Case Studies

Future Growth Loan Scheme Case Studies

Example 1

A distribution sector enterprise based in the Midlands of Ireland which is five years in operation, with 20 employees seeking finance for new equipment as part of a modernisation and efficiency programme to streamline material and product handling in its core business.

This progressive SME wishes to invest €260,000 in new equipment to increase both capacity and efficiency in its core distribution business; a proportion of the investment cost will also cover a patent licence from the manufacturer as the equipment utilises some very new technology.

The SME wishes to repay over a ten year period but have limited collateral to offer due to other financing security commitments. This enterprise is considered viable but needs investment finance to develop and enhance its service delivery and increase efficiency, quality and capacity

SBCI Future Growth Loan Scheme (FGLS)

The SBCI Future Growth Loan Scheme could enable the enterprise to finance this investment in their process and service by the provision of an 80% SBCI guarantee to the participating scheme finance provider. As the amount sought is less than €500,000 no other security is required. The enterprise must meet the on-lender’s credit criteria for the loan and FGLS eligibility criterion.

This enterprise must satisfy the following FGLS eligibility criterion: -

  • Complete a Business Plan detailing the effect of the planned investment (required as the loan sought is in excess of €250,000);
  • Eligible SMEs and Small Midcaps must have an establishment or branch in Ireland;
  • Be in an eligible sector;
  • Complete the FGLS eligibility application form.

Example 2

A long-established food manufacturer based in Wexford (South East Ireland) which is 30 years in operation with 300 employees (Small Midcap) is seeking finance to upgrade its manufacturing plant to increase production capacity, efficiency and product range.

This well-established enterprise operating in a low margin competitive sector needs to update its production capacity, efficiency and product range. They have identified the equipment required and wish to undertake an investment programme in the next 12 months. The investment will cost circa €1.5 million which also includes the cost of extending existing facilities and the cost of research in relation to the proposed investment. The business proposes to repay the facility over 8 years.

SBCI Future Growth Loan Scheme (FGLS)

The SBCI Future Growth Loan Scheme could enable the enterprise to finance this investment in their process and service by the provision of an 80% SBCI guarantee to the participating scheme finance provider. As the amount sought is greater than €500,000 additional security may be asked for by the finance provider. The enterprise must meet the on-lender’s credit criteria for the loan and FGLS eligibility criterion.

This enterprise must satisfy the following FGLS eligibility criterion: -

  • Complete a Business Plan detailing the effect of the planned investment (required as the loan sought is in excess of €250,000);
  • Eligible SMEs and Small Midcaps must have an establishment or branch in Ireland;
  • Be in an eligible sector;
  • Complete the FGLS eligibility application form.

Example 3

An engineering company based in Dublin operating for the last 6 years with 150 employees now wishes to obtain finance for investment in advanced measuring and recording instrumentation.

This engineering company has seen strong growth over the last three years and has identified opportunities to enhance and grow its service offering by utilising cutting edge technologies. The equipment and licence costs are estimated to be €100,000. The business proposes to repay the facility over 10 years.

SBCI Future Growth Loan Scheme (FGLS)

The SBCI Future Growth Loan Scheme could enable the enterprise to finance this investment in their process and service by the provision of an 80% SBCI guarantee to the participating scheme finance provider. As the amount sought is less than €500,000 no other security is required. The enterprise must meet the on-lender’s credit criteria for the loan and FGLS eligibility criterion.

This enterprise must satisfy the following FGLS eligibility criterion: -

  • There is no requirement to complete a separate business plan once the investment rationale and business plan is captured in the finance provider’s loan application;
  • Eligible SMEs and Small Midcaps must have an establishment or branch in Ireland;
  • Be in an eligible sector;
  • Complete the FGLS eligibility application form.

Example 4

A primary agricultural grain producer based in Co. Louth wishes to invest in new grain drying and storage facilities to provide increased and higher quality cereals for both animal and human consumption.

This farm based SME has identified an opportunity to provide better quality cereals for both animal and human consumption and has identified an excellent drying and ventilation system that improves quality and reduces spoilage. The business projects the required investment will cost €300,000 and intends to repay the loan over 10 years.

SBCI Future Growth Loan Scheme (FGLS)

The SBCI Future Growth Loan Scheme could enable the enterprise to finance this investment in their process and service by the provision of an 80% SBCI guarantee to the participating scheme finance provider. As the amount sought is less than €500,000 no other security is required. The enterprise must meet the on-lender’s credit criteria for the loan and FGLS eligibility criterion.

This enterprise must satisfy the following FGLS eligibility criterion: -

  • Complete a Business Plan detailing the effect of the planned investment (required as the loan sought is in excess of €250,000);
  • Verify that the investment has not yet started;
  • Eligible SMEs and Small Midcaps must have an establishment or branch in Ireland;
  • Be in an eligible sector;
  • Complete the FGLS eligibility application form;
  • Loan funding must be utilised for eligible project costs only.

Example 5

A primary agricultural beef producer based in Co. Clare wishes to invest in new animal housing facilities to provide increased and higher quality animal husbandry and longer-term environmental sustainability.

This farm-based SME has identified an opportunity to provide better quality animal housing facilities that enables increasing animal performance and longer-term environmental sustainability. The business projects the required investment will cost €90,000 and intends to repay the loan over 10 years.

SBCI Future Growth Loan Scheme (FGLS)

The SBCI Future Growth Loan Scheme could enable the enterprise to finance this investment in their process and service by the provision of an 80% SBCI guarantee to the participating scheme finance provider. As the amount sought is less than €500,000 no other security is required. The enterprise must meet the on-lender’s credit criteria for the loan and FGLS eligibility criterion.

This enterprise must satisfy the following FGLS eligibility criterion: -

  • There is no requirement to complete a separate business plan once the investment rationale and business plan is captured in the finance provider’s loan application;
  • Verify that the investment has not yet started;
  • Eligible SMEs and Small Midcaps must have an establishment or branch in Ireland;
  • Be in an eligible sector;
  • Complete the FGLS eligibility application form;
  • Loan funding must be utilised for eligible project costs only.