Sports credit financing: lost or guarantee fund?

One of the sectors most penalized by a not very rich offer of loans is the sports sector, for which banks do not have a great interest especially when it comes to small, public-type realities, and in any case with an amateur nature and without the aim of profit.

For all these situations the best situation is therefore represented by the Monpick Credit, which in 1959 disbursed its first subsidized loan for the construction of a sports facility. ICS is of the “public” type and has been subject to extraordinary administration since 2011.

 

What kind of loans does the Sports Credit Institute grant?

credit financing

The loans granted can cover needs related to ordinary management or according to conventions, agreements or memoranda of understanding. The formula is that of the mortgage, therefore they are granted in the form of medium or long-term loans, intended for carrying out works or for making purchases, all within the sports facilities.

Accepted requests for financing are covered by accessing two types of fund: the fund set aside for the provision of non-repayable loans in the “interest” account (sports facilities) and the guarantee fund “pursuant to law no. 289/02”.

 

Types of mortgage granted

mortgage loan

  • The ordinary mortgage, with a fixed and variable rate, with a duration of up to 20 years (5 years more for local authorities) and a maximum rate of less than 6%. Facilitations with exemptions on preliminary and management costs for public bodies (amount financed up to $ 5 million);
  • Light sport mortgage, for amounts up to 50 thousand dollars, to be repaid within 5 years, with a choice between fixed rate and variable rate (spread starting from 5%);
  • Energy mortgage which, as the name implies, supports works to improve energy efficiency or linked to renewable sources. It foresees a maximum financeable amount of 350 thousand dollars, with fixed or variable rate, below 6%;
  • The Mortgage complied with the Law, so that sports facilities are adapted to the provisions of the law. The conditions are similar to the ordinary mortgage;
  • Calamitous events mortgage, with a sharp reduction in rates, with interest contribution for the first 15 years for individuals and 20 for institutions at 2%. The mortgage expiration lasts up to 5 years longer, therefore 20 and 25 years respectively.

The request procedures and the necessary documents must always pass for the demonstration of the regularity of the sports association with legal nature belonging at least to a recognized sports promotion body, or of a higher grade.