BRAVE INVESTS IN THE FUTURE THAT S WHY WE RE BACKING SMALL BUSINESSES AND FARMERS. #backedbyaib

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1 BRAVE INVESTS IN THE FUTURE THAT S WHY WE RE BACKING SMALL BUSINESSES AND FARMERS #backedbyaib

2 HELPING THEM WITH ACCESS TO CREDIT AT A RATE OF 4.5% #backedbyaib

3 Backing brave SMEs and farmers helping them access loans at a lower cost. At AIB, we re backing people like you in the Small and Medium Enterprise sector. We know the challenges you face, like getting more flexibility when it comes to funding. Yes, it s daring to dream, but brave is having the means to make it happen and getting an answer fast. That s why we re partnering with the Strategic Banking Corporation of Ireland (SBCI) to help small businesses like yours get access to loans at a lower cost and over longer terms than you d expect. And for our customers looking for new business loans of up to 30,000, we will give them an answer within 48 hours*. SBCI offer Backing brave SMEs helping them access loans at a lower cost. At AIB, we re backing people like you in the Small and Medium Enterprise sector. We know the challenges you face, like getting more flexibility when it comes to funding. Yes, it s daring to dream, but brave is having the means to make it happen and getting an answer fast. That s why we re partnering with the Strategic Banking Corporation of Ireland (SBCI) to help small businesses like yours get access to loans at a lower cost and over longer terms than you d expect. And for our customers looking for new business loans of up to 30,000, we will give them an answer within 48 hours*. SBCI is a new strategic SME funding company that partners with banks to bring flexible funding to Irish SMEs. This partnership helps us back what s brave about small business in Ireland. SBCI is a new SME funding company who partners with banks to provide access to flexible funding to Irish SMEs and farmers. This partnership helps us back what s brave about small and medium business in Ireland. What s on offer with an SBCI Loan? Loans at 4.5% per annum variable, a competitive, 2% discount from our Standard Business Loan Rate Terms between 2 and 10 years Loans for working capital and investments Funding up to 5m 48 hour approval on new business loan requests up to 30,000 for AIB customers* 1

4 About the SBCI Loan Who Can Apply? SBCI loans are open to most Small and Medium Enterprises (SMEs). To help SMEs borrow, we consider backing businesses who ** : have less than 250 employees have a turnover 50 Million or less (or 43m 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 have a significant presence in Ireland For the agricultural sector, SMEs must also be active at least in one of the following: primary agricultural production processing agricultural products marketing of agricultural products Some Activities/Sectors are excluded, these include: aquaculture and fisheries A full list of all exclusions can be found by visiting How much does an SBCI Loan cost? Loans are available at 4.5% per anum variable. This is 2% lower than our Standard Variable Business Rate of 6.5%. To find out more contact your Relationship Manager, Branch or Business Centre or visit ** As per Standard EU definition (Commission Regulation 2003/361/EC) 2

5 3 EASY WAYS TO APPLY Online: The SME Business Lending application form is available on Branch Drop into any AIB branch Phone: Call Dedicated SME line What is the term of an SBCI Loan? An SBCI loan is available for any term between 2 and 10 years. How available is an SBCI loan? Like all loans, we will take everything into account when you apply for a SBCI 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*. Is the SBCI loan State Aid? SBCI, which is a state body, provides a portion of the discount in interest rate. In some cases, this reduction in rate may be classified as State Aid. Talk to your Relationship Manager who will help you find out if State Aid applies in your particular circumstances. If State Aid is generated it will be delivered under either the De Minimis Aid Scheme or the Agriculture Investment Loan Scheme. For more details visit Talk to your Relationship Manager who will help you find out if State Aid applies in your particular circumstances. * 48 hours starts upon receipt of all required information, excludes Weekends and Bank Holidays. It may take longer for customers experiencing financial difficulties. 3

6 SBCI Loan Purpose How can an SBCI loan back your brave idea? Small and Medium Enterprises can use an SBCI loan for working capital or investments such as: Buy, renew or increase tangible assets such as machinery and buildings Invest in intangible assets, such as: buying patents and licenses the cost of designing and building a tangible asset research and development Buy out a business, for example, from retiring owner or to create new management Refinance loans held with certain banks leaving the Irish market (for a list of these banks visit subject to that bank s acceptance There are some exclusions for example: purchase of road freight transport vehicles by SME s performing road freight transport for hire or reward purchase of land purchase of real estate for resale or rent to third parties refinancing completed projects financing exporting activity working capital for the agricultural sector For a list of excluded activities, refer to If you need finance for any excluded activities, discuss it with your Relationship Manager, Branch or Business Centre to find the most suitable product to meet your needs. 4

7 You will find more about how we are backing brave through SBCI loans on our website at or in branch. What else do you need to know? 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 SBCI Funders, EU Bodies and State Bodies. This will be done with regard to obligations under data protection legislation. In relation to agricultural investment loans, SBCI may post information on its website about you the customer, the SBCI scheme project 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 may also correspond directly with you from time to time. 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. Allied Irish Banks, p.l.c. is regulated by the Central Bank of Ireland. 5

8 In Branch. On the phone. Online SBCI 03/15