The Enisa Young Entrepreneurs funding line is designed to support newly established startups created by young people (under 41 years old). Enisa co-finances the company's strategic plan with a minimum of €25,000 and a maximum of €75,000. This is a participatory loan that is not convertible to capital. The main difference between Enisa and a bank loan is that “the financing body”, in this case Enisa, is at risk with the transaction and applies a variable interest rate depending on the company's profits.
In addition, it does not require personal endorsements or guarantees from entrepreneurs. One of the main reasons why it is so preferred among entrepreneurs
Enisa stands for Empresa Nacional de Innovación SA, a body under the Government that has the Enisa Young Entrepreneurs loan line open on a permanent basis.
What is the purpose of the 'Enisa Young Entrepreneurs' grant and what projects does it finance?
'Enisa Young Entrepreneurs' seeks to provide the necessary financial resources to newly established startups and SMEs, created by young entrepreneurs (under 41 years old), so that entrepreneurs can undertake the investments needed for projects in their earliest stages. Enisa seeks to co-invest, that is, to accompany the first expansions or rounds of private capital that companies obtain to boost their growth.
What type of aid is it and what are its main characteristics?
Enisa's funding is in the form of a participatory loan and has very marked differences with traditional bank loans:
- Minimum and maximum amount: For the Enisa Young Entrepreneurs line you can request a loan starting at 25,000 euros and up to 75,000 euros
- Interest rates: The first tranche of the loan is calculated Euribor + 3.25% and the second tranche of the loan is a variable interest depending on the company's financial profitability, with a maximum limit set between 3% and 6%, following the rating or rating assigned to the transaction.
- Fees: It has an opening commission of 0.5%.
- Expiration: The maximum maturity or maximum grace period is up to 7 years.
To be eligible for the Enisa Young Entrepreneurs loan line, applicants must be SMEs as defined by the European Union. Beneficiary companies must have their own legal personality and their company must have been incorporated within 24 months prior to the application. The company's main activity and its registered office must take place in Spain and the business model must reflect innovation or some new aspect compared to the current solutions existing in the market. The majority of the company's capital must be in the hands of individuals whose age is not older than 41 and the partners must contribute at least 50% of the amount of the requested loan through capital or through their own funds.
Application deadline for Enisa Young Entrepreneurs
It is a type of financing that is open permanently, but we recommend applying during the first half of the year or at the latest in September to maximize the chances of obtaining the loan.
Can I apply for more than one Enisa loan?
Yes, you can request new funding from Enisa whenever there are changes and growth in the company. Through new capital increases or significant growth in the company's cash flow. In this regard, after successfully applying for and obtaining an Enisa Young Entrepreneurs loan, you can apply for Enisa Entrepreneurs and/or Enisa Growth.
Requirements
The startup must have its own funds (at least) equivalent to 50% of the amount of the loan
The startup must be established no more than 24 months prior to the application.
The startup must have launched the product or service to the market, with certain metrics that validate the project (even if it does not yet monetize or have recurring revenues).
