Factsheet for measure
IE-2020-14/791
–
Updated
– measures in Ireland
Microfinance Ireland COVID-19 business loan
Background information
The COVID-19 business loan from Microfinance Ireland is a government initiative to support microenterprises through the period of economic uncertainty following the coronavirus outbreak in Ireland.
If the business is impacted or may be impacted by COVID-19 resulting in a reduction of 15% or more in actual or projected turnover or profit and there is difficulty in accessing finance from commercial lending providers, the MFI COVID-19 business loan is available.
Content of measure
Eligible applicants are microenterprises (that is, businesses with less than 10 full time employees operating as sole traders, partnership or limited companies and with up to €2 million annual turnover) which are currently trading, are not in a position to avail of bank finance and are experiencing a COVID-19 negative impact on their business (minimum of 15% of actual or projected in turnover or profit).
Loans may be used for working capital and required business changes as a result of COVID-19.
Loans of up to €50,000 can be made available with a loan term of up to three years and under advantageous terms (six months interest free and repayment free moratorium, with the loan to then be repaid over the remaining 30 months of the 36-month loan period; interest rate 4.5% - 5.5%; no hidden fees and no penalty for early repayment).
Updates
The following updates to this measure have been made after it came into effect.
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15 December 2024
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Micro Finance Ireland now provides a range of loans for businesses without the Covid qualifying criteria.
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Use of measure
According to the Department of Enterprise, Trade and Employment: 1,015 applications were received for the scheme. As of 31 December 2020, 687 were approved with a total value of €18.68 million.
According to COVID-19 and Brexit Business Supports Tracker 2021, 428 loans were approved in phase 2 at a value of €7.77 million.
According to COVID-19 and Brexit Business Supports Tracker 2022 (as of 7 January 2022), 458 loans were approved in phase 2 at a value of €8.27 million.
Target groups
Actors and funding
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Actors
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Funding
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National government
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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No involvement
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No involvement
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Form
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Not applicable
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Not applicable
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Social partners' role in the
implementation, monitoring and assessment phase:
-
No involvement
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Main level of involvement: Unknown
Involvement
N/A
Views and reactions
No involvement of social partners.
Sources
