The Generalitat, through the Institut Català de Finances (ICF), has made more than 1,000 million euros available to companies, entities, and self-employed individuals to meet liquidity needs arising from the coronavirus crisis. Throughout this year, the public bank has activated various financing channels to support and strengthen the Catalan productive fabric that has needed additional resources to overcome the consequences of covid.
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Among this package of credits is the ICF Eurocrèdit covid-19 loan line, which has a budget of 70 million euros and is 100% financed by the European Regional Development Funds (ERDF) of the European Union. With the support of the Department of Vice-presidency and Economy, the Government thus seeks to mitigate the negative effects on companies and preserve the continuity of economic activity during and after covid.
Since early April, SMEs and self-employed individuals can also apply for ICF Avalis Liquiditat loans, with credits ranging from 50,000 euros to one million euros, or resort to ICF Crèdit covid-19, a line of loans and guarantees endowed with a fund of 700 million euros.
These lines, as well as others aimed at sectors most affected by the pandemic, have allowed supporting the business fabric and addressing the different needs of companies not only looking at the present but also at the future.
Luis Alonso, CFO of Atrápalo: "Overcoming the pandemic tsunami"
The leisure and travel portal Atrápalo has suffered three major consequences derived from the pandemic: the total paralysis of activity, cancellations, and having lost all activity and work done in the months prior to the summer season. For Alonso, the great challenge now is to overcome the uncertainty and doubts that still hover on the path back to activity.
The ICF Crèdit covid-19 loan to facilitate liquidity has allowed them to mitigate these three factors. "Above all, it has given us security to ensure the solvency and future of the company." The Atrápalo executive believes that they are now better prepared to face what is to come and to overcome the tsunami that the pandemic has brought.
Jordi Herreruela, director Festival Cruïlla: "We have had to reinvent ourselves"
The pandemic caught the organizers of one of the most prominent events on Barcelona's music scene and agenda unprepared. Music festivals hosted acts with thousands of people, multiple stages, and several programmed days. With covid, everything changed. The director of Cruïlla explains how the festival has had to reinvent itself. First, they created Cruïlla XXS, a new format proposal for 200, 400, or 800 people in nine spaces across the city.
They also refunded the money to the public who preferred it due to the cancellation of the usual edition. Through the ICF Cultura Liquiditat, a loan for cultural companies, they have been able to refund the amount of these tickets and project a new format adapted to the reality of the moment.
Francesc Bargalló, manager Olis Bargalló: "We have financed a part of the risk and very quickly"
The restaurant sector accounts for practically one hundred percent of Olis Bargalló's turnover. A small percentage corresponds to the retail sector. With covid, this family business has seen a 90% loss in sales and has opted for external financing to overcome the crisis and pay suppliers, while the staff was on a temporary employment regulation file (ERTE).
Bargalló has resorted to the ICF-Avalis Liquiditat covid-19, a loan with a 100% guarantee, to finance part of the risk they were exposed to due to the situation. "It was very fast, in a few days we obtained the financing and it went very well," explains the company's manager.
Elvira Garcia, manager Inoxforma: "We wanted to have more cash flow"
This Catalan industrial company specializes in stainless steel. And it does so for three sectors: food, electrical-electronic, and valve manufacturing. The outbreak of the virus paralyzed everything overnight. And, as its manager, Elvira Garcia, explains, the new situation, with weeks of confinement, led to working again under conditions that are not usual. Inoxforma applied for the ICF Eurocrèdit covid-19, a loan with European funds, to have better cash flow in anticipation of any problems that might arise. If the situation improved sooner than expected, they would allocate this amount to investments.
Miquel Àngel Oliva, general director of Abacus Cooperativa: "They have given us the boost we needed"
Almost a million members, six hundred workers, and a history of more than fifty years. Abacus Cooperativa has a recognized business trajectory. However, the more than fifty establishments open to the public closed their doors for almost three months. And this impacted the entire organization. Although the strategic bet on the online channel allowed the situation to improve a little, it was not enough to compensate for the closure of stores.
"We have endured a very difficult situation, better than other companies in the retail sector," explains its director, Miquel Àngel Oliva. Abacus applied for the ICF Crèdit covid-19, a guarantee before other financial entities. Through Caixa d'Enginyers, they have been able to receive the boost they needed to overcome a situation they define as highly complex.