A replenishment of 400,000 euros from the honorary loan fund, the network financing tool, was granted by the Réunion Region to support new entrepreneurs.
“This support for economic development and local entrepreneurship through a substantial strengthening of the honorary loan fund will help stimulate economic activity and support more promising entrepreneurs in our region”, welcomes Initiative Réunion in a press release. The honorary loan fund, financing tool specific to the Initiative network, is a system offering local entrepreneurs additional financing opportunities and advantageous conditions for the development of their projects. Thanks to this fund, entrepreneurs can benefit from zero-interest loans supplementing traditional financing and, Thus, accelerate the completion of their projects. In order to amplify the impact of this initiative, the Réunion Region has decided to significantly increase the resources allocated to the association’s honorary loan fund. The replenishment of 400,000 euros will concretely provide supported entrepreneurs with total financing of nearly 3,6 million euros, taking into account the leverage effect of the honorary loan Initiative on additional bank and Bpifrance loans.
The honorary loan, a financing lever
The honorary loan is aimed at all entrepreneurs, that they carry innovative projects, job creators or engaged in key sectors for our regional economy. With this new support from the community, the Initiative Réunion network will continue the deployment of its support offers. In 2022, the network financed the creation, the takeover or development of 180 companies by 205 entrepreneurs. These companies created or saved 507 jobs. The network brought 3,4 million euros in honorary loans to entrepreneurs, which allowed them to obtain 11,2 million euros in loans from banks. In 2023, Initiative Réunion plans to support 800 to 1000 project leaders and thus generate around 600 jobs. The sustainability rate of supported businesses is 98% over three years.
Stimulate business creation
For Jacques Guillamot, president of the Réunion Initiative network : “The Réunion Region confirms its commitment to local entrepreneurship and the economic vitality of our region. This intervention demonstrates our common desire to promote entrepreneurship and stimulate business creation and, for this reason, of wealth in our region. We look forward to working closely with new entrepreneurs and supporting them in realizing their projects. »
