SME Finance & Leasing Solutions in Kilkenny has sourced €17.5m from Strategic Banking Corporation of Ireland for lending to micro enterprises and sole traders.
The company finances hire purchase/leasing for equipment, machinery and vehicles. It said it will use the lower cost SBCI funding to offer finance from €1,000 to €70,000 across sole traders and firms employing up to 10 people.
Eugene O'Donovan (pictured), chief executive, stated: “We are excited to be able to offer these funds through our unique dealer network where we offer a fast, flexible finance solution to the market. Unlike many other finance companies, we don’t just offer a generic service. We aim to build a long-standing and reliable relationship with our customers and dealers.”
He added that funding will be available at substantial discounts to typical rates, and borrowers will not be required to provide personal guarantees. Further details are available at www.sbci.gov.ie and www.smeleasing.ie.
SME Finance & Leasing becomes the 11th lender to partner with the SBCI in providing low-cost funding to SMEs, with c.30,000 SMEs benefiting from over €1.4 billion in lower cost funding drawn down through SBCI-backed initiatives to date.
In Association with
The company is the seventh non-bank lender to team up with the SBCI, as part of the SBCI’s efforts to enhance competition in the SME funding market by supporting a combination of banks and non-banks, as well as a mix of long-established institutions and newer entrants to the market.
Finance minister Paschal Donohoe commented: “Giving SMEs, and in particular micro-SMEs, access to a broader range of credit supports will be vital in supporting their recovery from the current crisis. It is noteworthy that the SBCI is now working with SME Financing and Leasing Solutions as a new lending partner, broadening the distribution of credit support, and supporting SMEs, both now and into the recovery period.”
Nick Ashmore, chief executive at SBCI, said: “This is an exceptionally difficult time for all businesses, and we want to lower financing costs for all SMEs, from sole traders to businesses employing hundreds of people.
“This announcement is a great new option for micro-SMEs that underlines our commitment to increasing choice for SMEs and increasing competition in the SME financing market by supporting new entrants to that market. We plan to add more on-lending partners and give SMEs better access to lower cost funding to help them address the enormous challenges they are facing.”
