We see all the useful information regarding the Youth Guarantee 2019 loans. The necessary requirements to access the facilities and the main characteristics of the loan with the amount that we can receive and additional services. Finally, how to obtain non -repayable loans, with the methods of requesting and disbursing the amount.
Youth Guarantee: what this European project is and how it works
One of the main problems that currently exist in Italy is undoubtedly that of youth unemployment. The number of boys and girls who are without work is far too high. To try to reduce the rate of youth unemployment, the European Union has launched the Youth Guarantee project, aimed at all Member States with a youth unemployment rate of over 25%. Unfortunately, our country falls into this category, and therefore all residents can access the various facilities related to this project. In this article, we will focus on the youth loan, which is probably the most important aid that is promoted by the EU through Youth Guarantee, but this is not the only service that can be accessed.
As reported on the official website of the Youth Guarantee in fact, according to the European Recommendation of 2013, Italy is required to guarantee to young people under 30 a valid job offer. Alternatively, the continuation of the studies, or an apprenticeship or traineeship contract within 4 months from the end of the studies or from the beginning of unemployment must be guaranteed. In particular, the initiatives promoted thanks to the Youth Guarantee project are aimed at a particular category of young people that is identified under the abbreviation Neet ( Not in Education, Employment or Training ), that is, those who are not included in a scholastic or educational path and at the same time do not have an occupation. So if you are young and have finished your studies the Italian State must provide you with good job offers. Garanzia Giovani offers valid tools that insert the boys and girls who live in our territory in the world of work.
Those to whom these tools are addressed are young people between the ages of 15 and 29. To access the various initiatives proposed you must register on the website by entering all the personal data that are required. The ” profiling ” service that can be found on the site is very important. On the basis of a series of demographic, territorial, family and individual variables, the young person can be profiled in order to identify the best proposals. Every young person can access training courses that are very useful for learning a job that can be the basis for entering the world of work. Garanzia Giovani will offer a support service that will allow any young person to find the most suitable job based on their knowledge and the sector in which they intend to operate. So all the young unemployed will finally have the chance to start their working life.
Youth Guarantee Loans 2019: requirements required to access the loan
Alongside the numerous projects that are aimed at those who are looking for employment, a very important product is the Youth Guarantee 2019 loan. This is the opportunity that the European Union offers to boys and girls resident in Italy who intend to start their own business. We all know how complicated it is to realize a project, with all the costs involved in starting a business, and everything is even more complicated if it is a young person who wants to start it. In this case it is essential to receive funding, but at the same time a young unemployed person is not offered a loan from a credit institution. This is the main reason for the Guarantee Youth loans, which offer a unique opportunity for young people living in Italy. The loans that can be accessed are also very convenient thanks to the European funds.
So we see in particular those who are facing the Youth Guarantee loans, with the necessary requirements to submit the application. As we said earlier, the category of young people to whom this support for self-entrepreneurship refers is that of the Neet, that is, those who have finished their studies and are unemployed. The age range considered is from 18 years to 29 years, and only those who are resident in Italy can apply for funding. Finally, it is necessary to have joined the “Garanzia Giovani” project, which is part of the subsidized loan. In the Senpoyment fund regulations, the eligible initiatives are defined, ie those for which the desired financing can be accessed.
The Youth Guarantee loan application may be those who intend to start an individual business, or those who want to create a new partnership. As far as cooperative companies are concerned, it is possible to access the subsidized loan only if the number of members does not exceed 9. Finally, professional associations and companies between professionals can be financed. The funding request for young people can be made for companies that have been established for no more than 12 months but are inactive. With regard to individual companies and companies of persons or cooperatives that have not yet been set up, the subsidized Youth Guarantee can be requested as long as these are established within 60 days from the eventual acceptance of the request.
Among the requisites required for individual companies is residency in the Italian territory, moreover the young must not have had in the past convictions or indictments. The Youth Guarantee loan application can not be submitted to those who have received public benefits of the same nature or for the same purposes. As far as companies and associations wanting to access financing are concerned, in this case it is also essential to have residency in Italy as well as being registered in the Register of companies of the Chamber Merse competent for the territory. In the case of a company of persons, the requisites necessary to present the application are those for which the legal representative must hold at least 51% of the company shares. For co-operative societies it is essential that the majority of members are under 30, while for professional associations and professional societies all members must be young unemployed.
Applicable Amount Youth Guarantee Loans and Eligible Charges
After seeing the Youth Guarantee loans to whom the loans are turned, we analyze the economic characteristics of these loans. The first aspect to consider is that of the facilities that can be accessed, which in particular are three different products. Microcredit is the one that is granted if the project presented envisages a total cost of between 5,000 euros and 25,000 euros, considering the costs net of VAT. As for the initiatives with spending plans between 25.001 euros and 35.000 euros, the so-called Extended Microcredit will be accessed instead. Finally, in the event that the project submitted includes expenses between € 35,001 and € 50,000, the form of financing granted is that of the Small Loan. In any case, the amount that can be requested will be equal to 100% of the spending program. In general, therefore, there are no particular differences between the three products, except for the methods of delivery that we will see later.
The advantages of the Youth Guarantee loan are numerous, and are always described in the Senpoyment fund regulations. The first feature that makes this product perfect for all young people looking for funding is that no collateral is provided for or the signature of a guarantor as is the case for classic personal loans. In this case, to access the desired credit, it will suffice to meet the requirements that we have previously listed. On the other hand, as regards the economic aspect of the Garanzia Giovani loan, we are talking about an interest-free loan, which makes it much cheaper than any financing offered by banks and financial institutions. So if you are looking for a convenient loan, this is undoubtedly the right product for you.
Another very important aspect related to Youth Guarantee loans is that of eligible expenses. In fact, unlike personal loans, the sum of money that we can obtain through this loan must necessarily be used to meet the expenses reported in the business plan. These must also be part of the eligible expenses shown on the regulation of the loan itself. In the spending plan, the costs relating to the purchase of equipment and machinery indispensable for their business may be included, as well as all the plants and connections. In addition, the purchase of intangible assets with a multi-year utility can be financed, with the exception of patents, licenses and brands linked to franchising initiatives. Finally, with regard to investment expenses, those relating to the restructuring of owned properties are eligible, with the constraint that the percentage of total expenditure does not exceed 10%.
In the case of activities that have yet to be launched, all start-up costs are eligible. These include, for example, the purchase of raw materials, consumables, semi-finished products and finished products useful for their business. In addition, the costs related to utilities and rental fees for properties can be included in the business plan. Also all the insurance guarantees functional to your business activity can be financed through the Youth Guarantee loan. Finally, considering that we are talking about an activity that is emerging, expenses for employees will be financed, and therefore for wages and salaries related to the first months of activity. In this way, therefore, the financed subject may have suffered an important liquidity to meet all the expenses that must be faced to start a new business activity. Subsequently, once the activity is started there will not be too many problems to face the repayment installments thanks to the profits deriving from the activity itself.
How to obtain non-repayable loans for young people: useful information
If you are young looking for a loan to carry out a valid project, there are several products that you can access. In fact, thanks to European funds, calls for the granting of subsidized loans are published periodically. Among these, the most convenient form of financing is undoubtedly that of non-repayable loans. This form of loan is characterized by the fact that a part of the amount disbursed is in fact a lost sum, which means that it will not have to be repaid by the beneficiary of the loan itself. To obtain non-repayable loans you will have to submit the application through the relevant call, which is published on the website of each Region based on availability.
The Youth Guarantee loan that we talked about on this page is not a non-repayable loan but represents a unique opportunity for all young people who want to start their own business. To obtain this type of financing, you must first register with the Youth Guarantee website. Regarding the request for funding, this can only be done online following the IT procedure made available by the Invitalia website. Before sending the application this must be digitally signed by the applicant, who may therefore be the owner of the individual company, the legal representative of the company or association. The application must include the personal data and the profile of the proposer and an exhaustive description of the activity in which all the technical and economic-financial aspects are reported, as well as a detailed market analysis with the relative strategies to be followed.
Once the Youth Guarantee loan application has been submitted to receive an admission or non-admission response, a waiting time of approximately 60 days is foreseen. Based on the information contained in the application, the eligibility will first be analyzed, based on the completeness of the data entered and on the possession of the required requisites. Among the eligible applications, only the truly worthy projects will be financed. For the evaluation of the merit, the technical and managerial skills of the proponent are taken into consideration, therefore it is very important to show that they are very competent in the matter. As regards the project to be implemented, the technical and operational feasibility, the economic and financial sustainability and the definition of the reference market will be evaluated.
In the event that our Youth Guarantee loan application is accepted, then the disbursement will be made based on the type of loan requested. In the case of Microcredit this will take place in a single solution by bank transfer. With regard to the Microcredit Extended, an advance payment of 25,000 euros will be paid in a single payment. The remainder will only be paid if, within 18 months, the beneficiary of the financing communicates the successful completion and payment of the presented expense program. The provision of the Small Loan takes place in a first Progress State, not more than 50% of the spending plan, and disbursement of the remaining part within 18 months upon notice of completion and payment of the spending program. The repayment installments start to run from the month following the payment of the requested amount, while the amortization plan provides for a duration of 7 years without interest.