2020 INDUSTRIAL REINDUSTRIALIZATION AND COMPETITIVENESS STRENGTHENING PROGRAM Approved
The purpose of this edition will be to promote the consolidation of industry following the crisis derived from COVID-19
From IMPULSO, we are pleased to inform you that the Council of Ministers yesterday approved the 2020 Industrial Reindustrialization and Competitiveness Strengthening Program, also known as the “Reindus Program”.
The purpose will be to promote the consolidation of industry after the crisis derived from COVID-19, for which it has a budget of 340.9 million euros.
Below, we summarize the main characteristics of these grants:
BENEFICIARIES
In this year’s edition, beneficiaries are companies affected by economic damages arising from the COVID-19 outbreak, legally constituted in Spain, that carry out a productive industrial activity (CNAEs 10 to 32 and 38.3.), regardless of their size, and that are not part of the public sector.
TYPES OF PROJECTS
· Improvements and/or modifications of production lines.
· Productive implementation of “Connected Industry 4.0” technologies (intelligent systems, sensors, virtual reality and 3D printing, robotics, and unmanned vehicles within the industrial establishment, …).
· Reduction of greenhouse gas emissions, reduction of vulnerability to the impacts of climate change, pollution prevention, or introduction of the circular economy into the production process.
ELIGIBLE CONCEPTS
· Production machinery and equipment, excluding external transport elements. These can be new or used.
· Production process engineering: own staff, materials, and external collaborations necessary for process design and/or redesign.
PROJECT REQUIREMENTS
· Investment execution period: from February 1, 2020, to December 31, 2020.
· Minimum budget of €100,000.
· Private financing: at least 25% of the investment.
· Improvements and/or modifications of production lines: The expense allocated to the production process engineering item may not exceed 30% of the budget for the acquisition of production machinery and equipment. Within this item, own staff expenses will be limited to 5% of the budget for the acquisition of production machinery and equipment.
· Productive implementation of “Connected Industry 4.0” technologies: The expense allocated to the production process engineering item may not exceed the budget for the acquisition of production machinery and equipment. Within this item, own staff expenses will be limited to 15% of the budget for the acquisition of production machinery and equipment.
TYPE AND INTENSITY OF SUPPORT
Loan of up to 75% of the eligible budget (maximum €800,000 per beneficiary) with 6 years of amortization and 3 years of grace period at a variable interest rate depending on the type of company.
Beneficiary Type Interest Year 1 Interest Years 2 3 Interest Years 4, 5 6
SMEs 0.1% 0.19% 0.69%
Large companies 0.19% 0.69% 1.69%
A technical guarantee of 20% of the proposed loan must be provided, with a bank guarantee or SGR being valid. The date for the constitution of guarantees has been changed to after the Grant Resolution.
Why is Reindus financing more advantageous than bank financing?
- The main reason is that it does not count towards CIRBE, meaning it does not affect the company’s financial risk.
- By term: the amortization period is 6 years with a 3-year grace period, during which only interest would be paid.
- By having a fixed interest rate: The payment is annual, which avoids committing the company’s liquidity monthly.
- By cost:
- It does not require notary intervention.
- It does not require attending any signing. Directly, at the end of the year, the Public Treasury issues a transfer to the account previously designated during the application process.
- It has no associated costs such as study, opening, partial or total cancellation.
SUBMISSION DEADLINE
The deadline for submitting applications will be 20/08/2020.
29/07/2020
