Small and medium-sized enterprises (SMEs) have been the hardest hit by the coronavirus pandemic. For this reason, the Biobío regional government has allocated resources to help them restart their operations. At Hispanos Emprendedores, we explain how to apply for CORFO's PAR Impulsa program , one of the funds available since the last week of May.
What is CORFO's PAR Impulsa program?
It is an economic support fund promoted by the government of the Bío Bío region for the benefit of small and medium-sized companies affected by the coronavirus. The objective is to grant them financing to reactivate their economic activity or start a different one.
Those who access this program will be able to use the financing to recover their productive potential; skills development; investment, or working capital.
The health crisis has jeopardized the economic sector, but micro, small, and medium-sized enterprises have suffered the greatest impact. In light of this, measures have been taken to address the effects of the crisis in the country, and this CORFO program complements the most recent provisions.
Two economic support funds were announced for the Biobío region, available from May 26. The first, to be distributed through Sercotec, totals 594 million pesos, and the second, the CORFO PAR Impulsa program, has a budget of 1.500 billion pesos.
These resources will be an injection of liquidity for companies, so that they can pay retroactive expenses from March 19, invest or pay fixed expenses.
What is the amount to finance?
The financing will be up to 3 million pesos. The company can opt for 1 million more (4 million pesos in total) if it has digitization plans. That is, if the project includes adopting digital technologies that allow reducing costs, increasing sales, improving customer service, etc.
Digitization includes, for example, adopting digital purchasing and payment processes. An approach that many companies have taken since the crisis began.
The cost of implementing these technologies must be at least 30% of the project.
How to apply to CORFO's PAR Impulsa program
Applications for this program are submitted through the website www.fomentobiobio.cl . There, interested parties will find all the guidelines and requirements for applying. They must create a profile or, if they already have one, log in with their username and password. Finally, they must enter all the information requested by the system.
Requirements to apply to the program
Companies with annual sales between 2.400 and 100.000 Development Units (UF) will have access to the PAR program. They also have the possibility of accessing those that have been operating for less than a year, but that their sales projections equate to what the bases establish.
Applicants must be taxpayers and have registered their business activities with the Internal Revenue Service (SSI) under the first category tax . Furthermore, their registration must be valid on the date the application period begins.
What can the resources be used for?
In addition to knowing how to apply to CORFO's PAR Impulsa program, entrepreneurs need to know how they can use the financing they receive.
These resources can be used to pay expenses such as leases or basic services such as electricity and water. Likewise, companies or individual entrepreneurs who receive it can dispose of these to pay salaries, buy merchandise, raw materials, materials, invest in fixed capital, etc.
Part of the resources can also be dedicated to the implementation of digitization tools, as we mentioned before. As well as in promotional strategies for the company.
How long can you apply?
Unlike Sercotec's Reactívate program, which closed applications on June 1, PAR Impulsa will accept applications until July 31, 2020 , or until all resources are delivered.
So if you want to apply the best thing is to do it as soon as possible, without trusting the date because the resources to deliver could be exhausted sooner.
On the Fomento Bío Bío website you will find all the bases and the list of requirements to apply. You will need to fill out the application form and have the tax file with you.
You already know how to apply to CORFO's PAR Impulsa program and all the basic information about this support fund. This is an alternative to boost your company again and face the crisis we are going through at the moment.
