Jennifer Murnane O'Connor (Carlow-Kilkenny, Fianna Fail) | Oireachtas source

I welcome the increase to the Microenterprise Loan Fund and the extension of borrowing powers of Microfinance Ireland. Some questions have been raised with me in my constituency of Carlow-Kilkenny and I wish to raise them with the Minister of State. During this pandemic, the State has given great support to the people of Ireland. To quote Charles Dickens, "No one is useless in this world who lightens the burdens of another." It is not without gratitude that the business community took these supports. However, I am concerned that some businesses have been unable to access many of the supports available. This funding needs to reach those who need it.

My office was repeatedly contacted by small business owners who were prevented from accessing these loans through the enterprise board. Now that the amounts available are being increased, can the scope of who can qualify also be increased to allow many more businesses to access low-interest funding such as this?

I welcome the ability of the social organisations and community-based projects to access some of this funding. Will clear guidance be given on who can access funding? How long will it take to draw it down? Will it be in stages? Will the application process be transparent? Usually these loans require robust borrowing ability. Since we have already seen mortgages refused to the people who have been put on wage-subsidy schemes, will businesses suffer the same fate?

Some businesses, abiding by public health guidelines, have closed during the pandemic and will now reopen with less potential for profit than before. Can the Minister of State assure them that they will still qualify? Certain businesses have changed their business model, for example soap companies now fully manufacturing sanitisers, clothing companies now manufacturing personal protective equipment, PPE, chemical manufacturers now making cleaning products for commercial use and sit-in restaurants now doing only takeaways. Will they still qualify for these loans or will they be classified as new businesses despite having traded successfully for years up to the Covid-19 pandemic?

Given that so many businesses need cashflow right now, can these loans be accessed immediately? What is the timeline on decisions? Can businesses receive guidance on how long they can expect to wait for approval? It is important that these loans are not only accessed by those who have the means, but also by those who do not. Is there a system in place for help and guidance for businesses to apply for these loans? If that is the remit of the enterprise board, we really need to talk about resources. Will adequate resources be put in place to ensure that the lack of people to process applications does not hinder someone being able to stay in business?

Will people be unfairly penalised in the future for accessing the loans if their fortunes should turn? We might want to talk about creating jobs, but to create jobs we have to create the ability for business to prosper and we have to ensure that all precautions that businesses are taking to make their place of business safe for consumers, which is very expensive, are factored in when someone comes looking for a loan.

I am also very concerned about the interest rates and we need to do all we can to keep them low. The Irish Small and Medium Employers, ISME, appealed for grants as opposed to loans. We cannot do something in this legislation that is likely to lead to someone going out of business by imposing interest rates that are untenable in the future.

Can part of this funding be dedicated to local authorities through their enterprise boards to create shop-local funding initiatives, which encourage businesses and consumers to shop local? It is more important than ever for us to look at our communities and how each of us can play our part in sustaining the areas in which we live and work. I know I have asked many questions, but I would like the Minister of State to come back with some answers and then I can come back with more questions.

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