[ S.L.463.08 MICRO LOAN GUARANTEE 1 SUBSIDIARY LEGISLATION 463.08 MICRO LOAN GUARANTEE REGULATIONS 1st January, 2013 * LEGAL NOTICE 101 of 2013, as amended by Legal Notice 428 of 2013, and 143 of
- The title of these regulations is the Micro Loan Guarantee Regulations.
- In these regulations unless the context otherwise requires - "assisted loan" means a loan granted by a licensed commercial bank in terms of this Act and the repayment of which loan is partially guaranteed by the Corporation; Citation. Interpretation. Amended by: L.N. 428 of 2013; L.N.143 of
- "Corporation" means the Malta Enterprise Corporation established under the Malta Enterprise Act; Cap.
- "eligible enterprise" means an undertaking employing between one to fifty persons (including the employer) whose annual turnover does not exceed the sum of ten million euro (€10,000,000), and whose balance sheet total for the fiscal year preceding the date of application shall not exceed ten million euro (€10,000,000) or such other number of persons, net value of plant, machinery or equipment, or any other amount of annual turnover or balance sheet total as may be prescribed in the Guidelines: "family business" shall have the meaning assigned to it by the Family Business Act; Cap.
- Provided that the undertaking is not linked to any undertaking operating in Malta that has already been assisted in terms of these regulations; "Guidelines" means such guidelines that may be published by the Corporation from time to time in accordance with these regulations; "Minister" means the Minister responsible for industry; "qualifying activity" means an economic activity consisting of a trade or business that may contribute to the economic development of Malta: Provided that an undertaking shall not qualify for the assistance provided by these regulations if such undertaking operates any of the following sectors: (a) fisheries or agriculture; (b) primary production of agriculture products; (c) financial and insurance activities; (d) gambling including online gambling; and *see regulation 1
(2)of these Regulations as originally promulgated. 2 [ S.L.463.08 Cap.
- Cap.
- Qualifying small enterprises. Amended by: L.N. 428 of 2013; L.N.143 of
- MICRO LOAN GUARANTEE "undertaking" means any self-employed person or any commercial partnership constituted under the Companies Act, or any co-operative society duly registered as such under the Cooperative Societies Act. 3.
(1)An eligible enterprise carrying on or carrying out, or intending to carry on or carry out in Malta a qualifying activity, which fails to obtain a conventional loan, may be considered by the Corporation to be eligible for an assisted loan in terms of these regulations.
(2)An application for an assisted loan shall only be considered by the Corporation if it is intended exclusively for the acquisition of tangible assets, intangible assets and working capital linked to such acquisitions. Maximum limit of assisted loans.
- Assisted loans under these regulations may not exceed the maximum limit of one hundred thousand euro (€100,000) or such other maximum limit as may be prescribed in the Guidelines. Term of the guarantee. Amended by: L.N. 428 of
- The term of any assisted loan shall be for a maximum period of ten years from the date of the grant of the respective loan. Extent of the guarantee. Amended by: L.N. 428 of 2013; L.N.143 of
- 6.
(1)The Corporation’s guarantee exposure regarding an assisted loan shall not exceed at any moment in time eighty per centum of the total outstanding loan balance due to the bank which shall not exceed the sum of eighty thousand euro (€80,000): Provided that as from the 1st January 2017, the Corporation’s guarantee exposure regarding an assisted loan shall not exceed at any moment in time eighty per centum of the total outstanding loan balance due to the bank which shall not exceed the sum as prescribed in the Guidelines.
(2)The Corporation’s guarantee of the repayment of an assisted loan shall be subsidiary to the principal liability of the eligible enterprise to whom an assisted loan has been granted. Monitoring of a scheme loan. Re-numbered and amended by: L.N. 428 of 2013. 7. An eligible enterprise qualifying for an assisted loan shall (
- a)furnish to the Corporation and the bank such information and other documents which the Corporation or the bank may deem to be necessary for the purpose of these regulations; (
- b)provide the Corporation and the bank with reasonable access to all premises, places, books and other documents, and allow copies to be made for the purposes of these regulations. Right of refusal. Re-numbered and amended by: L.N. 428 of 2013. 8. Notwithstanding anything contained in the foregoing provisions of these regulations, the Corporation shall have the right to declare not eligible any application under these regulations.