Business succession funds (special not required by management guarantee)

Last update date May 1, 2024

Financing terms and conditions
required documents
Flow until receiving loans
Loan consultation and application (financial institutions)
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Financing terms and conditions

Business succession funds (special not required by management guarantee)
Financing target	Corporations that fall under any of the following 1 to 4 and satisfy 5 Those who have a business succession plan to carry out business continuity within the next three years Those who have already implemented business succession (from January 1, 2020 to the time of application) and have not passed 3 years Those who have a business succession plan to implement business succession within the next three years and refinancing from existing borrowings Those who need funds to acquire shares and business assets of businesses that have difficulty in business continuity in order to carry out business succession through M&A, etc. A person who satisfies all of the following (1) to (4) （１） Exceeding assets （２） EBITDA's interest-bearing debt ratio must be within 15 times （３） The separation of corporations and management （４） No debt to be eased 　※It is necessary to have a credit transaction with the financial institution. 　※（１） (3) must be met at the time of the latest settlement, and (4) must be met as of the application date or January 31, 2020. 　※EBITDA's interest-bearing debt ratio = (borrowing and corporate bonds - cash and deposits) ÷ (operating income + depreciation)
Use of funds	Funds required for implementation of the business succession plan However, for Eligible 1 excludes repayments of existing borrowings that are not subject to personal guarantee. Loan Target 2 is limited to refinancing of existing loans (including Proper Funds) with personal guarantee prior to business succession. Loan Target 3 is limited to refinancing funds (limited to repayments of existing borrowings with personal guarantees including Proper Funds) between the date of the certification and the date of succession of management.
Loan amount	Within 280 million yen
Interest rate (annual interest rate)	Described interest rate of the financial institution
Financing period	Operating capital within 10 years (Including 12 months of deferred work)
Collateral	Collateral as necessary
Guarantee fee rate	[When confirmed by an expert] 0.00-0.90% (0.25% grant) [If you have not been confirmed by experts] 0.20 to 1.65% (0.25% subsidy) (All grant is limited to 50 million yen in loans.)
Joint guarantor	Not required

required documents

Credit Guarantee Contract Application Form (Form prescribed by Yokohama City Credit Guarantee Association)
private seal certificate of applicant (corporate) (*1, 2)
Tax payment certificate (* 1) or copy of receipt (Yokohama municipal tax with delivery date)
Copy of financial statements (final income tax return) (in principle, for the last two years)
Certificate of all history items (commercial register copy) or registration information provision service (* 1 and 2)
In the case of a licensing business, a copy of the license certificate
Capital funds are copies of quotes, layouts, catalogs, etc.

※1 Certificates must be the latest in 3 months
　　　You can apply for a tax payment certificate online.
※2 Copy is acceptable when applying for the Yokohama City Credit Guarantee Association.

Necessary documents in addition to 1 to 7.
Financing target	required documents
Eligible recipients 1 and 2	Business succession plan (for business succession special guarantee system) [Association style] Confirmation of Financial Requirements (for business succession special guarantee system) [Association Form] Confirmation letter of refinancing obligations (for business succession special guarantee system) [Association style] Refinancing Request Form and Confirmation Form (for the Special Guarantee System for Business Succession) [Association Form] (Including borrowings from other banks) Check sheet for improvement of governance system (copy) ※　For items 3 and 4, when refinancing existing loans with personal guarantee ※　Regarding 5, when confirmed by an expert
Financing target 3	Certificates (including copies of the application form) pursuant to the provisions of the Enforcement Regulations of the Act on Smooth Succession of Management in Small and Medium Enterprises (Ministry Ordinance No. 22 of 2009) Documents to be submitted for certification Confirmation letter of financial requirements (guaranteed for business succession preparation (exception of guarantor) ・ For business succession refinancing) [Association Form] Confirmation of Refinancing Debt, etc. (For guarantee system related to succession refinancing) [Association Form] Request for Refinancing and Confirmation Form (for business succession refinancing related guarantee system) [Association Form] (Including borrowings from other banks) Check sheet for improvement of governance system (copy) ※　Regarding item 6, when confirmed by an expert
Financing target 4	Certificates (including copies of the application form) pursuant to the provisions of the Enforcement Regulations of the Act on Smooth Succession of Management in Small and Medium Enterprises (Ministry Ordinance No. 22 of 2009) Documents to be submitted for certification Confirmation letter of financial requirements (guaranteed for business succession preparation (exception of guarantor) ・ For business succession refinancing) [Association Form]
Refinancing existing loans with a personal guarantee	Confirmation of Refinancing Obligations, etc. [Association Form] Refinancing Request Form and Confirmation Form [Association Form] (Including borrowings from other banks)

Flow until receiving loans

①Small and medium-sized enterprises consult and apply for loans to the nearest financial institution.
②After reviewing the loan, the financial institution requests a guarantee from the Yokohama City Credit Guarantee Association.
③The Yokohama City Credit Guarantee Association will determine the guarantee after examination of the guarantee.
④Financial institutions provide loans.

※In using the Yokohama Small and Medium Enterprise Loan System, there is a screening by financial institutions and the Yokohama City Credit Guarantee Association.
In addition, the contents of each fund are intended to provide an overview, and do not guarantee that any loan will be executed or guaranteed consent.

Consultation and application for financing (financial institutions: in Japanese alphabetical order)

List of Financial Institutions
Shinkin Bank	Kanagawa, Kawasaki, Sawayaka, Shiba, Shonan, Jonan, Setagaya, Yokohama
Banking Corporation	Awa, Kanagawa, Kiraboshi, Gunma, Shizuoka, Shizuoka Chuo, Suruga, Daiko, Daishi Hokuriku East Japan, Hokuriku, Mizuho, Sumitomo Mitsui, Mitsubishi UFJ, Yamanashi Chuo, Yokohama, Resona
Government-affiliated financial institutions	Shoko Chukin Bank