Microfinance Ireland

Microfinance Ireland’s COVID 19 Business Loan Fund has been highly successful since its inception in March. Over €15.65 million in loans has been approved to 581 Irish micro businesses, and a pipeline of further applications being processed which will require the remainder of the €20 million fund. A further 760 business have been supported through restructuring or deferral arrangements for existing customers.

 

Lending under the MFI COVID Scheme has supported 2000 jobs across the country. However, due to this unprecedent demand, lending through this scheme has currently been paused as legislation is required to increase the funding of MFI which is currently at capacity. This legislation is currently undergoing scrutiny in the houses of the Oireachtas. Microfinance Ireland and the Department of Business, Enterprise and Innovation will work together to reopen this Loan Fund as soon as the relevant funding has been put in place through the appropriate channels.

Microfinance Ireland (MFI), is a not-for-profit lender, established to deliver the Government’s Microenterprise Loan Fund.

MFI works very closely with the Local Enterprise Offices (LEOs), providing loans to small businesses. Helping to create and sustain employment by providing loans to small businesses is at the heart of what they do.

MFI works with small businesses based in the Republic of Ireland, with fewer than 10 employees and turnover up to €2m, by providing unsecured business loans of €2,000 to €25,000 for commercially viable proposals. Loans can be used to fund start-up costs, working capital, purchase of stock, equipment, machinery, business expansion etc.

They consider applications from businesses who may have been declined facilities from other commercial providers

Whether your business is set up as a Sole Trader, Partnership or a Limited Company, you are eligible to apply.  All business sectors are eligible to apply, with these exceptions: (insert link to) http://www.microfinanceireland.ie/exclusions/

 

You can apply for an MFI loan through your Local Enterprise Office and avail of a discount off the standard interest rate (currently 7.8% APR) bringing the rate to 4.5% APR.

 

Once a customer has been approved a loan with MFI, mentoring support will be provided with a mentor from the LEO Mentor Panel.  Mentoring is a critically important non-financial learning and support tool, helping business develop and grow.

 

Calculate your monthly repayments using MFI’s Loan Calculator (insert link to) http://www.microfinanceireland.ie/apply-now/loan-calculator/

 

To make a loan application, you will need to complete and submit a number of documents as part of the application process. Talk to your LEO Business Advisor or Click here (insert link to) https://www.microfinanceireland.ie/application-documents/for more information.

To download the €2,000 to €5,000 loan Application form, click here

To download the €5,000 to €25,000 loan Application form, click here

Attached here is a video case study outlining the supports from MFI https://youtu.be/0ORNB0q9lgo 

For further information on Microfinance Ireland, please click here

 

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