Linked Finance has been accredited to provide emergency lending under Ireland’s Covid-19 Credit Guarantee Scheme (CCGS).
The Irish peer-to-peer business lender will offer loans of up to €250,000 (£225,000) for terms of six months to five years at interest rates starting at 4.75 per cent.
The platform said it will be able to offer borrowers decisions on loans in under 24 hours from receiving their documents.
“We are very pleased that the government has approved Linked Finance as a Covid-19 credit guarantee scheme lender, recognising the innovation and high levels of technical underwriting skill that we provide to Irish businesses,” Niall Dorrian (pictured), chief executive of Linked Finance, said.
“It is also an important milestone in the diversification of how businesses access finance in this country, a trend that’s been happening in many European markets in response to this pandemic.
“We’ve been proactively supporting both new and existing customers to manage the impact of Covid-19 on their businesses, and we encourage companies to avail of our fast and simple lending service.”
The CCGS scheme was launched in July 2020 by the Department of Business, Enterprise and Innovation and is operated through Ireland’s Strategic Banking Corporation of Ireland (SBCI).
Borrowers must also pay an additional risk premium charge to the government for its provision of a capital guarantee covering up to 80 per cent of the potential capital loss in the event of default.
“The SBCI is delighted to welcome Linked Finance as a partner for the Government’s Covid-19 credit guarantee scheme,” Nick Ashmore, chief executive of SBCI, said.
“The addition of another provider with fast application turnaround for this scheme increases the options available for small- and medium-sized enterprises in accessing finance for their business, to address the impact of the Covid-19 pandemic.”