Oschadbank granted the first loan to a veteran under the Business 4.5.0 program

A veteran client of Oschadbank received the first loan under the special program to support veteran businesses, "Business 4.5.0". The loan was issued to replenish working capital in the amount of UAH 550 thousand for the purchase of fuel and lubricants, small car parts, and other business expenses. The loan term is 12 months. The compensation interest rate as of the date of the loan agreement is 13%.

The borrower is a former serviceman of the Armed Forces of Ukraine who served until mid-2023 and, after being demobilized due to injury, returned to his business of cargo transportation in Ukraine and Europe.  The client is registered as a sole proprietor for the transportation of any cargo – from small to large-sized, has 6 sets of trucks (tractors) with trailers and benches and rents 2 more sets. The company has 6 officially registered employees.

We remind you that on April 15, Oschad was the first Ukrainian bank to launch the "Business 4.5.0" veteran program for micro, small and medium-sized businesses (MSMEs). It can be used by a veteran (combatant), a veteran's family (wife/husband, children, parents), as well as an enterprise with more than 30% of its staff being veterans/combatants.

The program includes the following components.

Preferential lending for one’s own business or existing veteran business on the following terms:

• amount - up to UAH 5 million;
• term - up to 60 months;
• intended use - purchase of fixed assets, repair of premises, replenishment of working capital;
• preferential interest rate under the Affordable Loans 5-7-9% program: 5-9% for investment needs, 13% for working capital, or 4-8% (under the WNISEF program).

Loans for the purchase of a franchise (possible for borrowers without entrepreneurial experience) under the following conditions:

• maximum loan term - 120 months;
• equity - at least 30% of the project cost;
• loan amount - up to UAH 5 million;
• loan collateral (fixed assets).

Preferential bank account service package:

• no account maintenance fee until September 30, 2024;
• preferential tariff for money transfers.

Consultations and training:

• support at all stages of business development;
• consultations with a personal manager;
• training programs and seminars.

In total, within three weeks of the program's launch, Oschadbank received applications for loans under this program totaling almost UAH 10 million from veteran businesses from Ivano-Frankivsk, Odesa, Ternopil and Khmelnytsky regions.

You can learn more about the Business 4.5.0 product or apply here.