Risk Finance Aid: Facilitating Access to Finance for SMEs, Start-Ups and Small or Innovative Middle-Capitalisation Firms

European State Aid Law Quarterly, Volume 21, Issue 3, pp. 222 - 236, 2022 DOI: https://doi.org/10.21552/estal/2022/3/3

Posted: 10 Nov 2022

See all articles by Gianni De Stefano

Gianni De Stefano

European Commission

Wouter Dutillieux

KU Leuven - Faculty of Business and Economics (FEB); European Union - European Commission

Date Written: October 5, 2022

Abstract

SMEs are the backbone of Member States’ economies, and are central to the EU’s economic development and resilience as a whole. Risk finance aid addresses market failures or other relevant obstacles that prevent SMEs and certain other non-large enterprises (ie, start-ups or certain middle-capitalisation firms (mid-caps), namely small or innovative mid-caps) from attracting the financing they require (eg, loans, guarantees or equity) to develop to their full potential. Risk finance aid for SMEs and start-ups, up to €15 million per beneficiary, can be block-exempted under the General Block Exemption Regulation (GBER); whereas aid to innovative or small mid-caps, or aid that goes beyond the GBER conditions, can be notified by the Member State and approved by the European Commission under the Risk Finance Guidelines. This article describes the revised Risk Finance Guidelines of 2021 and the ongoing revision of the GBER section on risk finance.

Keywords: Risk finance, risk capital, SMEs, start-ups, mid-caps, access to finance, GBER; Risk Finance Guidelines

Suggested Citation

De Stefano, Gianni and Dutillieux, Wouter, Risk Finance Aid: Facilitating Access to Finance for SMEs, Start-Ups and Small or Innovative Middle-Capitalisation Firms (October 5, 2022). European State Aid Law Quarterly, Volume 21, Issue 3, pp. 222 - 236, 2022 DOI: https://doi.org/10.21552/estal/2022/3/3, Available at SSRN: https://ssrn.com/abstract=4242016

Gianni De Stefano

European Commission ( email )

Place Madou, Madouplein 1
Saint-Josse-ten-Noode/Sint-Joost-ten-Noode
Brussels, B-1049
Belgium

Wouter Dutillieux (Contact Author)

KU Leuven - Faculty of Business and Economics (FEB) ( email )

Naamsestraat 69
Leuven, B-3000
Belgium

European Union - European Commission ( email )

Rue de la Loi 200
Brussels, B-1049
Belgium

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