Elo’s corporate financing services

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Is it time to expand your company operations?

The expansion of company operations sometimes requires loan financing, whether it be in the form of investments or growth through corporate acquisitions. Together with our partners, we will help your company to find the optimal financing solution for your situation.

Elo provides the crucial portion of financing

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Growth and internationalisation

A company can seek growth in its business through innovations and commercialised development ideas. Innovations can be, for example, new products or services, new production methods or new markets. Innovations are necessary for economic development. Growth companies often create new jobs, which in turn creates an increased need for working capital. 

When a company makes a decision to enter the international market, this calls for investments in market research, fairs, translation services and certification. Furthermore, the process of internationalisation may also require additional investments in machinery, equipment and employees. The need for increased working capital should also be considered.

Elo can participate in financing your company’s growth or internationalisation process together with your bank or another financier.

Corporate acquisitions and changes of ownership

A corporate acquisition is one way for a company to grow. Corporate acquisition can help the company, for example, to expand its operations geographically, to acquire new competence or to diversify its products or services. Corporate acquisitions are realised as an acquisition of shares or business activities. Financing for corporate acquisitions requires that a reliable plan has been drafted for the corporate acquisition and that the company’s turnover will be a minimum of one million euro after the acquisition. The collateral for the financing are determined on a case by case basis.

A change of ownership may involve, for example, a management buyout where the company’s management purchases the shares or operations of the company from the shareholders to start a new company of their own.

Elo actively participates in the realisation of corporate acquisitions and changes of ownership through the provision of financing together with your bank or other financiers. 

Elo serves as an expert advisor for the Yrityspörssi.fi service >


Timely investments are a prerequisite for business growth. Investments can be used, for example, to facilitate the initiations of new operations or improvements in production. Part of the capital required for investments comes from the company’s internal financing but the majority of the capital is sought from external financiers. 

Elo can participate in financing your company’s investments together with your bank or another financier.

Examples of investments:

  • Machinery and equipment acquisitions
  • Facilities and office space 
  • Expansion investments, such as the expansion of premises
  • Investments in research and product development.  

Diversified financing options for companies of different sizes

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Elo’s financing options

Growth loan

A growth loan offered by Elo is suitable, for example, for financing company investments or working capital, and for different corporate acquisitions and restructuring arrangements. Financing solutions are built case by case as per the customer’s needs, and they are always based on careful evaluations of the customer company’s financial status. The loan period for growth loan is usually 1-10 years. The loan may be granted with either a floating or fixed interest rate.

The interest on the growth loan consists of the reference rate and the customer-specific interest margin. The interest is bound mainly to Euribor rates. In addition to the loan period, the total interest rate is affected by the company’s financial situation, credit worthiness, and the security offered.

The normal collateral practices are applicable to growth loan.

Elo’s SME loan

Elo’s SME loan is a flexible option to meet the financing needs of profitable businesses. The loan is available to established and profitable limited liability companies with a turnover of no less than one million euro and a positive cumulative result from the preceding 3 financial periods.

The SME loan offered by Elo is primarily 50,000–250,000 euro. One requirement for eligibility is usually that Finnvera is willing to grant a loan for the same amount as Elo. Therefore, the total financing amount of Elo’s SME loan and Finnvera’s loan could be as much as 500,000 euro.

The loan has a fixed amortization schedule and a maximum loan period of 5 years.

Premium loan

Elo’s TyEL policyholders are entitled to take a premium loan from the fund comprised of their accrued TyEL insurance contributions. The amount of the loan depends on the amount of the paid insurance contributions. This right to borrow is available when the policyholder has a valid TyEL insurance policy in Elo and the share of borrowable funds totals a minimum of 5,000 euro. 

Premium loans are long-term loans with a fixed or floating interest rate. The reference rate is the TyEL premium interest. A margin determined in accordance with the applicable collateral is added to the interest. The loan period is 1–10 years and the loan is generally paid back through amortization twice a year. 

A premium loan always requires collateral. The most commonly used collateral is a guarantee provided by the bank, Finnvera or Garantia.

The TyEL interest rate is the market interest rate quoted daily by Garantia Insurance Company, and it can be checked, for example, from Garantia’s website.

Elo is here to help and support you

Kuva: AsiantuntijatukiElo’s corporate financing experts are ready to help you with any corporate financing matters. You can reach us by calling +358 (0)20 703 5843 or e-mailing to yritysrahoitus@elo.fi.

Loan application

You can apply for a loan either through our Online Service or by filling out a loan application.