New Brexit loan scheme for small businesses now available
A new loan scheme to help small businesses to prepare for Brexit has been launched through Microfinance Ireland.
Loans for between €5,000 and €25,000 will be available to companies whose turnover has dropped or is likely to drop by 15% or more because of the UK's departure from the EU.
Firms with a short term cashflow need because of Brexit will also be able to apply for the loans, which will be available for between six months and three years.
"Businesses need to urgently start planning for the consequences of Brexit," said Garrett Stokes, Microfinance Ireland CEO.
"While the impact will be greatest on exporters, importers need to determine their supply chain and source of imports and plan for any delays or changes required."
"Many businesses will be negatively impacted by Brexit or suffer a short term cashflow impact."
The new Microfinance Ireland (MFI) Brexit Business Loans will attract no fees, charges or hidden costs.
To be eligible for the scheme, the sole trader, partnership or company must have less than 10 employees and annual turnover of up to €2m.
They must also be unable to secure finance from a bank or commercial lending provider.
Launching the scheme, Tánaiste Leo Varadkar said the loan scheme is just one way the Government is helping business to prepare.
"77% of MFI's lending is to businesses outside of Dublin, which is important as businesses all over Ireland will feel the negative effects of Brexit," he said. "If you are a business owner and are wondering where to start, I'd recommend filling out our Brexit Readiness Checker first and having a look at what needs to be done in your business. Then please reach out and use the help that's there," he stated.