Frequently asked questions

The Max Exposure is €25,000 that you can have with Microfinance Ireland. We offer small business loans from €2,000 – €25,000 to start-ups and established businesses who are having difficulty getting a loan from other loan providers.

The Max Exposure is €25,000 that you can have with Microfinance Ireland. If your previous loan was for less than the max exposure amount, you may re-apply once your total loan amount from us doesn’t exceed the €25,000 limit.

At Microfinance Ireland, we do not compete with the banks. We provide small loans through the Government’s Microenterprise Loan Fund. The purpose of the fund is to help startups and established businesses to get the finance they need for their business. As we are government supported, we do have a high risk appetite! We want to help you, your business and support employment levels in the country.

When our loan assessor is reviewing your application, they will be able to determine if your loan application would be approved by a bank, or if you are indeed not bankable.

If you go to your bank and they do reject your application, you can get referred to us. Applicants that are referred to us by their bank receive a 1% discount on the loan interest rate.

If you are dissatisfied with the credit decision, you do have the right to appeal through Microfinance Ireland’s internal credit appeals procedure for loans over €5,000. You should submit your appeal  in writing directly to us setting out the basis for the appeal.

The Credit Assessor who was involved in the original decision will not be involved in the appeals decision. A written response will be sent to you within 15 business days of receipt of your written appeal.

Typically, if an application is declined, you will need some time to address the business issues or concerns that were raised during the credit application process. In general, we recommend that you wait for 6 months approx. before reapplying or until the issues raised have been addressed or resolved.

We provide unsecured business loans up to €25,000 to both Start-ups and Established businesses that are having difficulty in getting access to funding.

Those that are setting up a business, have been in existence less than 18 months, and businesses that have been established over 18 months are all welcome to apply.

Microfinance Ireland will entertain an application to acquire / purchase an existing business.

The standard eligibility criteria are important in so far as the proposal is not a bankable deal, not operating in a restricted sector etc.

Previous credit history does not prevent you from applying for a business loan with us.

If you can demonstrate that you are dealing with your current debt issues and that your business has the capacity to repay a new loan, we will consider your application.

Microfinance Ireland’s customers come from a diverse range of industry sectors and from all across Ireland. Our loans can be used for expansion, equipment purchase, working capital etc and depending on the case vehicles for the business.

Microfinance Ireland lends to small businesses based in the Republic of Ireland with fewer than 10 employees and annual turnover must be less than €2 million (micro-enterprises). The loan you get from us must create or sustain 1 full-time position in the business either for you or for somebody else.

Your local enterprise office can help you with filling out your forms, putting together your cashflows and business plans, and if you apply via your Local Enterprise Office, you will get a 1% discount on your loan interest rate.

Find your Local Enterprise Office: https://www.localenterprise.ie/Find-Your-Local-Enterprise-Office/

Please see the list of requirements and eligibility criteria. Once you meet our criteria, you are more than welcome to apply for a small business loan with us.

Requirements

• Applicants must be over 18 years of age.
• The business must be located in and registered in the Republic of Ireland and at least 1 full time job must be created/sustained in the Republic of Ireland.
• The Applicant must also reside in their private residence on the island of Ireland (32 counties)
• The Applicant must have an Irish PPSN number and for limited Companies this includes Executive Directors/Shareholders with a Shareholding greater than 25% or any Natural Person who MFI deem to be in control of this business.
• The business must find it difficult to get a loan from other financial providers.

You will need to be able to show that from the loan you obtain from Microfinance Ireland that:

• You are supporting/ creating one full time job
• You have less than 10 Fulltime employees
• Turnover is less than €2 million
• You are not on our excluded sectors list: Exclusions | Small Business Loans

Your Local Enterprise Office, Local Development Company or other community-based Enterprise Centre may be able to assist you in preparing the documents required for your Application to Microfinance Ireland.

Alternatively you can call us on 01 260 1007 and we will help point you in the right direction and get you the support you need.

If you are applying for a loan of less than €5,000 you need to fill out the application form and also send in 6 months bank statements personal and businesses.

You also should send in your financial and management accounts for the previous year.

If you are applying for more than €5,000- up to €25,000 you will also need to send in a Cashflow forecast.

If your company is a LTD company you will also need to send in a personal CCR report for each director with more than 25% share.

Under the current rules of the Central Credit Register (CCR), MFI is legally obliged to conduct a credit search in the name of the borrower with CCR.

While MFI complete a credit search in the name of the limited company, we are precluded from undertaking a credit search in the personal names of Company Directors and/or Shareholders.

Therefore we request all Directors and Shareholders with a 25% or more shareholding in the company to obtain their own personal credit report from CCR and submit to MFI along with the limited company application.

At Microfinance Ireland, we can only count it as a referral if the customer give to us the proper referral letter, and then they can avail of the 1% discounted interest rate if approved for a business loan.