A loan to get through the COVID-19 pandemic
KRALENDIJK, May 25, 2020 – Qredits offers entrepreneurs financing to bridge through this challenging crisis. From today, entrepreneurs in the Small and Medium-sized Enterprises (SME) sector can apply for a so-called COVID-19 bridging loan from Qredits. This financing comes in the form of a microcredit of up to $25,000, with an interest rate of 2% in the first year.
Qredits provides a solution for small entrepreneurs in their search for liquidity to withstand the crisis. "Despite the easing of measures to curb the coronavirus, many entrepreneurs are still being severely affected by the crisis. This low-cost credit facility is intended to help bridge the burdens during the crisis. In this way, we can support thousands of SMEs to survive this coronavirus crisis," said Elwin Groenevelt, CEO of Qredits.
The COVID-19 bridging loan is intended for existing entrepreneurs. The loan term is a maximum of 48 months, with the entrepreneur being exempt from repayments for the first 6 months. This repayment-free period can, if necessary, be extended to 12 months. The entrepreneur pays 2% interest on the loan amount in the first year, after which the interest rate rises to 6.75%. Importantly, the entrepreneur can repay the loan at any time without penalty. Since this is a bridging loan related to the COVID-19 crisis, the product is not suitable for start-ups.
Additionally, Qredits is grateful to the government of Bonaire. Thanks to their contribution, it is now possible for entrepreneurs who were not yet clients of Qredits to also access the COVID-19 bridging loan at Qredits Bonaire. Entrepreneurs with an innovative and viable idea can also turn to Qredits for a Microloan during this crisis period. Interested in a Microcredit or want more information about our loans?
In mid-March, Minister Wiebes announced during a press conference in the Netherlands that Qredits, with support from the Ministry of Economic Affairs & Climate, introduced an additional support measure for its loan clients. Any entrepreneur with a loan from Qredits could request a deferral of repayment for a period of six months. During this period, the client only pays 2% interest. This way, the client does not have to make repayments temporarily and pays significantly less interest. This provides substantial support to entrepreneurs in keeping afloat.
By now, more than 55% of Qredits' clients on Bonaire have gratefully taken advantage of this scheme.
Qredits also offers Crisis Coaching during these times. Entrepreneurs can turn to this service to brainstorm solutions for the challenges currently facing their businesses. For entrepreneurs seeking knowledge and inspiration during this period, Qredits, in collaboration with Google.org, developed a websitefull of tips and articles with information about the COVID-19 crisis. The site features practical blogs on topics such as thinking in opportunities, coping with revenue loss, and staying positive during a crisis. Downloadable templates to quickly assess your financial situation and tips on staying visible during this period are also available.
On the Qredits Bonaire Facebook page, a portion of these articles is also shared in Papiamento. Because it’s more than just credit—especially during these challenging times, and that’s what Qredits stands for. Milagros Blanken, Branch Manager Bonaire, said, "As a small island, our economic challenges are significant. Additionally, the end of the crisis period and its aftermath are still unpredictable. As a result, we are constantly working on ways to support local entrepreneurs in surviving this crisis. Now, more than ever, our role as a social lender is crucial." Discover what else we are doing for entrepreneurs.
