The JOBS Project leasing scheme is a financial mechanism to support start-up, micro and small enterprises and agricultural producers that would not otherwise have access to credit. The leasing fund is available at each Business Center. Access to the program is contingent on creation of sustainable jobs. The financial leasing tool enables local entrepreneurs to:

• Start a new enterprise
• Expand their business
• Achieve EU quality standards
• Introduce new products
  

Who can apply for JOBS financial leasing?
What can JOBS leasing be used for?
What are the 3 JOBS leasing products? Terms and conditions
What are the JOBS leasing advantages?
Financial leasing scheme impact
Results to date
Required documents

Who can apply for JOBS financial leasing?
Eligible leasing applicants must be registered or operate in any of the regions covered by a JOBS Business Center. The leasing program is open to:

• Active and start-up production and service companies
• Agricultural producers and cooperatives
• Artisans and freelance professionals
• Unemployed people with viable business ideas

What can JOBS leasing be used for?
Financial leases are disbursed for purchase of:

• Manufacturing and service sector equipment
• Agricultural machinery
• Transportation vehicles for your business

Leases can be used for new and used equipment. Equipment for trade companies and consumer use is not allowed.

What are the 3 JOBS leasing products? Terms and conditions

JOBS Leasing
For active and start-up micro and small companies

• Maximum lease amount: BGN 30,000 (15,000 euro)
• Client up-front contribution: minimum 20% of equipment cost
• Lease period: up to 48 months
• Flexible grace period: up to 6 months. The grace period may be used at any time during the lease period depending on the client's choice. The grace period for start-up companies is 9 months, of which up to 6 months can be used during the first year of the lease.
• Repayment: in equal monthly installments
• Collateral: the equipment serves as collateral and must be insured in the name of the JOBS Business Center providing the lease
• Interest: base interest rate plus 10 percentage points. The lease cost* is in the range of 7.8%-8.8% depending on lease duration and grace periods
  

* The lease cost is the real cost of the lease including interest as well as all fees and commissions.

Start with JOBS Leasing
Exclusively for start-up entrepreneurs (within 12 months after company start-up) and registered unemployed people

• Maximum lease amount: BGN 15,000 (7,500 euro)
• Client up-front contribution: minimum 10% of equipment cost
• Flexible grace period: up to 9 months (maximum 6 months in the first year of the lease)
• All other terms and conditions are identical with JOBS Leasing
  

JOBS AgriLeasing
For agricultural producers and service providers using agricultural equipment

• Maximum lease amount: BGN 30,000 (15,000 euro) - with an option up to BGN 35,000 (17,500 euro) for new agricultural equipment subject to registration
• Client up-front contribution: minimum 20% of equipment cost
• Flexible grace period: up to 9 months (maximum 6 months in the first year of the lease)
• All other terms and conditions are identical with JOBS Leasing
  

Example: Calculation of monthly installments in BGN*

Lease amount outstanding	5000	15 000	30 000
Monthly installment	137	410	820

*Lease duration: 48 months with no grace period.
Base interest rate fixed by the Bulgarian National Bank: 4.01% as at 1 July 2007

What are the JOBS leasing advantages?

• No fees and commissions
• No mortgage or other collateral required
• No penalty charges for early payment
• Flexible grace period to best meet the needs of your business
• Assistance with preparing your application documents
• Clients are free to suggest suppliers
• Advisory support and assistance to find markets
• For start-up companies - free training and preparation of business plan
• For existing companies - no business plan required

Financial leasing scheme impact

The JOBS Project financial leasing scheme:

• promotes local economic development by enabling enterprises to create new jobs and safeguard sustainable employment
• allows start-up, micro and small enterprises to demonstrate a successful credit history and thus become trustworthy bankable clients
• provides access to vital equipment for enterprise development
• increases the entrepreneurial capacity of micro and small enterprises through business training and advisory services.
  
  

Results to date

At end-June 2007:
1,440 companies approved to access JOBS Project financial leasing scheme
BGN 13.7 million (6.85 million euro) disbursed in leases under the project
About 35% of leases is for agricultural producers
3.5% of clients are unemployed people financed under the Start-with-Leasing program
26% of supported clients are start-ups

Required documentation

For natural persons
(people providing services as personal contractors, artisans, agricultural producers and unemployed persons):

• Financial leasing scheme application form
• Lease client database form
• Business plan - for start-up companies
• Registration card (for agricultural producers), certificate on entry in the craft artisans register (for artisans), certificate on unemployment registration (for unemployed people)
• Declaration on performance of work under Chapter 14 of the Taxation of the Income of Natural Persons Act (for people providing services as individual contractors)
• Certificate from the National Revenue Agency on tax obligations outstanding
• At least 3 offers for the requested equipment (exceptions are possible for non-standard or unique machinery/equipment, where 3 suppliers cannot be found in Bulgaria)
• Statement on selection of the best offer signed by the applicant and the Business Center.
  

For sole proprietors and commercial companies:

• Financial leasing scheme application form
• Lease client database form
• Business plan - for start-up companies
• Court decision on company's entry in the commercial register
• Certificate of good standing issued no earlier than 1 month prior to submission of application
• Certificate on tax registration
• Certificate on BULSTAT registration
• Company's income statement from the previous year (not required for start-up companies)
• Company's balance sheet from the previous year (not required for companies with single-entry book-keeping and start-up companies)
• Copy from the company's ledger of fixed assets and depreciation plan (if applicable)
• Tax return from the previous year endorsed by the tax office (not required for start-up companies)
• Certificate from the National revenue Agency on tax obligations outstanding (not required for start-up companies incorporated as juridical persons)
• Decision by the General Assembly / Executive Board / Board of Directors / the sole owner authorizing the applicant: (i) to lease equipment under the JOBS Project financial leasing scheme; (ii) to sign a promissory note and a special pledge agreement on behalf of the company specifying the JOBS Business Center as the beneficiary (for commercial companies only)
• At least 3 offers for the requested equipment (exceptions are possible for non-standard or unique machinery/equipment/items, where 3 suppliers cannot be found in Bulgaria)
• Statement on selection of the best offer signed by the applicant and the Business Center.