The European Investment Fund (EIF) and Vilnius-based crowdfunding platform Finbee Verslui have signed a portfolio guarantee agreement under the InvestEU program to provide up to €19 million in new loans for businesses in Lithuania, mainly to micro-enterprises experiencing difficulties accessing credit. Finbee Verslui is a Lithuanian fintech offering efficient online-based financing solutions to small businesses, which are often overlooked by mainstream banks.
Micro enterprises with less than 10 employees and with annual income that does not exceed €2 million will be able to borrow up to €50 000. Loans will be provided for both investments and working capital. Such companies will not be asked to pledge any assets as collateral. Moreover, small and medium-sized companies which aim to reduce their CO2 emissions, such as with investments in renewable energy, electric cars, or sustainability, will be able to borrow up to €1 million.
“Cooperation with the European Investment Fund is extremely important for us to purposefully pursue the mission of Finbee Verslui to enable Lithuanian small businesses to grow,” said Tomas Mačiulaitis, Head of Finbee Verslui. “The availability of financing for such businesses remains a sensitive issue and instruments such as this help to solve it step by step. With this guarantee, we will be able to provide financing to an even wider circle of customers, and we will also offer more favourable loan conditions and lower pricing.”
EIF Chief Executive Marjut Falkstedt said Finbee Verslui has a strong track record supporting micro companies via its crowdlending platform.
“Accessing credit is a big issue today, and thanks to the new agreement, Finbee will be able to further support a green and sustainable transformation of the economy, by facilitating the businesses to uptake of environmental-friendly, green and inclusive investments in Lithuania.”
This is not the first agreement between the crowdfunding platform and the EIF. In March 2023, Finbee Verslui and the EIF signed a senior loan agreement to provide €1 million in loans to micro-enterprises under the EU Employment and Social Innovation Program (EaSI). The financing reached Lithuanian companies within three months.