A Bank and Loan Company Merge To Benefit Microbusinesses
It has recently been announced that the Start Up Loans Company and the British Business Bank merged on the 3rd April 2017. It is hoped that this merger will further benefit microbusinesses that are seeking finance.
In a manifesto by the, it said that by 2020 it wanted to make available 75,000 start up loans and it is hoped that this merger will assist in this being achieved.
The Start Up Loans Company was set up back in 2012. So far it has helped make available over 46,000 loans to assist such businesses with the total amount lent being in excess of £300 million.
The British Business Bank is owned by the Government and provides small businesses with access to a variety of lenders including banks and web based lending platforms. Funding is provided to small businesses that, for instance, are just setting up or to help them expand.
The Start Up Loans Company is the administrator of a scheme whereby certain lenders provide unsecured personal loans to business owners of between £500 to £25,000 at a fixed interest rate of 6% to assist them with their business venture. The repayment term can be anything from between 1 to 5 years and there are no set up or application fees. The monies can be used for many things such as buying premises, stock and marketing but not for debt consolidation.
Of course, there are many other sources of finances for small businesses so it may be worth shopping around and if you are considering setting up a new business or have an established business looking for finance why not contact us and we will put you in touch with an experienced commercial mortgage broker who has access to an extensive panel of lenders and has assisted many businesses with their borrowing requirements. If you do require assistance, we look forward to hearing from you.