Financial planning when setting up a business

Table of content

Financial planning

Applying for financing during the setting up of a company requires careful planning and financial calculations. You can draw up business and performance plans using the electronic tool provided in My Enterprise Finland service. These plans are also required as attachments to the financing application submitted to Finnvera.

The financing requirement usually becomes clear when you prepare a business plan for your company. The minimum amount for Finnvera’s guarantees is 10,000 euros. 

Start Guarantee

It's often most convenient to apply for financing from a bank. However, if you are seeking a loan from a bank but do not have the collateral required by the bank, a Start Guarantee provided by Finnvera may be the solution. The Start guarantee is also well suited for small financing needs, as the minimum amount of the loan guaranteed by the initial guarantee is EUR 12,500.

The bank submits the application for the guarantees directly to Finnvera on your behalf. The loan and repayment terms are in accordance with the loan agreement concluded with the bank. When a Start Guarantee is used, Finnvera’s guarantee coverage can be at most 80 %. However, the total sum of Start Guarantees granted to one enterprise may not exceed EUR 80,000. Finnvera does not require a self-financing contribution to the project, but its amount is negotiated with the bank granting the loan.

If Start Guarantee is not applicable for your company's financing need, you can apply for Finnvera Guarantee through our Online Service or ask your bank to apply it on your company's behalf.

Financing contributions and self-financing

Finnvera Guarantee's co-financing rate is case-specific. In start-up company's financing Finnvera's contribution can be up to 80% of the project.

Self-financing

The self-financing requirement depends on the content of the project. In investments, Finnvera typically requires that 15 % of the funding is provided as self-financing, while in company acquisitions and generational transfers the requirement is 20 %.