Who Qualifies for an SBCI Loan?
An entity qualifies as an independent Small Medium Enterprise if it meets each of the following criteria:
- Less than 250 employees.
- Annual turnover of less than €50m, and/or a balance sheet total less than €43m.
- The enterprise is an independent, autonomous entity (or, if part of a wider group of enterprises, the entire group must qualify as an SME).
- Less than 25% of capital voting rights held by public bodies.
- The enterprise has a significant presence in Ireland.
Please refer to https://sbci.gov.ie for comprehensive detail on qualifying criteria.
Competitive Interest Rate
Loans are available at a competitive, discounted interest rate from the BOI standard loan rates.
- SBCI SME Investment Loans
What is eligible for an SBCI Loan?
- The SBCI Loan can be used for new long-term working capital term loans and investment loans that are incurred in the development of an SME.
- The SBCI loan can also be used to refinance banks exiting the Irish market.
- The Loan amount is a minimum of €25,000, with a maximum loan amount of €5,000,000.
- The minimum loan term of the facility is 2 years and maximum repayment loan term is 10 years.
- Please refer to http://sbci.gov.ie for comprehensive detail on qualifying criteria.
State Aid
The provision of funding for these loans is being made under the De Minimis State Aid rules which allow for the provision of State Aid – SMEs may avail of De Minimis State Aid provided it does not exceed €200,000 in any 3-year period. In the case of certain loans, State Aid may arise by virtue of the discounted interest rate received by the SME on SBCI loans, and if so, the SME will be advised. It is important to note that the Aid is not the amount of the loan.
Full details available at http://sbci.gov.ie/
Summary of Excluded Activities from SBCI Loans
- Finance of specific export operations, or finance contingent upon the use of domestic over imported products. In particular, it should not apply to financing the establishment and operation of a distribution network in other States, or current expenditure linked to the export activity.
- Finance of pure real estate development activity.
- Finance of activities constituting pure financial transactions (e.g. purchase of shares).
- Loans to undertakings in difficulty.
- Finance of activities forbidden by national or EU law.
- Agriculture (see specific SBCI Agricultural Investment Loan product), aquaculture and fisheries loans.
- Please refer to http://sbci.gov.ie for comprehensive detail on specific exclusions.
- Agricultural Investment Loan
What is eligible for an Agricultural Investment Loan?
- Available to qualifying Agri SMEs and Farmers.
- The loan is available to support farm investment in agricultural machinery and facilities and investment in production and marketing.
- The Loan amount is a minimum of €25,000, with a maximum loan amount of €5,000,000.
- The minimum loan term of the facility is 2 years and maximum repayment loan term is 10 years.
- Borrower must submit a written loan application before work on the project or activity commences along with a list of costs. Loan amount must not exceed 1.5 times the amount of eligible costs (as defined in Commission Regulation (EU) No 702/2014 of 25 June 2014).
- For further detail on eligible and ineligible costs please refer to http://sbci.gov.ie.
- The aid intensity or total aid resulting from a loan shall not exceed 40% of the amount of the eligible costs.
- Investments shall be in conformity with EU legislation and with Irish law on environmental protection under the Protection of the Environment Act 2003.
- Loans may be advanced to support investments in tangible assets or intangible assets on agricultural holdings linked to primary agricultural production or processing of agricultural products and the marketing of agricultural products.
- Where the loan is to support investments in tangible assets or intangible assets on agricultural holdings linked to primary agricultural production, the investment should pursue at least one of the following objectives:
- The improvement of the overall performance and sustainability of the agricultural holding;
- The improvement of the natural environment, hygiene conditions or animal welfare standards, provided the investment goes beyond EU standards;
- The creation and improvement of infrastructure related to the development, adaptation and modernisation of agriculture;
- The achievement of agri-environmental-climate objectives; and
- The restoration of production potential damaged by natural disasters, adverse climatic events, animal diseases, plant pests and the prevention of damages caused by those events.
Further details on the State Aid requirements pertaining to these loans are provided at http://sbci.gov.ie.
State Aid
Details on the State Aid requirements pertaining to these loans are provided at http://sbci.gov.ie.
Summary of Excluded Activities from Agricultural Investment Loans
- Finance of specific export operations, or finance contingent upon the use of domestic over imported products. In particular, it should not apply to financing the establishment and operation of a distribution network in other States, or current expenditure linked to the export activity.
- Loans to support investments required to comply with EU standards in force.
- Loans to an undertaking which is subject to an outstanding recovery order following a previous Commission Decision declaring an aid illegal and incompatible with the internal market;
- Loans to undertakings in difficulty;
- Loans to support the purchase of production rights, payment entitlements and annual plants;
- Loans to support the planting of annual plants;
- Loans to support drainage works; and
- Loans to support the purchase of animals;
- Loans to acquire land.
Please refer to http://sbci.gov.ie for comprehensive detail on specific exclusions.
- How to apply for an SBCI Loan?
Download and complete the attached relevant SBCI application form and contact your Relationship Manager or call into your local Business Centre or Branch. The SBCI loan offer is subject to availability, and standard lending criteria, terms and conditions apply.
For information on how the SBCI handles personal data, including information about your data protection rights (in respect of the SBCI) and the contact details of the SBCI’s data protection officer, please refer to the SBCI’s data protection statement which is available at: https://sbci.gov.ie/