Micro Finance in Germany
The German Government launched the DMI (Deutsches Mikrofinanzinstitut) in order to originate an alternative way for small scale businesses and start ups to access the capital markets. This goes hand in hand with the recent deficits within the small scale financing opportunities in Germany. The Kapitalinstitut Deutschland GmbH & Co KG is an accredited partner institution of the DMI-Deutsches Mikrofinanz Insitut e.V. Within this partnership we offer microcredits of up to 20.000 Euro to founders, small scale businesses and entrepreneurs. Microcredits have become popular among medium sized business and offer the following benefits:
- Access to loans of up to 20.000 €, that are often not issued by traditional banks.
- Quick and convenient to receive. A lean and efficiently structured credit processing system enables us to pay out micro credits fast – according to your needs.
- Credit decision is not exclusively based on traditional indicators such as Schufa, accounting, balance sheets and numerical factors. Personal perspective is considered.
- Partner financing together with other banks, government development funds & subsidies are generally possible (co-financing).
- Microcredits are available Germany wide.
- Uncommon credit collaterals are usually accepted.
- Free unscheduled repayments are possible any time.
Microcredits stand for a more personal relationship between creditor and debtor and follow the principles of: “Consulting – Financing – Supporting”. As a micro finance institution we aim to work closely with our clients to ensure a personalized as well as a successful credit experience.
Advantages over traditional bank loans
- Quick credit payment (Maximum of 3 weeks after completion of the application).
- Flexible and individual arrangement over credit collaterals. This is particularly important to give young business founders access to credits and capital.
- No specific industry preferences.
Terms and conditions of microcredits
- Micro credits are only paid out to investments, businesses and founders that are located in the Federal Republic of Germany. This includes a possible financing of entrepreneurial ideas as well as sideline businesses. Farmers, ”Freie Berufe” and several other professions are not excluded and can apply for a loan.
Maximum amount of credit
- 10.000 € first microcredit
- 15.000 € following microcredit (after repayment of first loan)
- 20.000 € all following microcredit
- The credit ceiling may be increased for a project that involves a multiple of credit applicants. Credits are based on the person and not on the business project.
Duration: 1-36 months, standard repayment rates. Bullet repayments are possible.
Interest rates: currently 8,56 % nom. (8,9 % eff. p.a.) – national standard rate in Germany is determined by the Mikrokreditfonds (Date: 16.02.2012)
Collaterals are not necessarily required, but will improve the likelihood of the credit acceptance. Common micro credit collaterals are:
- Objects (Car, Motorbike etc.)
- Assignment of claim
We also take into account available wealth resources such as a life insurance, savings or investments that will positively affect the credit decision.
It is entirely free to apply and to request a micro credit. Also we will not charge for early repayments or bullet payments. However for delays and late repayments a service fee may be charged.
Credit request form
If you are interested in applying for a microcredit from Kapitalinstitut Deutschland GmbH & Co. KG please fill in our online form to request further information and a first evaluation of your profile. The provided information will help us determine your credit profile to send you a personalized micro credit offer. For this purpose, please be honest and truthful with your application, otherwise we may not be able to process your request. This service is free and does not represent a commitment to any of our products. Please feel free to call us under: +49 (0) 98 31 / 88 55 700 to ask for further information.
Your personal credit consultant will contact you and send you further details to keep you up to date with your application as soon as we receive your request.
- Credits of 10.000 Euro will only be issued together with appropriate collaterals.
- The online application form can be navigated within the blue bar on the top of the form.