Following the Australian Government enacting legislation to support aquaculture and wild catch fishing businesses affected by the South Australian marine harmful algal bloom, RIC (Regional Investment Corporation) today opened applications for the new Marine Recovery Loan.
The Marine Recovery Loan is now available to provide financial relief to South Australian aquaculture and wild catch fishing businesses and broadens the scope of RIC's low-interest loan offering from farm and farm-related small businesses.
RIC Chief Executive Officer John Howard said the new Marine Recovery Loan is a welcome addition to other State and Federal Government support measures.
"The RIC team is pleased to now support eligible aquaculture and wild catch fishing businesses who have faced a significant financial impact from the devastating algal bloom event off the coast of South Australia," Mr Howard said.
"The new Marine Recovery Loan can be used to refinance up to half of their existing commercial debt at RIC's low interest rate to improve cash flow, pay business operating expenses including paying suppliers, salaries, wages, rent, interest and fuel, or for capital expenditure to acquire, upgrade or maintain long-term business assets," Mr Howard said.
The Marine Recovery Loan is available for up to $250,000 over a 10-year loan term. The current variable concessional interest rate is 5.18% which is reviewed every six months. The first five years are interest-only followed by principal and interest repayments for the remaining five years.
To be eligible for the loan, aquaculture and wild catch fishing businesses must demonstrate that some or all their business activities have been affected by the South Australian marine harmful algal bloom event and a material reduction in business turnover has resulted.
Eligible businesses need to have commercial debt, be able to repay the loan, provide adequate security and be in financial need of a RIC loan.
Before you apply, read the guidelines, view the document checklist, talk to your commercial lender/bank as RIC may need to share loan security with them, or talk to your trusted advisers to explore other support options.
Mr Howard said: "If you would like to learn more about eligibility for the Marine Recovery Loan, we encourage you not to self-assess, call us on 1800 875 675 to discuss your situation. Our team is available to support you and answer your questions."
