- Over one billion pounds has now been delivered to scale up
small businesses through the government-backed Start Up Loan
scheme.
- The scheme offers access to finance and expert advice to
allow new SMEs to scale up and grow.
- Loans have supported businesses in every region across the
UK, 40% have gone to female-led firms, and one-fifth have
supported people from ethnic minority backgrounds
A government-backed loan scheme created to help entrepreneurs
start and scale up their business has now provided over £1
billion of funding to over 100,000 businesses.
From an activewear firm in Northern Ireland to a drum
manufacturer in Wales, a whisky firm in Scotland to a climbing
centre in the southwest of England – every nation and region
across the UK has benefitted from these loans, supporting
entrepreneurs from all walks of life.
Delivered through the state-owned British Business Bank, the
Start Up Loan scheme was developed and launched by the government
in 2012 to help new and early-stage UK businesses without
sufficient personal funds or support from friends and family to
access affordable finance and mentoring support.
Through this combined access to finance and expert advice, more
small businesses can develop and reach their potential,
delivering economic growth and a boost to local communities.
Small Business Minister said:
“We’re delivering on the Prime Minister’s priority to grow the
economy and make the UK the best place in the world to start and
scale up a business.
“Across all four nations and every region of the UK, we’ve
supported exciting entrepreneurs through one billion pounds of
government backed loans, and I want to see even more innovators
reach their potential.”
The scheme has been particularly successful in supporting
entrepreneurs from diverse backgrounds, creating a level playing
field for all who wish to run their own small business in the UK.
Last year, the scheme was expanded to provide finance to eligible
businesses operating for up to 5 years to support their growth.
Liang Zhang, co-founder of Liverpool based jewellers
Robin Valley said:
“The Start Up Loan saved us from a tricky period this summer,
arriving just in time for us to be able fulfil important orders
and pay staff. Thanks to the loan, we are now a profitable
business again”.
Of the £1 billion, £371 million (40%) has been lent to female
business owners and £201 million (20%) has been lent to people
from Black, Asian and Other Ethnic Minority backgrounds.
The scheme has also been successful at championing young
entrepreneurship, with young people between 18-24 years old
having received £106 million (11%) of loans since the programme
began.
Start Up Loans have been issued to businesses in every UK
parliamentary constituency. The majority of loans have also been
issued to businesses outside of London and the South East,
ensuring that businesses across the UK are able to scale up and
grow. Outside of these regions, the North West and Yorkshire and
Humber have received the largest shares of the loans, receiving
£121,619,51 and £89,997,598 respectively.
