20 Apr 2020 | 11.45 am
Bibby Whets Appetite For SBCI Funding
SMEs accessed €32m in funding via Bibby since 2016
20 Apr 2020 | 11.45 am
SMEs in manufacturing, wholesale and transport have drawn down nearly half of the €70m in funding made available from the Strategic Banking Corporation of Ireland (SBCI) to Bibby Financial Services Ireland.
Businesses operating in the three sectors have accessed €32m in SBCI funding through Bibby Financial Services Ireland since the latter became an on-lender in 2016. More financing is now expected to be provided as SMEs look to maintain cashflow during the Covid-19 crisis.
Of the funding provided through Bibby since 2016, 19% has been provided to businesses operating in the manufacturing sector, 18% by wholesalers, and 10% by transport SMEs.
A further 9% was utilised by food and beverage businesses, and 8% by those in the recruitment sector. Additional sectors that have drawn on the funding include healthcare, construction subcontractors, and a wide range of small businesses such as facilities management, security, telecoms and media companies.
While Bibby Financial Services Ireland offers a range of different financing options, this particular funding facility offers SMEs a discount of up to 1.5% on existing invoice finance services. Last year, Bibby Financial Services Ireland and the SBCI launched a new Trade Finance product, which allows businesses to buy essential equipment during the current crisis before needing to pay for them.
Commenting on the figures, Mark O’Rourke (pictured), managing director at Bibby Financial Services Ireland, said that fast access to finance can make an enormous difference for small and medium-sized businesses looking to manage their cashflow. “It’s more important than ever in these difficult times. With many banks now facing a backlog of applications for working capital loans from SMEs, these figures show how alternative providers can help meet that demand.
“We know that SMEs are facing a range of urgent and pressing challenges, and I’d therefore urge all SMEs to consider the benefits of our range of funding services for their own business.
“As with every aspect of the fight against Covid-19, it is going to take a communal effort to come through this, and we look forward to supporting and championing the wider efforts of the government, banks and non-bank lenders. We are all in this together.”
Nick Ashmore, CEO of the SBCI, said that he was delighted to see such strong demand for its funding. “No matter the obstacles faced by a business – be they threats to the supply chain caused by Covid-19, Brexit, or a struggle to drive growth – SBCI funding can be a valuable aid in overcoming them.”
Bibby Financial Services Ireland’s funding portfolio includes confidential invoice, trade and export finance, foreign exchange services, bad debt protection and specialist funding for a range of sectors.