Development Bank Of Wales Set Up
On the 18th October 2017 the Development Bank of Wales was created with a view to providing finance to a variety of Welsh business types including SMEs (small and medium size businesses), micro businesses as well as large businesses.
The bank is able to provide business loans from as little as £1,000 up to £5 million to such businesses over a period of up to 10 years. The funds could be provided to new start up businesses as well as established businesses. Property development loans are also available for developments that are to be carried out in Wales. There is also a facility to provide business support and advice with Business Wales.
Loans are available for a variety of purposes such as management buyouts, the setting up costs of a new business such as the purchase of business premises and marketing or an established business may require finance to take on board a big contract or to improve its premises.
Business loans may be provided either on a secured or unsecured basis and applications are made online having first gone through an online eligibility checking process. A decision is provided quickly.
The interest rate at which the bank agrees to provide the loan is based upon the business’s creditworthiness, the financial performance of the business and the security that the business is able to provide. The fixed interest rate is currently within the range of 4% to 12% per annum. At the present time, the average fixed rate of interest is 7.7% per annum.
The Development Bank of Wales is another avenue open to a variety of businesses in Wales looking for finance. This can only be a positive step.
So, if you are looking for finance then why not get in touch with ourselves and we can introduce you to a knowledgeable, experienced commercial mortgage broker who can discuss your requirements and make suitable recommendations about the potential lending opportunities available to your business.