The largest platform for alternative finance in Ireland says managing cash flow and working capital a key consideration for may Irish firms Brexit preparations including many of the businesses who already use the Linked Finance.
Linked Finance, Ireland’s largest peer-to-peer lending platform, has launched a new loan category for Irish SMEs who are in the process of preparing for Brexit.
Niall Dorrian (pictured), CEO of Linked Finance, says many of the businesses the firm lends to are putting additional working capital in place and this new loan will help better manage cash through the Brexit process' uncertainty.
“The logic being that it’s easier to access credit today before any Brexit-related challenges have taken their toll on cash flow. With the UK political situation changing day by day Irish businesses will continue to hope for the best, but would be prudent to prepare for the worst,” he said.
The new 18-month loan offering allows Irish SMEs to access working capital facilities of up to €300,000. Linked Finance says funding can be accessed within 24 hours. These new loans allow Irish SMEs to spread large annually recurring costs over a longer repayment period than the typical 11 or 12-month facilities usually on offer for things like insurance premiums, stocking loans or professional subscriptions.
The Irish government recently published its “Getting Your Business Brexit Ready” guide, in which it warned that managing cash flow is a key consideration of any practical preparation for Brexit.
Linked Finance also recently announced a wide range of rate reductions across the platform, of as much as 0.55 per cent on some 36-month loan categories.
Linked Finance, since launch in 2013, has provided more than €110m in lending to SMEs in Ireland.