THE MSME LOAN-GRANT IS AN EC$10 MILLION-DOLLAR FACILITY AIMED AT PROVIDING POST COVID-19 PANDEMIC RELIEF TO REGISTERED MSMES. IT IS A COMBINATION OF 70% GRANT AND 30% LOAN FUNDING AT AN ATTRACTIVE INTEREST RATE OF 3% WITH MINIMUM COLLATERAL REQUIREMENTS.
The Ministry of Commerce, Manufacturing, Business Development, Cooperatives and Consumer Affairs issues its first call for applications for the Micro Small Medium Enterprise (MSME) Loan-Grant Facility on Monday, 20th March, 2023. The MSME Loan-Grant is an EC$10 million-dollar facility aimed at providing post COVID-19 pandemic relief to registered MSMEs. It is a combination of 70% grant and 30% loan funding at an attractive interest rate of 3% with minimum collateral requirements.
Applications can be obtained online via the Ministry of Commerce’s website (www.commerce.gov.lc). Alternatively, physical (paper) application forms can be picked up at the Ministry of Commerce. Please note:
- Applications will be accepted from 8:00 am to 3:00 pm, Monday to Friday, commencing Monday 20th March 2023.
- The deadline for receiving applications is Wednesday, 19th April, 2023 at 3:00 pm.
The application must be completed in duplicate (with original signature) and submitted with a business plan that includes financial projections. Only one (1) application per person is permitted. (An individual or entity may only benefit from the Loan-Grant facility once.) Applicants must be Saint Lucian nationals between the ages of 31 and 60. Supporting documents such as proforma invoices and health certificates must be provided.
Additionally, applicants must undergo a credit check, relevant training and technical assistance, as well as adhere to the programme's monitoring requirements if successful.
Prospective businesses may qualify for funds up to $10,000, while businesses in existence no more than two years can seek up to $20,000 in funding. Businesses in existence for over two years can access up to $25,000. Priority areas include Manufacturing (e.g. agro-processing), Agriculture, Agro-tourism and Services (Beauty and Wellness, Creative Industries, ICT and Professional Services). Accommodation and non-profit businesses do not qualify under this facility.
Eligible use of funds: equipment upgrade/modernisation; food safety standards/certifications; the purchase of raw materials; direct supplies and promotional material; obtaining technical assistance; facilitating product and service development; retrofitting premises for standardization; accessing training programs that benefit the business; packaging and design.
Ineligible use of funds: payment of overheads such as salaries, rent and utilities, etc.; personal use; travel costs; interest owed on outstanding loans; tax arrears; debts and provision for losses or debts; items already financed by another framework and sponsorships.
For more information, contact the Ministry’s Small Enterprise Development Unit (SEDU) at 468-4218 or 468-4223.