Subscriptions are now open for Systema.Credit Fund, the first Italian direct lending fund, focusing on supporting Italian micro-enterprises and SMEs. It has been launched by Confidi Systema! in partnership with Prader Bank and BorsadelCredito.it, and is reserved for qualified and professional investors. The fund has a target size of €50 million, with a first closing expected at €30 million.

In his introduction, Professor Mario Comana, lecturer in banking economics at Luiss University, highlighted that “Italian micro-enterprises and SMEs form the backbone of the national economy, yet they are disadvantaged when it comes to accessing credit. 2018 saw a decline in bank lending to businesses of 6.60%, amounting to €47.9 billion (Bank of Italy data). By combining this phenomenon with the trend towards disintermediation and the digitalisation of finance, Systema.Credit Fund was conceived with the aim of expanding credit supply through a new channel, complementing traditional banking to bridge this gap for businesses that are, in fact, healthy and solvent.”

The partnership between Confidi Systema!, Prader Bank and BorsadelCredito.it has created a turnkey project for an alternative form of financing capable of handling a high volume of requests. The legal framework is provided by Law Decree no. 18 of 14 February 2016, as converted into law, which allows Alternative Investment Funds (AIFs) to invest directly in loans (Art. 17). This means that direct financing can be provided to small and medium-sized enterprises to strengthen the real economy.

Lorenzo Mezzalira, Chairman of Confidi Systema! states: “We decided to join the Systema.Credit Fund project due to its strong focus on small and micro-enterprises, leveraging the solidity of Confidi with a minimum guarantee of 75% at the heart of a new and distinctive credit service model for our sector. In line with our business plan, we are promoting our expertise in the dual role of originator of the company's liquidity request and guarantor, using a bespoke, consultative approach. We and all the project partners are aware that investing in SMEs and micro-enterprises is both profitable and a driver for the development of the real economy.”

One of the features of Systema.Credit Fund will be its ability to handle a large number of requests quickly, while maintaining high standards in creditworthiness assessment. Systema.Credit Fund expects to process approximately 90 investments per month and over 4,000 loans over the life of the fund. This context therefore opens up collaboration between traditional and innovative operators, through an agreement with BorsadelCredito.it, the leading Italian P2P lending platform for SMEs, which enables the provision of financing in a professional, transparent and fast manner.

“This project is an example of what cooperation between actors within the financial ecosystem means,” comments Antonio Lafiosca, COO of BorsadelCredito.it. “Our goal is to intensively develop these types of partnerships, which represent the future of Fintech and, in our context, a new ‘Credit as a Service’ model where platforms play a crucial role in enabling distinctive and unique operational and business models in the SME credit market.”

Josef Prader, Fondatore di Prader Bank, Arranger e Advisor di Systema.Credit Fund conclude che “con Systema.Credit Fund diventa realtà un progetto che si contraddistingue per la grande serietà dei partner e che connette tradizione e innovazione. La garanzia di almeno il 75% dell’importo dei finanziamenti erogato e la rendita attesa pari al 4,01% al lordo dei costi del rischio di credito e al netto dei costi di gestione e amministrazione, equivale per gli investitori professionali a un rischio limitato con, al contempo, una gradita rendita in una situazione di mercati in evidente trasformazione”.

“Once the circuit is in motion, the financial strength derived from the synergies of the various players will be channelled into the regions where Confidi Systema! operates,” the partners agree.