy. Our efforts in developing and implementing such programmes clearly show that HBOR is constantly looking for ways to respond to the needs of the market and enable positive changes," said Hrvoje Čuvalo, President of HBOR's Management Board.
For ZICER that has been supporting innovative technology entrepreneurs for three decades, this Contract marks a new step forward in supporting the start-up community. "The signing of this Contract for start-ups developed with the support of ZICER provides a timely and simplified access to financial resources for development, when they are not available from other sources or are not adequate, under favorable terms and conditions. Financing of start-ups is always a challenge, and the lack of funds often hinders globally perspective projects in their further development. At ZICER, through educational, mentoring, infrastructural and network support, we enable young technological companies to achieve extraordinary results," said Frane Šesnić, Director of ZICER on the occassion of Contract signing.
"With the convertible loan, which is now even more generous thanks to the cooperation with HBOR, we are upgrading our previous models of financial support for start-ups. Financial instruments like this seed fund are key components of the start-up ecosystem, with which we have rounded off the complete support for our start-ups. I would like to express my gratitude to HBOR and the City of Zagreb for supporting this finance model, which will, I am convinced, result in a multiplier effect on the Croatian economy," concluded Šesnić.
This Contract is part of HBOR's three-year pilot project, under which EUR 1.5 million has been provided for the implementation of the Programme. In the future, it is expected that a greater number of ESIs will be interested in, and fulfill the conditions for participation in, the programme, which will further encourage the development of the entrepreneurial ecosystem in Croatia.
The Croatian Bank for Reconstruction and Development (HBOR) and the Zagreb Innovation Centre (ZICER) have signed a EUR 500,000 Framework Loan Contract that will provide finance for micro and small start-up entrepreneurs. The Contract was signed by Hrvoje Čuvalo, President of HBOR's Management Board, and Frane Šesnić, Director of ZICER.
This is the first time that HBOR has introduced such an innovative finance model, specially designed for entrepreneurs in the earliest stages of business development. The framework loan programme enables entrepreneurial support institutions (ESIs), such as ZICER, to issue loans to start-ups with financing from HBOR's funds and ESI's own funds in equal proportions. Loan repayment risk is also shared proportionally.
"This innovative programme is the result of our dedication to creating a financial ecosystem that supports ideas and innovations and facilitates entrance into markets for entrepreneurs. Those entrepreneurs, who are in the phase of developing their products or services, often do not have access to traditional forms of finance, and this programme is intended to fill that market gap. By cooperating with ZICER, we not only enable finance, but also provide professional mentoring and support for entrepreneurs, thereby increasing their chances of success. This is an important step forward in our strategic commitment to strengthen the competitiveness and innovation of the Croatian economy. Our efforts in developing and implementing such programmes clearly show that HBOR is constantly looking for ways to respond to the needs of the market and enable positive changes," said Hrvoje Čuvalo, President of HBOR's Management Board.
For ZICER that has been supporting innovative technology entrepreneurs for three decades, this Contract marks a new step forward in supporting the start-up community. "The signing of this Contract for start-ups developed with the support of ZICER provides a timely and simplified access to financial resources for development, when they are not available from other sources or are not adequate, under favorable terms and conditions. Financing of start-ups is always a challenge, and the lack of funds often hinders globally perspective projects in their further development. At ZICER, through educational, mentoring, infrastructural and network support, we enable young technological companies to achieve extraordinary results," said Frane Šesnić, Director of ZICER on the occassion of Contract signing.
"With the convertible loan, which is now even more generous thanks to the cooperation with HBOR, we are upgrading our previous models of financial support for start-ups. Financial instruments like this seed fund are key components of the start-up ecosystem, with which we have rounded off the complete support for our start-ups. I would like to express my gratitude to HBOR and the City of Zagreb for supporting this finance model, which will, I am convinced, result in a multiplier effect on the Croatian economy," concluded Šesnić.
This Contract is part of HBOR's three-year pilot project, under which EUR 1.5 million has been provided for the implementation of the Programme. In the future, it is expected that a greater number of ESIs will be interested in, and fulfill the conditions for participation in, the programme, which will further encourage the development of the entrepreneurial ecosystem in Croatia.