SP Agency of promotion launches line for franchises
Folha de S. Paulo
Nossa Caixa Desenvolvimento will launch in the coming days a credit line to cater to businesses in the franchising model. With an interest rate of 0.65% a month, plus the IPC-Fipe (Consumer Price Index issued by the Economic Research Institute Foundation), it will cater to projects of development of the first franchise, expansions and improvements. The loans may cover up to 70% of the project, with maximum period of 60 months for repayment, on case-by-case basis.
The final details should be negotiated at a meeting of the Board of Directors this week. The line will not have a defined limit of funds. It will be extended up to the value of the capital the institution has to make loans, that is R$ 1 billion (US$ 588.2 million).
The Agency, which began its activities in 2009, registered, in March, nearly R$ 300 million (US$ 155.4 million) in disbursements for the funding of small and medium-sized enterprises in the State of São Paulo. With the entrance of new line it should get to R$ 750 million (US$ 441.2 million) in disbursements this year, according to Milton de Melo Santos, President of the entity. "We have to deal with the fact we are still little known in the market and also with some fear of the entrepreneur to take loans", says Santos. The sector of oil and gas is another that should boost the increase of the loans. "In the supply chain in the sector there is a very large number of companies beginning to get installed in São Paulo to provide their products and services", he says.