Eligibility

Eligible applicants are start-up SMEs which:

1. Employ less than 40 registered employees
2. Operate in one of the five subsidized sectors: Industry, Tourism, Agriculture, High Technologies and Crafts.
3. Are new business ventures which have not conducted any business operation in the past.

Legal Forms

Kafalat Start-ups and Innovation loan guarantees are only given to SMEs incorporated as a Joint Stock company (Societe Anonyme Libanaise – SAL) registered in Lebanon as a profit making enterprise.

Criteria for Start ups

Priority will be given to start-ups having the following criteria:

• Potential to export.
• Potential to generate significant value added and/or introduce new and innovative technologies.
• Work with new prototypes, products, inventions based on detailed market analysis, financial and technical appraisal.
   

Not Eligible Activities

SMEs aiming to finance the following are not eligible for a Kafalat Start-ups and Innovation Loan:

• Repayment of existing debts.
• Payment for business expenses incurred prior to the issuance of the guarantee.
• Manufacturing or selling arms, weapon, or ammunitions.
• Activities that contribute to the violation of international labour law and human rights conventions or Lebanese Labour laws.
• Any activity defined as illegal, environmentally hazardous or dangerous for human health.
• All activities revolving around the gambling industry.
• Activities involved in currency speculation.
• Security investments or other types of financial assets.
• Activities in the real estate sector.