How to get a business loan in Ireland: what lenders check, what to prepare and your rights

What lenders look at

Credit Review is the independent body that reviews bank lending decisions. Its guide for small firms, written in 2020, says it mostly comes down to cash. Can the business generate enough to repay the loan over the period you are asking for?

An established business shows that through its track record. A new business has to show it through a credible plan and forecast.

The banks publish what they check. Between them, AIB and Bank of Ireland list:

• a track record of profitable trading, and a realistic business plan and cashflow forecast
• a good credit history over the previous 3 to 5 years. For a start-up, AIB says that may mean the owner's own record
• regular money coming into the account, and turnover that matches what you tell the bank
• an overdraft that goes back into credit, for at least 30 days in the year
• tax, suppliers and existing borrowings paid on time

Lenders also want to see your own money in the project. Credit Review's guide says a bank normally looks for about 30% of the funding to come from the borrower.

And they read your credit report. A lender must check the Central Credit Register when you apply for €2,000 or more.

Check your own credit record first

The Central Credit Register is run by the Central Bank. It holds loans of €500 or more, including business loans where you are named as borrower or guarantor. A record stays for up to five years after the loan is cleared.

A sole trader can request their report free at any time, subject to fair usage. A company's first report in each calendar year is free. You apply on the Central Credit Register website with proof of identity.

Look for missed payments you did not know about, and for mistakes. Credit Review says negative information on the report may lead to an automatic no, especially where a bank's decision is automated. You can add a statement of up to 200 words to explain something on your record.

Do not fire off applications to several lenders at once. Each application is recorded for six months and other lenders can see it. Several in a short time can affect how a lender views the next one.

What to prepare

The lists differ a little from lender to lender. This is what AIB, Bank of Ireland, PTSB and the credit unions ask for between them:

• A business plan. Who owns the business, what it does, its customers and competitors, what it has achieved, where it is going, the risks, and what the money is for.
• A cashflow forecast. Month by month, for at least 12 months, with the assumptions behind it. It has to show that the cash will be there to make the repayments.
• Accounts. Two to three years, plus up-to-date management figures, if you are trading.
• Bank statements. Usually 6 months, business and personal, if you are new to the lender.
• Lists of who owes you money and who you owe.
• Proof that your tax is up to date.
• A statement of affairs: what you and the other owners own and owe.
• Details of any security you can offer.

A start-up has no accounts to show. Bank of Ireland asks start-ups for a business plan and a statement of affairs. PTSB's list for a lending application includes a business plan and 12 months of cashflow projections. AIB says short-term cashflow projections are of particular importance.

There is free help. Credit Review points small firms to their Local Enterprise Office. See also what goes into a business plan for an Irish lender and how to build the month-by-month forecast a lender asks for.

How to apply, step by step

1. Decide exactly how much you need, what it is for and how long you need it. Credit Review's guide says the term should normally be no longer than the life of what you are buying.
2. Pick the kind of finance that fits the job: an overdraft, a term loan and asset finance each do a different job.
3. Talk to the lender before you apply. Under the Central Bank's rules you are entitled to ask for a meeting about a proposed application, and the lender must give you guidance that may help you make a successful one.
4. Send everything together. The lender's clock starts when the application is complete.
5. Get any agreement in writing, and keep copies.
6. Read the offer. It sets out the amount, the rate, the repayments, any conditions and any security. AIB recommends taking legal advice before you sign.

For smaller amounts, expect to apply online or by phone. Bank of Ireland takes applications up to €500,000 online. AIB takes them over the phone.

How long it takes

The Central Bank's rules set the frame. A lender must acknowledge your application in writing within 5 working days. If it cannot decide within 15 working days of getting a complete application, it must tell you why and when to expect an answer.

The rules that protect you

The Central Bank's regulations on lending to small and medium businesses apply to regulated lenders, including banks and credit unions. Its guide sets out the protections for micro and small enterprises, meaning fewer than 50 staff and turnover or a balance sheet of €10 million or less. A lender must:

• publish how its application process works, what it may ask for and its timelines
• ask only for security that is reasonable and proportionate, and explain in writing why it wants it
• warn anyone asked to give a personal guarantee, in writing, that their personal assets, including their home, may be at risk
• tell you in writing whether the application is approved or refused
• give reasons for a refusal in writing, specific to your application
• offer you a meeting to review your borrowing at least once a year

The Consumer Protection Code 2025 took effect on 24 March 2026. The Central Bank says it protects small businesses as well as individuals. Sole traders and partnerships count as consumers under it, and so do companies with turnover of €5 million or less. The Code does not apply to credit union lending, but the lending regulations above do.

These rules bind regulated lenders. Some finance falls outside them, such as invoice finance from a bank's separate finance company. The provider's page carries a warning when that is the case.

If you are refused

1. Get the reasons in writing. The lender must give them when it tells you of the refusal, along with how to appeal.
2. Appeal inside the lender. You must be given at least 20 working days to do it. AIB allows 25 business days, Bank of Ireland 21 working days and PTSB 20 business days. At least two people who were not involved in the first decision hear the appeal. If they cannot decide within 15 working days, the lender has to tell you why.
3. If the lender was AIB, Bank of Ireland or PTSB and the appeal fails, apply to Credit Review within 30 days of the bank's letter. It does not cover credit unions or other lenders.
4. Use the reasons. They tell you what to fix before you apply anywhere else.
5. Look at the lender set up for firms the banks decline: Microfinance Ireland lends €2,000 to €50,000 to firms with fewer than 10 staff. A referral from the bank takes 1% off its rate.
6. If you think the lender treated you unfairly, complain to it in writing. A complaint it does not resolve can go to the Financial Services and Pensions Ombudsman, which takes complaints from businesses with turnover of up to €3 million.

AIB and Bank of Ireland both say a declined application does not damage your credit rating. PTSB says an earlier refusal may affect your rating with PTSB itself. The application still shows on the Central Credit Register for six months.

We take no commission or payment from any lender. This page is information only, not financial advice.

Common questions

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