How to get a loan?

1. Start from our web page and select a programme

Select the loan programme that suits you best depending on whether you need to finance investment or working capital, whether you require restructuring or funding for a project to be co-financed from the EU funds.

ADVICE: In case of doubt, contact us via telephone number or e-mail address.  

2. Submit your loan application

The loan application is submitted and processed at the location where the loan is negotiated:

1. Via commercial bank - loan application documentation, collateral and other documentation necessary for loan approval are agreed upon with and submitted to the commercial bank.
2. Via HBOR - loan application documentation is submitted to HBOR, and you agree with us upon collateral and other documentation necessary for loan approval. For investments of up to EUR 400 thousand, a business plan template has to be enclosed; and for investments of more than EUR 400 thousand, it is necessary to enclose an investment study.

ADVICE: Contact the commercial bank or HBOR for more information on the preconditions for obtaining funds before you start to collect the documentation. The list of necessary documentation can be found at the end of the text about the selected loan programme.

3. Assessment of loan application

Loan application is processed after the receipt of the entire documentation through financial, technical and legal assessment:

Loan application is processed at the location where the loan is negotiated:

1. Via commercial bank - assessment is made by the commercial bank, and HBOR establishes the compliance of the loan with the terms and conditions of the loan programme as well as with other relevant HBOR's documents.
2. Via HBOR - assessment is made by HBOR's expert teams

After the receipt of loan application assessment, proposals are submitted to HBOR's decision-making bodies.

ADVICE: When the loan application is assessed, additional information may often be required (information relating to characteristics of business operations, supply market, buyers etc.), and it is necessary that you are constantly in contact with your loan officer so that you may together consider the feasibility of the project in the best possible way. During the processing of a direct loan application, an employee of HBOR will visit the client/location of investment.

4. Decision on loan application

Decision on the approval of a direct loan application of up to HRK 700 thousand or a loan application via commercial banks in the amount of up to HRK 3 million is made by the Credit Committee. Decision on the approval of a direct loan in the amount exceeding HRK 700 thousand or a loan application via commercial banks exceeding HRK 3 million is made by the Management Board of HBOR after it has been accepted by the Credit Committee. For loans exceeding HRK 37 million, a consent of the Supervisory Board of HBOR is required.

STEPS TO BE TAKEN: In case of a direct loan via HBOR, you will be informed about the approval by HBOR's loan officer who prepares the Loan Contract and other documentation. In case of a loan via commercial bank, HBOR informs the bank on the approval and you execute the Loan Contract with the commercial bank.

5. Execution of contract and meeting of preconditions

When the decision on loan approval has been made, the Loan Contract is prepared, in which all terms and conditions of approval, disbursement and repayment of the loan will be defined. The Loan Contract, signed and authenticated by the commercial bank / HBOR, will be sent to you for signing or you will sign it personally in the commercial bank’s branch office /HBOR. Before the loan is disbursed, the loan application processing fee has to be paid (the fee may also be paid from the loan proceeds, if so envisaged).

ADVICE: Before the disbursement of the approved funds, it is necessary to fulfil the conditions precedent (implementation of collateral, share of own funds in the project etc.). For example, if mortgage is provided for by the contract as collateral, the Lien Agreement has to be notarised with the notary public and the mortgage entered in the land register.

6. Disbursement of loan

Loan disbursement is made on the basis of a Loan Disbursement Request. The Loan Disbursement Request has to be accompanied by issued invoices of suppliers/contractors that are, together with the Request, submitted to:

1. a) Commercial bank - in case of approval via commercial bank that approves the loan.
2. b) HBOR - in case of direct approval. During the loan disbursement, HBOR's employees visit the client/investment location.

In accordance with its purpose, the loan is disbursed to the account of supplier/contractor upon the issued invoice. A portion of the loan approved for the financing of working capital is disbursed to your account, and you make payments from these funds on your own.

STEPS TO BE TAKEN: 30 days after the disbursement of working capital, it is necessary to submit invoices justifying the amount of disbursed working capital in accordance with the purpose provided for in the Loan Contract.

7. Repayment of loan

After the expiry of the disbursement period, the loan starts to be repaid and the grace period begins (if so required). During the grace period, you pay only interest on the disbursed loan funds in accordance with the agreed dynamics. Upon the expiry of the grace period, the loan repayment period commences, in which you repay both the principal and interest. The repayment is made in accordance with the repayment schedule that you will receive upon the expiry of the loan disbursement period, i.e. upon the start of the loan repayment period.   ADVICE: You can make an informative calculation of repayment instalments by using our loan calculator.