Financial shield PFR 2.0 - Bank Millennium

The industry is verified on the basis of the PKD code as at:

• 31 December 2019,
• 1 November 2020,
• and the date of submitting an application for a financial subsidy,

in the scope of whether the entrepreneur's activity is performed in one or more of the indicated PKD codes. PKD covered by the program does not have to be the leading PKD code of the entrepreneur.

You can check the list of PKD covered by the program on the PFR website in the section Conditions required to receive support from the PFR Financial Shield 2.0.

The condition concerning the PKD is met when the change of the PKD code has been declared by the entrepreneur to the relevant register not later than within 7 days from the date of the change.

An entrepreneur who runs a business under the PKD code specified in accordance with the code numbering before 2007 will be able to obtain a financial subsidy, provided that the equivalent of the old PKD code is on the list of PKD codes admitted to the Program.

The condition for qualifying for the program is the employment of at least 1 employee as of 31 December 2019. In the absence of any employee on this date – as of 31 July 2020.

For the purposes of establishing the status of a Micro-company/SME, an employee is understood as a person employed under an employment contract, but employees on maternity, paternity, parental, and professional leave are not considered employees.

For the purposes of calculating the amount of the financial subsidy, an employee is a natural person:

• which, in accordance with the provisions of Polish law, remains with the entrepreneur in an employment relationship and which was reported by the entrepreneur to social insurance on the day of determining the employment status for the purpose of determining the maximum amount of the financial subsidy due to the entrepreneur, with the provison that the employment status is calculated on a full-time working schedule, or
• cooperating with the entrepreneur, regardless of the legal form of this cooperation (in particular on the basis of civil law contracts, such as a mandate contract or a specific work contract), and for which the entrepreneur pays social security contributions as at the date of establishing the entrepreneur's employment status for the purpose of determining the maximum amount of financial subsidy.

The application must be submitted by a person authorized to represent the Beneficiary. At the time of submitting the application, it is necessary to attach a confirmation of the authorization of the person representing the Beneficiary. Confirmation of the authorization must be attached electronically at the time of sending the application to the PFR.

In the case of applying for a financial subsidy, it will be required to submit the JPK_V7M or JPK_V7K file to the tax authority, in advance enabling the data to be processed by the tax authority and data transferred to the PFR (up to 7 days).

For entrepreneurs who were beneficiaries of the PFR Financial Shield 1.0, the maximum amount of financing from both Shields per 1 employee may not exceed 72,000 PLN for micro-enterprises and 144,000 PLN for SMEs.

The financial subsidy is fully canceled, provided that all the following conditions are met. The possible paying back of the financial subsidy or its part will take place after 31 December 2021. PFR reserves the right to specify in the program regulations the exact rules for the return of the financial subsidy and the conditions for redemption.

• Maintaining business activity as at 31 December 2021, understood as uninterrupted business activity in the period from the date of submission of the application to 31 December 2021. In the period from the date of submission of the application to 31 December 2021, the entrepreneur cannot be liquidated, bankrupt or restructuring.
• Only for micro-enterprises: Maintaining average employment in 2021 as compared to 2020.
• Only for SMEs: Accounting for the excess of the granted financial subsidy after 31 December 2021, but no later than 31 January 2022. At the same time it is not possible to compensate fixed costs exceeding the support received. The beneficiary reports the actual fixed costs based on financial statements or accounting documents for the period from 1 November 2020 to 31 March 2021.
• Prohibition of making any payments (including, but not limited to, severance payments, other similar benefits related to the termination of the legal relationship between the beneficiary and the employee, awards, bonuses, profit participation and other benefits discretionally paid to the employee by the beneficiary) to any person with the status of an employee the beneficiary on account of, or in connection with, an agreement (including an employment contract or a civil law contract) linking such person with the beneficiary, the existence of which determines his status as mentioned above, in addition to the basic remuneration.
• It is forbidden to transfer funds from the program, under any legal title, to the owners or entities associated with the beneficiary.
• Prohibition of prepaid loans, leases and other similar instruments.
• Prohibition of direct or indirect financing of a purchase (takeover) transaction, in whole or in part, of another entity, or making transactions aimed at, directly or indirectly, such acquisition or takeover (acquisition prohibition).