Classic Guarantee of the Hamburg Guarantee Bank

The Classic Guarantee from Bürgschaftsbank Hamburg supports start-ups, business successors, as well as young and established small and medium-sized enterprises (SMEs) and freelancers from all sectors in Hamburg in obtaining credit. As a default guarantee, Bürgschaftsbank assumes up to 80% of the loan or guarantee credit risk vis-à-vis the house bank, thereby enabling projects that would not be feasible without sufficient collateral. Per borrowing unit, a guarantee rate of up to 80% and a maximum amount of €2 million is possible; the total term is up to 180 months. The digital application process via the house bank allows for straightforward submission of standard banking documents such as annual financial statements and financing plans. A one-time processing fee of 1.50% of the loan amount (minimum €250) applies; the annual guarantee commission amounts to 1.25% p.a. and is calculated based on the loan balance as of December 31.

Eligible for funding are companies according to the EU SME definition with economically viable projects in the areas of investments or working capital, as well as start-ups or business successions in Hamburg. Key criteria include the creditworthiness of the applicants, the economic viability of the project, and its regional employment impact. Applications can be submitted digitally at any time via the house bank; a “Declaration for Release from Confidentiality and Data Protection” is provided if needed. Through this risk mitigation, the default risk for the house bank is reduced to 20%, making financing for strengthening Hamburg’s SME sector practical and future-oriented.