Win-Win Loan Belgium — Complete Guide 2026

The Win-Win Loan — known as the Winwinlening in Dutch — is a Belgian lending mechanism that allows private individuals to lend money directly to small and medium-sized enterprises. The scheme was designed by the Flemish government and is administered by PMV (ParticipatieMaatschappij Vlaanderen). Its purpose is to bridge the financing gap that many SMEs face when banks are reluctant to lend or when the entrepreneur wants to avoid diluting equity through external investors.

The name "Win-Win" reflects the dual advantage: the borrowing company receives affordable capital on flexible terms, while the lending individual receives a 2.5 % annual tax credit on the outstanding loan balance. This tax credit is applied directly against the lender's personal income tax, making it a financially attractive proposition compared to savings accounts or government bonds.

The Win-Win Loan is not a grant. It is a real loan that must be repaid. However, it comes with government-backed safeguards that reduce the risk for lenders and make it easier for companies to access capital. For a comparison of how grants and loans differ in Belgium, see our grant vs loan guide.

The process is straightforward. A private citizen and an SME agree on a loan arrangement — the amount, interest rate, term, and repayment schedule. Both parties register the loan on the PMV platform, which validates the arrangement and issues a registration certificate. This certificate is what triggers the tax benefit for the lender.

The loan term must be between 5 and 10 years. Interest rates are agreed between the parties but must fall within the corridor set by the Flemish government. Repayment can be structured as monthly, quarterly, or annual instalments, or as a bullet payment at maturity. Early repayment is permitted without penalty.

The loan is subordinated to bank debt. This means that in case of default, banks get repaid first. While this increases risk for the lender, the government compensates with the tax credit and a one-time 30 % tax credit on lost capital if the borrower defaults. This safety net makes the Win-Win Loan one of the most secure citizen-lending instruments in Europe.

Each lender can provide up to €75,000 in total across all their Win-Win Loans. This is not per company but a global ceiling across all loans the individual has outstanding. The minimum loan amount is €1,000. A single company can receive up to €300,000 in total from all Win-Win Loan lenders combined.

The borrower must be a small or medium-sized enterprise registered in the Flemish Region. This includes sole proprietors, partnerships, cooperatives, and limited companies. The company must be compliant with tax and social security obligations. Companies in financial difficulty under EU state aid rules are excluded.

The lender must be a natural person — a Belgian tax resident who does not hold more than 5 % of shares in the borrowing company and is not a managing director. Friends, family members, neighbours, or any acquaintance can act as lenders. This flexibility makes the Win-Win Loan particularly useful for entrepreneurs with a supportive personal network.

The primary incentive for lenders is the 2.5 % annual tax credit calculated on the average outstanding loan balance during the tax year. This credit is applied directly to the lender's personal income tax bill. On top of this, the lender receives the agreed interest from the borrower, making the effective return significantly higher than standard savings instruments.

If the borrower defaults and cannot repay the principal, the lender can claim a one-time tax credit of 30 % of the lost capital. This default guarantee substantially reduces the downside risk and is one of the key reasons the Win-Win Loan has gained popularity since its introduction.

These tax benefits are automatic once the loan is registered on the PMV platform. No additional paperwork is required each year — the system integrates with Belgian tax filings.

Unlike Belgian grants and subsidies, the Win-Win Loan must be repaid. Grants are non-repayable financial support provided by government agencies like VLAIO, Innoviris, or SPW. The Win-Win Loan is a debt instrument with a fixed repayment schedule.

However, the Win-Win Loan and grants are not mutually exclusive. Many SMEs combine both: they use grants to fund specific innovation or growth projects, and Win-Win Loans to strengthen their general working capital or balance sheet. The subordinated nature of the Win-Win Loan actually makes it easier to obtain bank financing and grant co-financing simultaneously.

For entrepreneurs unsure whether a grant or a loan is more appropriate, BelGrant's AI assistant can help evaluate both options based on your company profile, region, and project type.