SBCI launches €45 invoice financing fund for SMEs with Bibby Finance
The Strategic Banking Corporation of Ireland (SBCI) and Bibby Financial Services Ireland (BFSI) have launched a new €45m invoice financing fund for small and medium enterprises (SMEs).
The new fund makes more favourable rates for BFSI's invoice finance facilities accessible for Irish firms and is available immediately.
Invoice financing frees up cash for company by giving them up front payment against the value of outstanding invoices. The deal marks the SBCI's first venture into invoice financing.
Finance minister Michael Noonan welcomed the new fund.
“This new €45 million package further diversifies the funding available to SMEs at a critical time for Irish businesses especially those who include exports to the UK as part of their sales.
"It is a welcome fact that Bibby Financial Services is a global business with a strong presence throughout the UK and Ireland. Irish SMEs are now in a position to benefit from SBCI funding available through an expert Invoice Finance provider," Mr Noonan said.
BFS chief executive Steve Box said he was "delighted" to announce the partnership.
“At a time where there is some uncertainty in markets across Europe, the most basic support that SMEs need to grow and scale-up their businesses is access to finance. Our €45m facility agreed with SBCI will enable us to deliver lower cost, more flexible and competitive funding solutions to SMEs throughout Ireland.
"While there is still a high level of dependency on traditional banks amongst SMEs, we are seeing a growing appetite for alternative sources of finance and we look forward to helping Irish businesses to thrive and grow, both domestically and internationally.”