We have closed the SBCI COVID-19 Working Capital Loan Scheme to new applications.
- If your business has been affected by Covid-19, consider the Covid-19 Credit Guarantee Scheme
We’ve partnered with the Strategic Banking Corporation of Ireland (SBCI) to bring you the SBCI Covid-19 Loan Scheme.
This Scheme provides competitively priced, flexible funding to businesses to address the impact of Covid-19.
Key features
- Maximum interest rate of 4%, fixed for the term of the loan with no breakage costs.
For example €25,000 over 3 years at 4% will have 36 monthly repayments of €737.97. The total cost of credit for the loan is €1,566.92.
- Loan terms from 1 year to a maximum of 3 years, including any requirement to restructure.
- Loans are available for amounts from €25,000 up to a maximum of €1,500,000 per business (including any previous SBCI Brexit Loans and SBCI Covid-19 Working Capital Loans).
- No security will be required for loans up to €500,000.
- An interest only repayment option may be available at the start of a loan, subject to normal lending criteria. If you avail of an Interest Only option at the start of your loan, your total cost of credit will be higher as a result.
For example €25,000 over 3 years at 4% with an interest only option will have 12 monthly repayments of €83.09 followed by 24 monthly repayments of €1,085.62. The total cost of credit for the loan is €2,051.96.
- Loans can be used to:
- Fund working capital needs, and;
- Fund innovation, change or adaption of the business to mitigate the impact of Covid-19.
SBCI Covid-19 Working Capital Loan Scheme at a glance
- Max interest rate of 4.00% fixed per annum
- Amount available from €25,000 up to €1,500,000
- Terms from 1 to 3 years
Useful information about eligibility
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Who can apply
Viable micro, small and medium sized enterprises, SMEs and Small MidCap (that meet the eligibility criteria). SMEs are defined as enterprises that:
- have fewer than 250 employees
- have a turnover of €50 million or less (or €43 million or less on their balance sheet)
- are independent and autonomous i.e. not part of a wider group of enterprises
- have less than 25% of their capital held by public bodies
- is established and operating in the Republic of Ireland
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Who cannot apply
SMEs/Small Midcap enterprises that cannot apply:
- are an undertaking in difficulty;
- has a substantial focus on one or more Restricted Sectors including primary agriculture and or aquaculture sectors;
- are delinquent or in default under any agreement with AIB or another financial institution;
- are established in a Non-Cooperative Jurisdiction
- are bankrupt or being wound up or having its affairs administered by the courts;
- in the last 5 years has entered into an arrangement with creditors, in the context of being bankrupt or wound-up or having its affairs administered by the courts
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Eligibility criteria
SMEs/ Small Mid-Cap, at the time of loan application must satisfy at least one of the Innovation criteria and the Covid-19 criterion: –Covid-19 CriterionThere will be a reduction in business turnover by a minimum of 15% as a direct result of Covid-19Innovation CriteriaPlease note that an up to date business plan will be required to be provided to AIB in all cases when applying for an SBCI Scheme Loan.The other documents detailed in No. 3, 4, 5, 6, 7, 8, 10, 11 will be required to be provided to the SBCI as part of the Eligibility Application Form.1. At least 80% of the Scheme Loan will be spent on research and innovation activities with the remainder on costs necessary to enable such activities.Evidence required from applicant: The business plan given to AIB must reflect the details of the expenditures and activities to be undertaken.2. You intend to enter a new product or geographical market, and the required investment is higher than 50% of average annual turnover in the preceding 5 years.Evidence required from applicant: The business plan given to AIB must reflect details of the expenditures.3. You will have registered at least one technology right in the last 24 months and the purpose of the loan is to enable use of this technology right.Evidence required from applicant: Evidence of technology right e.g. patent, utility model, design right, protection certificates.4. You are an SME and research and innovation costs represent at least 10% of total operating costs in at least one of the last three years preceding this loan application, or in the case where there is no financial history, as per current financial statements.Evidence required from applicant: Costs to be certified in a letter by an accountant practising in the Republic of Ireland5. You are a Small Mid-Cap and research and innovation costs represent either:at least 15% of total operating costs in at least one of the three years preceding this loan applicationat least 10% per year of total operating costs in the three years preceding this loan application.Evidence required from applicant: Costs to be certified in a letter by an accountant practising in the Republic of Ireland6. You have been awarded a Research and Development or Innovation prize by an EU Institution or EU Body over the last 24 months.Evidence required from applicant: Appropriate evidence of prize.7. You have received a grant, loan or guarantee from a European research and innovation scheme (e.g. Horizon 2020 or FP7) or regional/national research or innovation support scheme in the last three years, and are confirming that the Scheme Loan is not covering the same expense.Evidence required from applicant: Appropriate evidence of the grant, loan or guarantee.8. You are an early stage SME and have received an investment over the last 24 months from a venture capital investor, business angel.Evidence required from applicant: Appropriate evidence of the investment to be provided.9. You intend to use the loan to invest in producing, developing or implementing new or substantially improved products, processes or services or production or delivery methods (including business models) that are innovative, and where there is a risk of technological, industrial or business failure as evidenced by an external expert.Evidence required from applicant: The business plan must demonstrate those risks of failure and be evaluated by an external expert e.g. an accountant, engineer, your Bank.10. You are a “fast growing enterprise“ operating for less than 12 years with an average annualised employee or turnover growth greater than 20% a year, over a three-year period and with ten or more employees at the beginning of that period.Evidence required from applicant: Evidence to be certified by an accountant practising in the Republic of Ireland.11. You are operating in a market for less than seven years and research and innovation costs represent at least 5% of total operating costs in at least one of the three years preceding the loan application or in the case of an enterprise (and particularly a start-up) without any financial history, according to current financial statements.Evidence required from applicant: Costs to be certified in a letter by an accountant practising in Republic of Ireland.
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How to apply
- Review the Eligibility Criteria to assess if your business is eligible for a loan under the SBCI Covid-19 Working Capital Scheme.
- Complete the Eligibility Application Form and submit to SBCI – online form and full details can be found on the SBCI Website
- Eligible SMEs will receive a confirmation letter from SBCI with a reference number (which is valid for 6 months)
- Contact your Branch, Relationship Manager or call Direct Business Advisors on 0818 47 88 33 with your reference number to begin your loan application.
Note: Confirmation of scheme eligibility does not guarantee credit approval; Customers will be required to submit a standard business loan application to the Bank.The SBCI require a business plan to be provided along with your loan application to AIB. SBCI have guidance on their website for Covid-19 applications -
State aid
SBCI, which is a state body, provides support for the scheme which allows a reduced interest rate to be applied. In some cases, this reduction in rate may be classified as State Aid.Loan amounts and term are dependent upon State Aid thresholds – SMEs are subject to De Minimis State Aid thresholds, provided such Aid does not exceed €200,000 in any 3-year fiscal period. Borrowing under this scheme will give rise to State Aid benefit, and hence there may be a restriction on the loan amount/loan term that can be availed of by the borrower. It is important to note that the State Aid is not the amount of the loan.Full details can be found on the SBCI Website.
We're here to help
Eligible SMEs will receive a confirmation letter from the SBCI with a Customer Eligibility Code (which is valid for 6 months).
Contact your Branch, Relationship Manager or call Direct Business Advisors on 0818 47 88 33, Mon-Fri 9am-5pm with your Customer Eligibility Code to begin your loan application.



Important / Regulatory Information
WARNING: The entire amount you have borrowed will still be outstanding at the end of the interest-only period.
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WARNING: You may have to pay charges if you repay early, in full or in part, a fixed-rate credit facility.
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AIB will not apply charges if you repay an SBCI COVID-19 Working Capital facility early.
The SBCI COVID-19 Working Capital Scheme is being offered by the Strategic Banking Corporation of Ireland in partnership with the Department of Business, Enterprise and Innovation, the Department of Agriculture and the Marine and is supported by the InnovFin SME Guarantee Facility, with the financial backing of the European Union under Horizon 2020 Financial Instruments and the European Fund for Strategic Investments (EFSI) set up under the Investment Plan for Europe. The purpose of EFSI is to help support financing and implementing productive investments in the European Union and to ensure increased access to financing.
It is important to be aware that AIB is obliged to share personal information about successful applicants with the SBCI and this information will also be shared with EU Bodies and State Bodies. This will be done with regard to obligations under data protection legislation. You can read our Data Protection – Use of Information Notice by visiting our website or contact us directly for more information on how we use your information.
For information on how the SBCI handles personal data, including information about your data protection rights (in respect of the SBCI) and the contact details of the SBCI’s data protection officer, please refer to the SBCI’s data protection statement.
You also need to be aware that you will need to keep and be able to produce all documents relating to the SBCI COVID-19 Working Capital Scheme for a period of 7 years from the end of your loan.
If you provide false information in relation to your eligibility for the Scheme or the amount of State Aid received, AIB are obliged to share this information with the SBCI who may take further action. This may also result in the termination of your loan facility and a demand for early repayment in full.
Lending Criteria, terms and conditions apply. Credit facilities are subject to repayment capacity and financial status and are not available to persons under 18 years of age. Security may be required.