A Financial Solution for Struggling Small Businesses

‘Small Loans for Business’ initiative

As the recent economic climate has made it difficult for some small businesses to secure finance through traditional means, the team behind Manchester-based Business Finance Solutions is offering existing and start-up businesses an alternative.

The ‘Small Loans for Business’ initiative is a not for profit, Government-backed initiative, created to help businesses who have been refused loans, in part or whole, from mainstream sources, such as high street banks. With funding provided by the Government, Northwest Regional Development Agency (NWDA) and private sector partners, the scheme can provide businesses with loans from £3,000 to £50,000 to help entrepreneurs establish and grow their companies, resulting in job creation and contributing to the success of the region’s economy.

Greater Manchester company, Babydeli Ltd, was granted one of the ‘Small Loans for Business’ after needing further working capital to drive the business forward. Established in 2005, the homemade, organic baby food company was initially assisted by the banks by way of a commercial loan and overdraft facilities. This financial support sufficed to grow the brand in the marketplace through both internet and wholesale sales. In 2009, further capital was required to maintain growth and as the banks had initially provided both the overdraft and commercial mortgage facilities, they were unable to assist any further and Business Finance Solutions stepped in.

Commenting on the initiative, Paul Breen, Operations Manager for Business Finance Solutions, said: “There are many benefits for small businesses that choose to apply for this scheme. If the application is successful, the loan repayments can be tailored to suit the individual needs of the company and there is ongoing support and access to other support services. Successful small businesses need to produce a viable business plan and prove that they have tried to secure funding from mainstream lenders. The main aim of this scheme is to make it easier for people to start or develop their enterprises resulting in job creation, which in turn contributes to the North West’s economy.”

Business Finance Solutions supports hundreds of business owners and entrepreneurs, generating millions of pounds in investment in the region.

For more information about Business Finance Solutions and the ‘Small Loans for Business’, visit: www.business-finance-solutions.org.uk