In this blog I will help all those entrepreneurs who fly to access an ICO loan but that the bank has denied.
It is always possible to advise financing and, if the bank denies, you will go to the private financing . In this blog, in addition to explaining what an ICO loan is , I will briefly explain the advantages of alternative financing and, if you want to expand the information and see the trend of the financial market, you can visit our previous posts from:
In order to help all entrepreneurs, I will divide this blog into two sections:
- First of all, it will briefly explain all the information on ICO loans as to what they are and how to apply for an ICO loan if they face no attempt. Also, a complementary information on the characteristics of the ICO COVID-19 .
- Subsequently, we will inform you of how to advise non-bank financing if once the ICO loan continued to be denied banks, which currently succeeded in a higher percentage of cases. If the bank has denied access to the credit, it can go directly to the section “ What if they deny an ICO loan ”.
What is an ICO loan?
Abans to request a loan, first you need information. To have all the necessary information, there is no better option than to access the official website of the Govern d'Espanya de l'Institut de Crèdit Oficial (ICO) at www.ico.es and inform it correctly.
Month to month, the mateixa instituted has created a video summary to inform about what it is:
For a quick summary, according to the official website of the Ministeri d'Assumptes Econòmics i Transformació Digital, l'ICO is a public bank with the legal form of public business entity (EPE).
Aquest public bank available for ICO Lines designed to promote business activity and finance business activities and investment projects for autonomous communities, entrepreneurs and companies, així as a process of internationalization.
According to the seva own web, these are the lines in the quals treballa l'ICO to promote business activity:
- Line ICO d'empreses i emprenedors
- Crèdit Comercial ICO Line
- ICO Guarantee Line SGR
- Línia ICO International
- Línia ICO Exportadors
- Línia ICO International Channel
How to demand an ICO loan?
To request an ICO loan , it is so easy to ask a financial entity. Recommend to l'entitat amb who is habitually trebalment. Each entity seves the proper rules and policies of risk, and this is the one that decides on the concession, since they are the ones that mediate and respond between 20% and 40% of the import in case of payment. This is the main reason for the denial of all ICO loans .
Requesting an ICO loan is a simple process but requires a lot of bureaucracy and, as previously mentioned, it is a quasi impossible bar that , in the current economic situation, the banks granting ICO loans .
To move more quickly, list the main requirements that are necessary to access an ICO loan:
- Inform, detail and justify with documentation why the financing is necessary.
- Not being attached to the list of defaulters.
- Have tots els deutes saldats.
- Justify monthly income.
- Pèrdues i guanys in positiu.
If you do not complete any of the requirements, the loan will be automatically denied. For this reason, in the propers apartats we will explain how these companies need financing, the banks and the hires deny the ICO credit , they can advise alternative financing to advise liquidity in their negotiations.
Due to the coronavirus crisis , on March 24, 2020 a nova via d'avals ICO of 20,000 million and some 20,000 million months will be approved on April 10 to help the entire economy.
Aquesta nova via d'avals ICO, has been created and exists to guarantee the liquidity for the entire class of companies and autonomies of qualsevol mida, sector of activity or geographic location that has a registered office in Spain and that the seva activity is affected economic effects of COVID-19 .
The term to apply is from April 6 to September 30, 2020 and the Copperix Government between 60% and 80% of the loan in cases of default.
It is designed because 50% go to autonomous companies, micro-businesses and small businesses and the remaining 50% to large companies.
The process is the mateix that both qualsevol lends ICO :
- You have to go to the bank to apply for the ICO COVID-19 loan .
- Comply with the risk requirements stipulated by the bank.
This is the theory, but the reality is that currently the vast majority of companies are not able to easily obtain an ICO COVID-19 loan and the banks are practically denied .
If you have applied for an ICO loan, the bank has denied it, and you are looking for an alternative financing , just have to fill out the form of the dreta i nosaltres l'ajudarem.
What if an ICO loan is denied?
As I mentioned earlier, in many cases, the operation is guaranteed 80% by the State, the Spanish bank is denied with ICO loans to freelancers and pimes because the bank is not responsible for the remaining percentage.
Hi ha molts motius pels quals the traditional banks do not grant ICO credits , but the main motius pels that deny access to the credit are:
- Appear in a delinquency situation as of December 31, 2019
- To be subject to a bankruptcy procedure on December 31, 2019
- Faci menys of 3 years that develop the seva activitat
- Quan hagin tingut pèrdues comptables
If you are in some cases, as per example being included in a registry of delinquency with Financial Credit Institutions, do not need to ask the bank and it is better to allocate the time to seek alternative financing .
In short, if you do not obtain an ICO loan for the reason that followed, it is possible to obtain financing through private financing or private capital.
Alternatives to ICO loan
As he commented on the start of the blog, if it is not possible to access an ICO loan and it is necessary financially urgent , there are different alternatives to advise you.
It should be noted that the ICO loans also have their own disadvantages , that the alternative financing does not pass, as for example:
- Excessive mumps
- Only processed through the banks
- Quantitats to be sol·licitar molt elevades
- Discarded per particulars
- Terminis de returned molt llargs
The most useful alternative financing to the ICO loan is private financing or private capital. The private financing is advantageous with respect to the traditional financing and the benefits that are used and that are regulated by the Banc d'Espanya (every month).
A prova d'això is Dark Keep , which for more than 15 years is a leader in the sector and is registered with the Banc d'Espanya, in the real estate lender register .
The sector of the providers , traditionally, did not have a good reputation guarantee, but it is very important that, whenever it is common to refer to this alternative financing, it is required the opportune documentation assegurant that it is registered with the Bank of Spain .
On many occasions, there is also the possibility that the client followed who is not interested in an ICO loan because , as previously mentioned, they are not avantageous or it is not complex in the requirements. For example, if you want a quick financing, it is not the ideal loan.
Both the ICO loans are talking about a type of credit that requires a lot of bureaucracy and that can delay the time to finally get the diners that are needed.
When it is necessary to finance, it is always good, to value all the options. When financing is needed, it is always good to weigh all the options .