The full name of Taiwan startup funding loans is “Loans for Startup Funding for Young Entrepreneurs”, which is also abbreviated as “Startup Funding Loans”. The purpose of this loan aims for the startups to collect the necessary working capital within 5 years. The maximum amount of loads is dependent on the purposes and ways of each entrepreneurs. The actual amount of receival shall be evaluated by the business plan of startup funding for young entrepreneurs.

The applicant can submit the application in the name of individual or company. The application requirements as below:

1. Individual
   
   (1) Companies or Firms which has been registered legally for less than 5 years.
   (2) The applicant shall obtain the household registration in Taiwan and be aged from 18 to 45 as well as received 20 hours of entrepreneurial counseling courses or obtained two credits in the past three years.
   (3) The paid-up capital from the applicant shall reach 20% or above.
   
   
2. Company
   
   (1) Companies or Firms which has been registered legally for less than 5 years.
   (2) If the responsible person is a foreigner, he/she shall be aged from 18 to 45 and obtain the entrepreneur visa, gold card, or valid ARC issued by Taiwan governments.
   (3) The applicant shall obtain the household registration in Taiwan and be aged from 18 to 45 as well as received 20 hours of entrepreneurial counseling courses or obtained two credits in the past three years.
   

The required materials for application as below:

1. The responsible person's Taiwan ID card or relevant residence card in photocopy.
2. Company Registration Documents or case filing documents.
3. Youth Entrepreneurship and Startup Fund Plan.
4. Youth entrepreneurship and start-up loan cut-off letter.
5. Participate in relevant "Entrepreneurship Counseling Courses" or "Certificate of Activity Participation".

How to get the approval of loan much easier? Here are 3 points to be noted from Kaizen:

1. The incorporation of company or firm is required
   
   For the review of young entrepreneurship loans, the bank usually evaluates the actual operation of the entrepreneur's new business, so it is best to use a company that has already been incorporated and is operating normally. If there is a tax form, it can increase the willingness of the bank to undertake the loan . On the contrary, if the applicant has just established a company and wants to use the business loan as the capital to start the business, the bank will comprehensively and prudently evaluate the suitability according to the specific business plan, fund use, repayment ability and other conditions .
   
   
2. The purpose of loan shall be specific
   
   Entrepreneurs are advised to regard the young entrepreneurship loan as the main purpose of business operation. For example, it is better to use it as working capital, reserve fund, purchase of expansion equipment, etc. It is better to avoid applying for it when there is a shortage of basic funds. It will allow the lending bank to include a higher risk factor in its assessment, which will affect the chances of getting a loan smoothly.
   
   
3. The influence on capital
   
   If the original registered capital is only TWD100,000, some people want to apply for an amount exceeding TWD1,000,000. Such a large gap in the ratio may cause the final approved loan amount to be lower than expected. If the applicant wants to borrow more funds, in addition to detailing the planned profit model of the business in the business plan, the application management and repayment plan of the future loan funds should also be proposed more completely.
   
   

After all, the business loan needs to be repaid after approval, so for financial institutions, it will still be evaluated comprehensively. Entrepreneurs who want to successfully apply for a loan must put forward a more specific business operation plan, loan fund use and repayment plan, in order to increase the bank's willingness to approve the loan, and the applicant can successfully obtain funds for business operation.