Regional Bank Corona also has a new financing framework to support SMEs at 11:03 on August 10
Sales are declining due to the new coronavirus, and an increasing number of small and medium-sized enterprises are concerned about their financial base. There is a growing trend among local banks to support these companies through a new lending framework.
Of these, the Bank of Yokohama prepared a loan called "subordinated loan". The interest rate is set at around 1% per year, which is higher than usual, but it is not necessary to repay the principal for up to 15 years, which is characteristic of companies that can improve their financial base.
An auto parts manufacturer in Yokohama, whose sales have fallen due to the new coronavirus, also raised 200 million yen in a subordinated loan.
"Form" President Masatoshi Toya said, "Because you only have to pay the interest rate until the principal is repaid, the burden is small. The financial base is stable."
According to the Bank of Yokohama, about 10 companies have already applied for this loan, so Akihiko Bandai said, “There are some clients who do not have the conventional loans. I want to do it."
In addition, the Juroku Bank in Gifu Prefecture and the Yamaguchi Bank in Yamaguchi Prefecture are also proceeding with similar efforts, and by establishing a new lending framework in addition to real interest-free and unsecured lending among regional banks, There is a growing movement to support cash flow.
The company that borrowed the "subordinated loan"
Form, a small and medium-sized enterprise in Kohoku Ward, Yokohama City, is an auto parts manufacturer with a founding of 70 years and employs about 300 people.
Due to the cold demand due to the spread of the new coronavirus infection, orders decreased drastically, and the final profit and loss was in the red in the June financial year.
Therefore, the company borrowed 200 million yen from the Bank of Yokohama in a subordinated loan at the end of the fiscal year. Masatoshi Totani says he can concentrate on recovering his business results because he does not have to repay the principal in a short period of time.
In addition, the subordinated loan will also improve the financial base, so it is expected to enhance the creditworthiness of the company.
President Tomiya said, “In April and May, sales have decreased to half of the previous year. We expect that sales will decrease by about 30% compared to the plan next month (September). Future prospects do not stand Among them, this loan is very helpful."