Telford business leaders back action plan
Telford business leaders have welcomed a loan fund that’s specifically aimed at companies who are struggling to find vital finances.
The Small Business Loan Fund has been set up by Telford & Wrekin Council, working with Impetus – a community development financial organisation.
And now, Telford Business Partnership has called on local small and medium-sized companies to reach out for help through the innovative project.
TBP Chairman, Robin Melley, said: “This is an incredible scheme which could make a real difference to companies in this area who have been refused funding from the mainstream banks.
“We know there are many local companies for whom a short-term loan could solve all kinds of problems, particularly in manufacturing where cash flow issues could prevent businesses from fulfilling important orders.
“And in some cases, a loan like this could be the difference between safeguarding jobs and a company going under altogether. So to hear of a fund that has been set up specifically with smaller companies in mind is excellent news, and we’ll be encouraging our members to share details of this project far and wide.”
Barry Jones, from Impetus, said the scheme was open to established businesses and social enterprises as well as new start-ups in the Telford & Wrekin district, and the fund had so far provided £200,000 worth of vital finance to businesses in the area.
“In the last three months, 71 per cent of small and medium-sized firms have had their overdraft facilities cut back by the banks, which creates real financial instability,” said Barry.
“The Small Business Loan Fund is designed to offer loans from £1,000 to £100,000 to eligible businesses, and as a not-for-profit organisation, all the money that we loan out is put straight back into the scheme. Our aim is to keep the money flowing around for everyone who needs it, and our competitive rates mean we can help companies get a kick-start at a time when they need it most.”
Companies looking for a loan will need to produce a viable business plan, show evidence of being declined for mainstream funding, and an intention to safeguard and retain local jobs.
Impetus is currently working with businesses in a wide range of sectors including manufacturing, aerospace, food and drink, business and professional services, creative and digital, energy and environment, and with farmers looking to diversify.
To find out more visit www.investintelford.co.uk or call Telford & Wrekin Council’s economic development team on 01952 567589
