Covid-19 SME Supports (Ireland)
Rescue and Restructuring Scheme
The recently announced €200m package to support businesses impacted by #covid-19 includes the existing Rescue and Restructuring Scheme available via Enterprise Ireland for "vulnerable but viable firms that need to restructure or transform their business".
- last year the budget for this Brexit 'safety-net' Rescue and Restructuring scheme was increased from €20m to €200m
- details of how this fund will apply to #covid-19 impacted business are still being finalised
- it provides financial aid to business experiencing liquidity difficulties who have the potential to restructure and survive
- you can email to request details and stay updated to: [email protected]
The link below includes the various supports via Enterprise Ireland
https://enterprise-ireland.com/en/about-us/services/covid-19/
SME Credit Guarantee Scheme #CGS
This is an existing scheme operated by Strategic Banking Corporation of Ireland available via Bank of Ireland AIB and Ulster Bank - worth sharing for people who don't know about it. #CGS aims to assist SMEs who find it difficult to access credit. The scheme operates by providing an 80% guarantee on qualifying loans.
One of these three barriers to lending must apply:
? Inadequate collateral
? Novel business market, sector or technology which is perceived by finance providers as higher risk under current credit risk evaluation practices
? Need for refinancing caused by the exit of an SMEs lender from the Irish market
If you think one of those applies to you then contact one of the participating banks to discuss.
https://sbci.gov.ie/schemes/sme-credit-guarantee-scheme-cgs
Working Capital Scheme
This a new €200m scheme by Strategic Banking Corporation of Ireland for eligible businesses impacted by #COVID-19 - the details of how to apply and what the criteria will be are still being finalised. Check the website (below) for updates but if you want to stay informed email: [email protected]
Microfinance Ireland COVID-19 Business Loan
This is an existing support that has been modified to help microenterprises impacted by #COVID-19 resulting in a reduction of 15% or more in actual or projected turnover/profit, AND having difficulty in accessing finance from commercial lenders.
Key Features
? Loans from €5,000 – €50,000
? Loan terms typically up to 3 years
? Up to 6 months Interest only payments
? No fees/no hidden costs/charges
? Fixed repayments/no penalty for early repayment
Who can apply
? Any business (Sole Trader, Partnership or Limited Company) with less than 10 employees and annual turnover of up to €2m
https://microfinanceireland.ie/loan-packages/covid19/
Business Continuity Voucher
This is a new support available via your Local Enterprise Office for SMEs seeking help to keep their business going during the #COVID-19 outbreak. The details are still not announced (due shortly) but contact your local office (see link below) and ask them to update you as soon as the conditions are available
Talk to your bank
Bank of Ireland has prepared supports for businesses affected by #COVID19
-the provision of emergency working capital
- prioritising loan decisions for impacted customers
- payment flexibility on loan facilities
- provision of trade finance and foreign currency products to support sourcing products from new suppliers internationally
Contact your Business Relationship Manager or ring 0818 200 348
https://businessbanking.bankofireland.com/covid-19/supports-for-businesses/
AIB is offering advice and help with short term loans, over drafts and credit. They are encouraging customers to contact them as soon as possible if you need advice or support and they will keep you updated on the range of tailored solutions for both business and personal customers. Talk to your local branch, online at aib.ie and over the phone.
Ulster Bank said it will deal with supports on a case-by-case basis. For personal customers that could mean deferring their mortgage and loan repayments for up to three months and accessing funds from fixed term savings accounts early without a breakage fee. Other options include an increase in overdraft and credit card limits along with increased cash withdrawal limits and the waiving of cash advance fees for customers using credit cards to access cash in an emergency.
https://digital.ulsterbank.co.uk/business/support.html
Does your insurance cover you?
Check if your insurance policy covers you for an interruption in your business, or a temporary business closure, caused by COVID-19 - Insurance Ireland issued the following advice
- check your policy documents first to see what cover you have in place
- read the Insurance Product Information Document (IPID). which lists what is insured
-in particular check the material damages covered under the policy as they all vary
Revenue Support & Returns
The following advice for SMEs was issued by Revenue to help businesses experiencing trading difficulties caused by #COVID-19 (but contact revenue direct to discuss any particular concerns you have)
- Tax Returns: businesses experiencing temporary cash flow difficulties should continue to send in tax returns on time.
- Application of Interest: the application of interest on late payments is suspended for January/February VAT and both February and March PAYE (Employers) liabilities.
- Debt Enforcement: All debt enforcement activity is suspended until further notice.
- Tax Clearance: current tax clearance status will remain in place for all businesses over the coming months.
Covid-19 Pandemic Unemployment Payment
There are an estimated 140,000 people unemployed today compared to this time last week and the government has announced an unemployment benefit of €203 per week for six weeks if you are out of work due to the #Covid-19 crisis.
Key Points
- all employers, who can, are being asked to pay employees a minimum of €203 per week and they will be reimbursed by the government for each of the payments made (a temporary refund scheme is being established)
- if employers can't pay that or you are no longer employed then the new Covid-19 Pandemic Unemployment Payment will be paid directly to you
- to apply you will have to fill out a one-page application form (see below for link) - you are being asked not to attend an Intreo Centre but to send the form back by post
You can download the Covid-19 Pandemic Unemployment Payment form with details of where to post it on the link below
https://www.gov.ie/en/service/be74d3-covid-19-pandemic-unemployment-payment/
Illness Benefit for COVID-19 absences
If you have been told to self-isolate (at home or in a medical facility) by a doctor or you have been diagnosed with COVID-19 by a doctor, you can apply for an enhanced Illness Benefit payment of €305 per week. Normal Illness Benefit is €203.
Key issues to qualify
- self-isolating on the instruction of a doctor or diagnosed with COVID-19 (Coronavirus)
- be absent from work and not getting paid by your employer
- paid for a maximum of 2 weeks where a person is self-isolating
- or the duration of absence from work if diagnosed with COVID-19
- your doctor has to complete a medical certificate on your behalf and send this directly to the department.
- Then complete an application form for Illness Benefit (Form IB 1).
- you can call 1890 800 024 or 01 2481398 between 9.00am and 5.00pm Monday to Friday to get an application form by post
- you can organise someone to pick up a form at your doctor’s surgery or at your local Intreo Centre
- an online application process will be available by the end of March
- Send your application form by Freepost to:
Social Welfare Services
Address:
PO Box 1650, Department of Employment Affairs and Social Protection, Dublin 1
The link below will give you further details
https://www.gov.ie/en/service/df55ae-how-to-apply-for-illness-benefit-for-covid-19-absences/
Expert At Industrial Packaging Concepts & Solutions. MD, Owner at Troy Packaging
4 年Thanks Norah will pass on to Non LI Members
Trainer, Mentor and Startup Business Advisor - talk to me if you want to Grow your Business!
4 年Well done Norah on highlighting the supports available. I would urge all businesses affected to contact their banks and the enterprise agencies so that the message of the impact is fully quantified and understood at the decision making level. It is a fast-moving situation and the promise is that more will be done if needed.
MK Illumination Ireland.
4 年Thank you Norah for the Information, however I believe this program to be woefully inadequate. These are not normal times and charging a slightly reduced intetest rate is not going to help.