Secondly, informal employment labor organizations and re-employment bases need to have independent legal personality, fixed production and business premises, a certain amount of fixed assets and their own liquidity to apply for small loans, and the resettlement of laid-off workers needs to account for more than 50% of the total number of employees. The operating project has a good market prospect and good income and repayment ability.
Re-employment small secured loans refer to the spirit of Zhong Fa [2002] 12 and Gan Fa [2002] 13. In order to help laid-off workers find jobs themselves, start their own businesses and organize themselves for employment, the government has set up a re-employment fund for laid-off workers who are honest and trustworthy, have the ability to work and have the desire to find employment, in view of the practical difficulties of the laid-off workers in the process of starting their own businesses, and it is difficult to obtain bank loans.
All laid-off and unemployed people under 60 years old who are healthy, honest and trustworthy and have certain labor skills are self-employed, start their own businesses or run partnerships, organize themselves for employment, and have insufficient self-raised funds. Under the premise that the loan guarantee institution promises to guarantee, it can apply for small secured loans to commercial banks or their branches with the re-employment concession card issued by the labor and social security department. The amount of small secured loans is generally around 20,000 yuan, the loan term is generally not more than two years, and the extension period is not more than one year.
The interest rate of small secured loans shall be determined according to the loan interest rate level announced by the People's Bank of China, and shall not rise. Small secured loans engaged in low-profit projects are fully subsidized by the central government according to the facts, and no subsidy is granted during the extension period.