The SBCI Agirculture Cashflow Support Loan scheme is closed to new applications.
SBCI is a Strategic SME financing company, which is partnering with banks and other lending organisations to provide access to flexible funding for Irish SMEs and farmers in the form of:
- Flexible products with longer maturity and capital repayment options, subject to credit approval
- Lower cost funding to financial institutions, the benefit of which is passed on to SMEs.
AIB is drawing funds from SBCI and lending to SMEs.
Farmers can use an SBCI Agriculture Cashflow Support Loan for the following purposes:
- To meet working capital finance needs for terms between one and six years
- To replenish cashflow where capital expenditure was previously funded using cash, a current account or an existing working capital facility, such as an overdraft / credit line
- To refinance existing farm creditors (e.g. merchant credit) or a portion of existing working capital finance.
There are some exclusions such as:
- New investments in fixed assets and future capital expenditure
- Refinance of existing term finance e.g. term loan, lease and hire purchase
- To replenish cashflow where capital expenditure was previously funded using cash, a current account or an existing working capital facility after 31st December 2016
If you need finance for any of the activities that are excluded from the scheme, contact your Relationship Manager, Branch or call 0818 478 833 to find the most suitable product to meet your needs.
SBCI Agriculture Cashflow Support Loan at a glance
- Interest rate of 2.95% per annum, fixed for the term of the loan
- Loan terms from 1 to 6 years
- Loans available to fund working capital
- Loans are available up to a maximum of €150,000 per farm operation
- No security will be required for these loans
- An interest only repayment option may be available at the start of a loan, subject to normal lending criteria
Who can apply?
SBCI Agriculture Cashflow Support Loans are available to farmers who operate as an SME* and are active in the primary agricultural sector in the Republic of Ireland.Customers will also be required to declare that they meet ONE of the following conditions:
- Are participating in an agri-environment scheme as part of a Rural Development Programme or
- Are a certified member of a Bord Bia Quality Assurance Scheme or are a certified member of a Quality Assurance Scheme run by a co-operative, processor or producer representative body or
- Are a member of a Department of Agriculture, Food and the Marine (DAFM) registered Farm Partnership or
- Have completed or are participating in the financial management elements of DAFM’s Knowledge Transfer Programme or previous programmes such as BTAP and STAP, or they have a certificate or other proof in relation to Financial Training from Teagasc or another body relating to eligible agricultural sectors.
Some agricultural sectors are excluded e.g. Aquaculture, Forestry and Equine.Customers experiencing financial difficulty may not be eligible to apply for this loan.For more details on eligibility and exclusions click here.*SMEs are those who:
- Have less than 250 employees
- Have a turnover €50 million or less (or €43 million or less on their balance sheet)
- Are independent and autonomous (or, if part if a wider group of enterprises, the entire group must qualify as an SME)
- Have less than 25% of their capital held by public bodies.
How much does an SBCI Agriculture Cashflow Support Loan cost?
Loans are available at 2.95% per annum, fixed for the duration of the loan. If you are able to repay your loan early we won’t apply breakage costs.A typical €30,000 two year fixed interest rate loan will have 24 monthly repayments of €1,288.61, APR (Annual Percentage Rate) 2.98%. If the APR does not vary during the term of the loan the total cost of credit of this loan i.e. total amount repayable less the amount of the loan, would be €926.64.
How available is an SBCI Agriculture Cashflow Support Loan?
Like all loans, we will take everything into account when you apply for an SBCI Agriculture Cashflow Support Loan. We’ll look at your application carefully, and make a decision based on your ability to repay the facility sought. We’ll check everything and get back to you with a decision as soon as we can.If you are an AIB customer and the new loan is less than €30,000, we will respond with a decision within 48 hours*.*We aim to provide a decision within 48 hours upon receipt of all required information. 48 hours excludes Saturdays, Sundays and Bank Holidays. If you are experiencing financial difficulties please talk to us so we can advise the best solution for you.
Are there maximum Terms and Amounts for an SBCI Agriculture Cashflow Support Loan?
An SBCI Agriculture Cashflow Support Loan is available for terms between 1 and 6 years, depending on the loan purpose.Loans are available up to a maximum of €150,000 per farm operation.
Interest Only Option*
An interest-only repayment period may be available at the start of the loan, subject to normal lending criteria.*This may impact on the repayment amount and/or term of the loan.
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.If State Aid is generated, it will be delivered under the De Minimis Aid scheme*.Talk to your Relationship Manager who will help you find out if State Aid applies in your particular circumstances.*Your use of this external website is subject to the terms and conditions of that site.
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 Relationship Manager or call our Direct Business Advisors on 0818 478 833, 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.
WARNING: You may have to pay charges if you repay early, in full or in part, a fixed-rate credit facility.
AIB will not apply charges if you repay an SBCI Agriculture Cashflow Support Loan early.
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.
It is important to be aware that as part of the application process AIB is obliged to share information about successful applicants with the SBCI. This is primarily to validate eligibility for the scheme but it may also be shared with EU Bodies and State Bodies. This will be done with regard to obligations under data protection legislation. The Department of Agriculture, Food and the Marine (DAFM) and the SBCI may post information on their websites about you the customer, the SBCI scheme and also the loan. If you decide to proceed with this application you consent to the transfer and use of your information in this manner. The SBCI, EU Bodies and State Bodies may also correspond directly with you from time to time.
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.