Small and medium sized enterprises can directly borrow from small and medium enterprise development funds when meeting the following 04 conditions:
- Meeting the provisions of Article 4 of the Law on Support for Small and Medium Enterprises;
- Having feasible production and business projects and plans, exploiting various types of intellectual properties or new technologies or new business models according to specialized law provisions;
- Ensuring the source of owners' equity participating in the project, production and business plans at least 20% of the total investment capital for the implementation of production and business projects and plans and ensuring sufficient capital sources for carrying out the project;
- Meeting the provisions on loan security in accordance with this Decree.
Enterprises can borrow for each production and business project or plan not exceeding 80% of the total investment capital of each project or plan. The direct lending interest rate for enterprises is equal to 80% of the lowest rate of commercial lending rates.
Decree 39/2019/ ND-CP takes effect on July 1, 2019. Download the ducument here. (Vietnamese verson)