Project loan

Support for development projects is usually paid to the project implementer only after the project costs have already been paid. If an association has few funds, this may prevent it from applying for project funding. 

Therefore, the City of Imatra can grant funding to associations for the duration of the project. The maximum loan amount is 10,000 euros per year per applicant.

Terms of temporary financing

• A short-term loan can be granted for the temporary financing of a project implemented in Imatra and promoting the implementation of the city's strategy.
• Granting a loan requires that the association or non-profit organization is registered and its registered office is in Imatra.
• A condition for granting a loan is a positive financing decision by the public financing authority.
• When considering granting a loan, the association's ability to implement the project in question and the importance of the project in terms of the development of the city are taken into account.
• Loans are granted based on applications. The association receiving the loan must give the city a promissory note. The city requires the association's responsible persons (2 persons) to provide a joint and several liability guarantee. The signatories and guarantors of the promissory note should note that the association may have to pay expenses in the project in addition to the loan, which are not eligible for support but which have been financed with temporary funding granted by the city.
• A maximum of 10.000 euros per association can be granted during the year. With a separate decision and for a justified reason, the maximum loan amount can be higher.
• The loan period is a maximum of 36 months. For a justified reason, the loan period can be extended by a separate decision. 
• The loan is interest-free. No processing or other costs are charged for the loan.
• The loan will be repaid in accordance with the payment plan drawn up with the association. The default interest on the loan is in accordance with the applicable interest law at any given time. Late payment interest is charged from the due date to the payment date. 
• The debtor has the right to repay the debt prematurely. The debtor must notify the creditor of the repayment two weeks before paying the loan.
• The decision on the loan is based on the principles approved by the city government by the office holder, to whom the decision-making authority has been determined according to the administrative rules. The loan decision is made into an office holder decision. The loan decision is prepared and the loan repayment is monitored by the finance and financial administration services unit. Financial and financial administration services check the credit information of the association and the guarantors. The project team takes a position on the compliance of the project with the city's strategy.