ROTARY INVESTMENT LOAN

ROMCOM 2025 Credit Application Form

Lender

The Rotary Investment Loan is granted through the Microfinance Company IFN ROMCOM SA (hereinafter “ROMCOM”) from funding sources provided by the Rotary Club.

Purpose of the loan product

• Supporting investments made by newly established enterprises and micro-enterprises, as well as modernization and re-technologization investments in micro-enterprises in production and service sectors, increasing business volume, competitiveness, and sustainability in these sectors.
• Supporting investments made by agricultural entrepreneurs in Romanian agriculture, increasing the competitiveness of Romanian agricultural products, and creating new jobs.

Eligibility Criteria

The Rotary Investment Loan is primarily aimed at entrepreneurs from Bihor County. ROMCOM may also provide funding to entrepreneurs from other counties, subject to available funds.

Entrepreneurs who meet the following eligibility criteria may benefit from funding through the ROMCOM program:

General Criteria:

• Private commercial company, registered and authorized (PFA, II, AF, IF, SRL, SCS), including newly established enterprises (start-ups), liberal professions, and NGOs with a profitable activity;
• Development of a clear business concept to be presented in the funding application;
• Qualification or professional experience of the company’s administrators/employees in the field for which they are requesting funding;

Specific Criteria:

• Annual income up to 120,000 RON (or the equivalent of 30,000 USD);
• The loan will cover a maximum of 85% of the investment cost (including VAT, if applicable);
• Existence of the necessary infrastructure for the project (land, building, utilities, etc.);
• Creation/maintenance of jobs as a result of project implementation;
• Economic feasibility of the project;
• Existence of a guarantee that covers at least 120% of the loan value.

Eligible Activities

The obtained funds can be used for the following purposes:

• Purchasing licenses, software, machines, equipment, new or second-hand machinery;
• Modernization and expansion of production capacity;
• Investments in acquiring, constructing, modernizing, and/or expanding business infrastructure (buildings, production halls, barns, warehouses, greenhouses, etc.);
• Purchasing pedigree animals (milk production, meat, etc.).

Financing Conditions

• The amount that can be granted to an eligible entrepreneur through the Rotary Investment Loan ranges from 3,000 RON to 25,000 RON. Repayment is made in monthly installments.
• For the Rotary Investment Loan, ROMCOM does NOT charge any interest.
• ROMCOM charges an annual administration fee of 5%-10% of the loan amount, which is calculated and paid annually, at the beginning of each year.
• The repayment period for the Rotary Investment Loan is between 6 and 36 months.
• In some cases, a grace period of up to 6 months can be granted, included in the repayment period, during which only the monthly interest will be paid.
• Depending on the nature of the financed activity, the loan may have an atypical repayment schedule, where the interest is paid monthly, and the principal payments are made in unequal installments, with the condition that annual principal repayments are equal.
• The Effective Annual Interest Rate (EAIR) is 14.60% calculated for a 25,000 RON Rotary Investment Loan, granted over 36 months, with a 7% annual administration fee, repaid in equal monthly installments, without a grace period.

Commissions and Guarantees

• For the Rotary Investment Loan, ROMCOM does not charge an application fee.
• The loan will be secured by real estate or movable property, which must cover at least 120% of the loan value.
• Depending on the credit scoring, real guarantees may be supplemented with personal guarantees, such as endorsement of promissory notes and/or surety contracts.
• Notary fees, pledge or mortgage costs, and the cost of insuring the goods used as collateral (if applicable) will be borne by the borrower.
• No early repayment fee is charged for partial or full early repayment of the loan.
• The assets or properties securing the loan will be insured, along with the loan agreement, for the entire loan period. The insurance cost will be borne by the borrower, and the insurance will be assigned to the Microfinance Company IFN ROMCOM SA.

Deadlines and Submission Conditions

To obtain a Rotary Investment Loan, applicants must contact the Microfinance Company IFN ROMCOM SA. Credit applications can be submitted by mail/courier to ROMCOM’s headquarters, submitted directly to ROMCOM’s headquarters, collected by ROMCOM credit consultants, or sent by email to office@romcom.ro.

Credit applications are analyzed, and projects selected for funding are decided within a maximum of 7 days from the receipt of a complete credit application.

Contact Information

The contact details for submitting the credit application file are:

Microfinance Company IFN ROMCOM SA

Gh. Doja Nr. 49A, Oradea, 410169
Phone:      0259 479 793, 0359 173 300
Email:  office@romcom.ro
www.romcom.ro