The non-bank lender, Linked Finance, has secured an additional € 5 million in funds to lend to businesses under the government’s Covid-19 credit guarantee program.
The peer-to-peer lending platform claims to have already funded more than € 10 million in loans to small and medium-sized business (SME) clients since January, when it became the first non-bank lender to offer loans through the government program.
The funds are administered through the Strategic Banking Corporation of Ireland, which makes low cost credit available to Irish SMEs.
The € 2 billion credit guarantee program – the largest ever state-backed loan guarantee in Ireland – offers an 80% government guarantee to participating lenders to enable Irish businesses to access loans at low interest rate when responding to the impacts of Covid-19.
It has been announced in recent months that the CGS will remain open for applications until the end of the year.
“The award of a second tranche demonstrates the success of the alternative lenders participating in the program and shows the improvement in the range of options available to companies looking to access finance quickly and efficiently in a transparent online process,” Niall O’Grady, CEO of Linked Finance said.
Linked Finance also announced the launch of a new SME Recharge Loan that will provide pubs, restaurants, hosts and cafes with a loan of up to € 50,000 to help them reopen, restock and rehire as pandemic restrictions. are relaxed.
Hotels reopened from June 2 and bars and restaurants also reopened for outdoor service.
The loan term is 13 months, with no repayment in the first month.