Questions and answers

What can Oppiva Invest’s capital loan be used for? When can the loan be withdrawn? On this page you will find questions and answers related to our financing.

Oppiva Invest acts as a complementary financier for companies whose solutions renew vocational education and training, support learners and teachers, address the competence needs of working life, or introduce new tools for the leadership and development of educational institutions today.

A vocational education and training provider is an entity that organizes training that meets the definition of vocational basic education provided by Finnish law.

The applicant must be able to show a use case, which is linked to vocational education and training. The proposed solution must be suitable for use in vocational education and training. The company’s product or solution may of course be sold to other customer segments too.

Applicants are required to describe the social and economic impact of the solution they offer and the financing applied for. If necessary, the estimated impact and effectiveness may be further elaborated during the application processing stage.

For an application to be accepted, a clear demonstration of the impact of the proposed solution or service and the related indicators for the impact are essential.

Oppiva Invest has determined the areas of impact and effectiveness, the significance of which in the company’s operations is evaluated as part of the financing process.

Companies are free to use the capital loan granted by Oppiva Invest for investments and as working capital. Capital loan can also be used for marketing. In their financing applications, companies are required to describe how they plan to use the financing provided. These plans will be discussed in the loan negotiations.

As a public financing provider (cf. Business Finland and Finnvera), we are required to observe certain conditions and criteria (e.g. criteria for effective support, consideration of state aid issues) regarding the companies to be financed. Some of the criteria follow standard banking principles, which focus on the creditworthiness of companies. The assessment consists of relative and quality-based components. The applicants are also compared with each other.

We understand that the circumstances of growth companies in particular may evolve and change quickly. We encourage companies to contact us or submit a financing application to start discussions. If the company is currently unable to meet the specified minimum criteria, we can still discuss further actions and move on to the next application round once the criteria are met.

We expect applicants to have one or more co-financing providers. As a starting point, we recommend having one co-financier in addition to Oppiva Invest, with a 50-50 split between their contributions. Financing provided by Oppiva Invest is always paid out in two installments.

OI does not stipulate who the other financiers should be. Typically, such providers include owners, investors and banks. Before Oppiva Invest can make a conditional decision on granting a capital loan, the applicant must at least be able to name the other financiers and their financing shares. Negotiations should be nearly completed and the time frame established. Applicants must have a firm decision on other sources of financing and the related conditions before they withdraw the loan.

Oppiva Invest keeps track of the companies it finances and their financial performance. When the capital loan agreement is signed, the parties agree on the key performance indicators to be tracked and the tracking frequency. Typically, companies are expected to provide quarterly or semiannual reports on their performance.

The parties negotiate and agree on loan terms before the decision-making stage. A payment schedule will be drawn up and an interest rate determined upon loan withdrawal. Finnish law contains provisions on interest and the repayment of the loan principal (Limited Liability Companies Act, chapter 12).

The typical loan period is 5–6 years. At the beginning of the loan term, there may be years without repayments. The loan term may be shorter, such as three years for smaller loans.

The interest rate is based on the company’s commercial risk rating and a risk classification carried out by Oppiva Invest. The maturity of the loan also affects the price, the range will be around 7–13%. The interest rate on the loan is fixed.

A delivery fee of 2.0% of the loan capital is charged for the loan. The delivery fee is charged with each withdrawal.

Separate fees may be charged for any changes made to the repayment schedule during the term of the contract. No separate fees will be charged for early repayment of the loan.

Interest payment and repayment of principal requires sufficient unrestricted equity. A so-called notice of available funds will be given annually based on adopted financial statements.

Yes, the company is allowed to decide when it wants to withdraw the loan. During the loan negotiations, we discuss the loan withdrawal plan with the company.

No, you do not have to accept financing granted to you. The financing offer is in effect for three months after the decision has been made. The offer period can also be extended on a case-by-case basis.

From Oppiva Invest’s point of view, the ecosystem is a set of networks and cooperation entities that enable the development of education through innovation and dialogue.

Oppiva Invest aims to build and contribute to the creation of an optimally functional ecosystem. This means encouraging networking between education and training providers, solution providers and other service providers, as well as other relevant parties with an established presence in the sector. Oppiva Invest produces market information about education and the edtech industry for the ecosystem and strengthens market dialogue. Oppiva Invest actively follows national policies and adapts its operations taking these into account.

Oppiva Invest wants to help companies develop products and services that meet genuine needs. Surveys from the education industry provide market information and help companies that produce solutions as well as education management.