Business Funding

Small Firm Loan Guarantee Scheme

The SFLGS exists to facilitate small businesses to raise finance from approved lenders. The scheme provides loans between £5000 and £250000 (£100000 limit for businesses with a trading history of less than two years). The applicant Company must provide a viable business plan to the prospective lender – this is an essential part of the scheme and enables the lender to assess the proposal put forward. The key areas that need to be covered are:

• Type of Business with Product/Service provided
• The Market to which it is to be sold
• Management team
• History of the existing business
• If a new start up – Ethos behind the proposal
• Strategic Plan
• Budget/Cash Flows
• Profit and loss plus Balance Sheet projections

The scheme is designed for those individuals who do not have adequate security. The designation of ‘adequate security’ is subject to interpretation by the lender. Business Angels work with the management team to prepare the most effective Business Plan for the prospective lender. With its wide circle of contacts Business Angels will then source an appropriate lender to consider the business proposal and attend meetings with the business/lender to ensure the funding application achieves effective presentation/consideration.