The principal measure aimed at companies with a turnover of up to £25million is the Enterprise Finance Guarantee. This involve the Government providing a 75% guarantee to the lending bank where an otherwise sound borrowing proposition would be declined due to a lack of security.
The scheme is to be delivered by participating lenders who will initially be the main high street clearing banks. It appears that the banks will facilitate this by amendment and extension of the existing Small Firms Loan Guarantee Scheme (SFLGS).
Loans will be available for most business purposes and to the vast majority of business sectors. Eligible businesses will be able to borrow between £1,000 and £1million under the scheme.
RPG have significant experience of the SFLGS scheme and we are working closely with our key bank contacts as they develop their plans and procedures for making these funds available. We are fully conversant with the type of proposals which are required and the potential pitfalls and are progressing the preparation of applications on behalf of several clients.
If you believe that you should be taking advantage of this new funding opportunity contact Chris Poston for further information and assistance.
