Thursday, 11 July 2019
Department of Jobs, Enterprise and Innovation
Enterprise Support Schemes
421. To ask the Minister for Jobs, Enterprise and Innovation the latest figures regarding the future growth loan scheme launched in March 2019 for each item (details supplied) up until the end of the second quarter of 2019 in tabular form. [31115/19]
The Future Growth Loan Scheme makes up to €300 million worth of loans available with a term of eight to ten years and is open to eligible Irish businesses, as well as the primary agriculture and seafood sectors, to support strategic long-term investment. Finance provided under the scheme is competitively priced and has favourable terms, for example, no security is required for loans up to €500,000.
The scheme has been developed by my Department and the Department of Agriculture, Food and the Marine in partnership with the Department of Finance, the Strategic Banking Corporation of Ireland and the European Investment Fund.
Loans to businesses under the scheme can be used to fund investments in equipment, machinery, buildings and associated overhead costs for organisational and/or process innovation. Loans to primary agriculture under the scheme can be used to fund investment in tangible and intangible assets on agricultural holdings linked to primary agricultural production.
The Future Growth Loan Scheme features a two-stage application process. Applications for eligibility under the scheme is made through the SBCI website. The SBCI assesses the applications and those successful will be issued an eligibility reference number.
Eligible businesses will then be able to apply for a loan under the scheme with one of the participating finance providers using the eligibility reference number. Approval of loans are subject to the finance providers’ own credit policies and procedures.
The figures in the table are those as to 5th July 2019. The Department will receive a report each quarter from the SBCI on the uptake of the scheme. A number of requested figures have not been included in this table as they pertain to the relationship between banks and their client SMEs and so are beyond the remit of these reports. Some questions requested the same information and have, therefore, been answered once.
|-||Requested Details (as at 5 July 2019)|
|Number of businesses which have applied to the SBCI to confirm eligibility for the scheme||524|
|Number of businesses which have had their applications assessed by SBCI||485|
|Number of businesses which have not had their applications assessed by SBCI||39|
|Number of businesses which have had a successful application and received an eligibility reference number||482|
|Number of businesses which had a successful application and received no eligibility reference number||N/A|
|The number of businesses who did not have a successful application and received no eligibility reference number||3|
|List of current finance providers||Bank of Ireland with additional providers joining in the coming weeks|
|Number of SMEs which have progressed to sanction at finance provider level||17|
|Total value of loans progressed to sanction at finance provider level||€2,957,200|
|Current interest rate for those in receipt of approved loans||Maximum interest rate of 4.5% for loans less than €250,000 and 3.5% for loans more than or equal to €250,000|