SMEs

A fifth of Irish small businesses applied for bank credit in 2023

Four-fifths of SMEs reported either no change or an increase in turnover in 2023, while 88 per cent made a profit or broke even

Boosting working capital (36 per cent) and expanding operations (31 per cent) were the main reasons cited in loan applications, with a quarter seeking funding to invest in machinery or equipment. Picture: Jirapong Manustrong

Just under a fifth of Irish SMEs applied for bank credit last year, according to new figures from the Department of Finance.

In a department survey of more than 1,500 business owners in Ireland, 18 per cent reported applying for bank finance in 2023 – similar to levels reported in recent years.

The average credit application saw SMEs apply for €186,000, with 88 per cent of loan requests approved.

The average SME reported having €369,000 ...