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Free Review and Consultation with No Obligation!
If you would like us to take a look at your Business Plans and give you an honest, straightforward appraisal, then please either call us now on 0800 032 2840, or complete the details below.
You are under no obligation and we guarantee to keep all information you supply us with about your Business in the strictest confidence.
You may already have an SFLG application in with your Accountant or existing Bankers and just want a second opinion. If you have been turned down, we can give it another look for you.
The Government Small Firms Loan
Guarantee Scheme explained...
This is a scheme that was originally introduced by the government in 1981. The purpose of the SFLGS (or Small Firms Scheme as it is also known), is to help businesses that do not have sufficient security to attract conventional bank lending to get the funds they need.
It was originally administered by the DTi, but is now managed by BERR (Department of Business Enterprise & Regulatory Reform). There have been several "rule changes" over the years, the most recent being as a result of the Graham Review carried out by Lord Graham in 2004.
Very simply, this is how the scheme works:
- You have a sound and viable Business Proposition
- A Funder agrees to lend but you lack sufficient security
- You meet the Scheme eligibility criteria
- The Lender then looks to the SFLGS to provide a 75% guarantee
- The decision to lend is made by the Lender — NOT the government
- Commercial Terms are agreed between you and the lender — the government does not set these
- You can borrow from £5,000–£250,000 from between 1–10 years
- Capital Repayment holidays can be negotiated
- A fee of 2% p.a. is payable to the BERR for providing the guarantee
- Funds can be in your account within a few weeks of application
