Start-up Loans is an initiative of the UK Government which provides loans to startup companies via the publicly owned British Business Bank. Low cost loans of up to £25,000 are available to entrepreneurs aged 18 or over who live in the UK and whose companies are less than two years old.
Recipients of Start-up Loans also receive mentoring and access to a range of other products to support development of their business. The loans are unsecured which helps entrepreneurs start companies without taking on large personal risks.
With a fixed interest rate of just 6% per annum and the ability to borrow between £500 and £25,000, Start-Up Loans offer an affordable source of finance to help new and early stage business owners bring their plans to life. Start-Up Loans are structured on a monthly repayment schedule, based on a loan repayment term of between one and five years.
When reviewing Start-Up Loan applications, there are two core factors: your personal affordability and, the viability of your business plan.
In addition to finance, all Start Up Loan recipients are offered up to 12 months of mentoring support and access to a range of special business offers
Many of the funding sources available to established businesses are out of bounds for startups. Lenders like to know that their investment is safe and, without a few years of sales history to present as evidence, startup companies don’t meet the stringent lending criteria for the best deals of many banks, peer to peer lenders or alternative lenders.
Contact us today for help and information with Your Business Start-Up.