The Lбnchнd (meaning chain bridge) Factoring Programme, a new subsidy scheme created by the Ministry of Economic Affairs and Transport, was announced at a press meeting yesterday (9 October) by deputy state secretary, Ms Apatini.
To help solve short-term liquidity problems of micro and small enterprises, the use of factoring services are to be subsidised for interest charges payable to factors by 5% annually, with a cap of HUF 3 million (Ђ11,700) per seller. This may generate funds in use of some HUF 60 million (Ђ235,300) for each company. Subsidies may be used to factor invoices with no longer than 90 days credit terms and up to 90 days from the day of advance.
A total budget of HUF 700 million (Ђ 2.7m) has been earmarked for the programme’s first year.
