New figures show that twenty-nine Cork city and county businesses benefitted from small loans totally €481,604 from the government funded not-for-profit lender, Microfinance Ireland, in 2016.
These loans, ranging between €2,000 and €25,000, are supporting the creation and retention of local jobs by providing an alternative source of funding to commercial lenders.
Approximately two-thirds of Cork loans approved by Microfinance Ireland last year either directly, or through the Local Enterprise Offices, went to start-ups. The remainder went to existing small businesses keen to expand. Nationally Cork was one of the highest performing counties for Microfinance loans for the year.
Applicants who seek loans through the Local Enterprise Office can now borrow at the highly competitive fixed interest rate of 6.8% APR. A fixed rate of 7.8% APR applies to businesses which apply directly to Microfinance Ireland.
The 4 different loan packages offered by Microfinance Ireland are:
- Start Up Loans: €5,000 – €25,000 for set-up and early stage trading business
- Cashflow Loans: €5,000 – €25,000 for existing businesses to support cashflow and day-to-day running costs
- Expansion Loans: €5,000 – €25,000 for existing businesses to support business development and expansion
- Small Loans: €2,000 – €5,000 for small businesses (Start-ups and Existing Business) with low funding requirements.
In partnership with the network of Local Enterprise Offices, Microfinance Ireland also launched an expert mentoring assistance to its loan approved applicants in 2016, something which is proving to be of huge benefit to business owners.
Details on loan packages and supports are available through www.microfinanceireland.ie
