The state of Burgenland wants to help small and medium-sized enterprises (SMEs) through the corona crisis with an investment fund. The state will invest 50,000 to 500,000 euros in businesses through the “Vorwärts Burgenland” fund. In a first phase, three million euros are initially available, said Economic Councilor Leonhard Schneemann (SPÖ) at a press conference on Monday.
The companies are to be supported with equity. “These equity-strengthening measures also make it possible to raise additional outside capital,” emphasized Schneemann. The aim is to stabilize the companies, to “help them survive in their existence” and to return economically as quickly as possible to the pre-crisis level. In addition, the measure “keeps the line in the direction of further aid and support free” for companies.
According to Harald Zagiczek, Managing Director of the Burgenland Business Agency, the target group of the investment fund are SMEs from all sectors that are based in Burgenland and have growth opportunities. You can find out more on the homepage www.vorwaerts-burgenland.at and contact the management of the fund. Above all, atypical silent partnerships would be sought, the companies would not have to cede any business participation. The business agency through which the participation is handled will never appear in the majority. “The entrepreneur remains the captain, but gets a reliable partner on board,” emphasized Zagiczek. The term is up to ten years.
The investment fund is managed by the business agency's Athena fund, said co-managing director Michael Gerbavsits. The business agency has been the sole owner of the Athena Fund since mid-December. Here, too, innovations are planned: The fund is to be merged with the BRB fund (BRB Burgenland Risk Capital Participations) to form an investment fund, announced Gerbavsits. The business agency is currently involved in providing venture capital in twelve companies.
