Financial supports for businesses impacted by Covid-19 unveiled
11 March 2020 | 0
A €400 million support scheme for businesses impacted by Covid-19 has been announced by the Dept of Business, Enterprise & Innovation.
Impacted businesses will be able to access a €200 million Strategic Banking Corporation of Ireland (SBCI) working capital scheme. Loans of up to €1.5 million will be available at reduced rates, with up to the first €500,000 unsecured.
It also announced a €200 million package for vulnerable but viable firms that need to restructure or transform their business. For micro-enterprises, MicroFinance Ireland’s maximum loan will increase from €25,000 to €50,000.
Additionally, Covid-19 impacted firms will be able to access the Credit Guarantee Scheme through the Pillar Banks. Loans of up to €1 million will be available at terms of up to seven years.
Minister of Business, Enterprise & Innovation Heather Humphreys said: “I know that this is a worrying time for businesses and I want to assure them that my department and agencies are working on their behalf to develop and deliver a range of supports to help them through this rapidly evolving situation.
“I am hearing from many businesses that they are very concerned about their cashflow in the coming weeks. I want to reassure them that there are a number of schemes that can help them meet their short-term working capital and liquidity needs.”
Additionally, supports will be available for firms experiencing trading difficulties and short-term shocks. To avoid mass lay-offs, a first responder support service will be provided through the Intreo Offices, Enterprise Ireland and IDA Ireland.
Minister Humphreys added: “We are facing an unprecedented level of uncertainty, and businesses may want to access advice on how best to protect their businesses. A Finance in Focus grant of €7,200 will be available to Enterprise Ireland and Udaras na Gaeltachta clients that want to access consultancy support to undertake immediate finance reviews.
“In addition, Local Enterprise Offices in every county will be providing vouchers from €2,500 up to €10,000 (with 50:50 match funding) to support business continuity preparedness, innovation and productivity. I encourage businesses to take advantage of these supports.
“This situation is changing from day to day, and I will continue to work across government, with the representative bodies and with the banking system to respond to ongoing developments in order to protect and support Irish businesses”