Government backed loans

If you’re considering borrowing, I wanted to show you something we’ve just arranged.

For a company completing a management buyout, we put together a:

£500,000 government-backed loanalongside a £1 million invoice finance facility.

The loan provided a fixed amount upfront. The invoice finance gave them access to cash against eligible unpaid invoices, drawing what they needed within the agreed availability.

You don’t need to be doing a million-pound deal for that approach to be worth considering.

Perhaps you know you need £200,000, but you might need more later. One option could be a government-backed loan for the definite requirement, alongside a flexible invoice finance facility for the additional cashflow needs.

That means planning for the extra headroom now, rather than hoping another loan will be available later.

The details matter, though. Government backing supports the lender; your business still has to repay the borrowing, and personal guarantees may be required. I’ll help you understand the costs, conditions and personal exposure before you decide.

Watch the short video below. I explain the deal and how a similar approach might work for your business.

Then, if you’d like to talk through your own figures, give me a call on 07710 466166.