From April 29 to July 1, 2020, more than 600 startups, scale-ups and innovative SMEs received a Corona-OverbruggeningsLening (COL) for an expected total amount of €217 million. This is according to the interim report by Techleap.nl, which manages and analyzes the COL portal. The Corona-OverbruggingsLening (COL) is an emergency loan made available by the Ministry of Economic Affairs and Climate for innovative entrepreneurs and SMEs without a bank credit relationship who have run into financial difficulties due to COVID-19.
A large proportion of the companies that received a COL are those that are already in a scale-up phase and/or have an investor on board. Thus, these are primarily companies with proven innovation and a sustainable business model. Companies from the Hightech, Medtech and Life Sciences sectors were most often granted bridging loans in percentage terms.
Animosity is high
Nearly 1,800 companies applied for more than 630 million euros through the COL from April 29 to July 1, the reference date for the interim report. The vast majority (74 percent) of applicants applied for bridging loans in the €50,000-250,000 category, with a median of €240,000. Most applications (59 percent) came from startups, followed by scale-ups (23 percent).
Of all applications up to July 1, the forecast is that around 40% will eventually be awarded. €217 million is expected to be disbursed for applications up to July 1. A total of €300 million has been made available for the COL by the Cabinet. The remaining €83 million is expected to be disbursed before Oct. 1, the end date of the COL.
Maurice van Tilburg, Director Capital, Techleap.nl: "We are pleased that we have already been able to support so many companies with their application for COL funding. As knowledge partner and manager of the COL portal, we will continue to analyze the data to see if the COL is doing what it was set up to do. And of course, as the bridge funding nears its end, we will continue to work with our partners to find solutions that will help our innovative tech companies get through the crisis in the long term as well."
Rinke Zonneveld, Director InnovationQuarter and chairman of the joint regional development companies: "Startups and scale-ups disproportionately invest in R&D, develop key technologies, such as artificial intelligence, biotechnology and photonics, and rapidly translate these into innovative services and products. Often their products and services also help solve societal challenges. We desperately need these innovators. That is why we are proud that we as regional development companies have been able to provide these bridging loans and thereby help so many innovative companies."
The Corona-OverbruggingsLening (COL) is an emergency loan for innovative entrepreneurs and SMEs without a bank credit relationship who have run into financial difficulties due to CoVID-19. This scheme was created in intensive cooperation between the Ministry of Economic Affairs and Climate (EZK), the joint Regional Development Companies (ROMs) and Techleap.nl with also close involvement of Invest-NL. At the request of EZK, the ROMs provide bridging loans between €50,000 and €2 million.