OREANDA-NEWS. December 08, 2014. Sberbank and the Loan Guarantee Agency are developing their partnership to improve lending conditions for small and medium business as part of the government program to support SME.

Sberbank’s small business loan product “Business-Invest” now includes coverage from the Loan Guarantee Agency, which serves as collateral for the loan.

In November, Sberbank and the Loan Guarantee Agency launched the product “Trust” with the Agency’s guarantee and reduced rate of 3-4 pp (depending on loan term).

“With the Agency’s guarantee of the Business-Invest loan product it is possible to reduce rates by .5-1 pp and make business loans without a down payment,” said Vice-President and Head of Sberbank's Small Business Development Division, Andrey Sharov.

The Business-Invest loan with Agency guarantee is offered in any amount – limited only by the borrower’s ability to meet payments – and for terms up to 60 months (for companies with at least 12 months operating history) and 36 months (for companies with less than 12 months operating history).

The loan is intended for investments in capital assets (purchases, modernizations, renovations), as well as refinancing loans for similar purposes.

The loan is secured by a direct irrevocable Agency guarantee for 50% of the loan with no collateral required.