Funding & Business Growth
The Bank Referral Scheme which officially launched on 1 November was created by the Small Business Enterprise and Employment Act 2015. The challenge for a number of SMEs is that they don’t always fit the traditional lending criteria set by the major banks and traditionally SMEs have not always fully explored all the funding options available to them, sometimes only making enquiries of the lender with whom the business currently banks, thereby considerably restricting the chance of a successful funding application. The aim of the scheme is to help businesses who have been unsuccessful with their applications for funding from the major banks by obliging the banks to offer to refer the unsuccessful applicants to a government designated finance platform. In Scotland that platform is provided by DSL Business Finance and under the scheme applicants can apply for funding between £1,000 and £50,000. It is not yet known what the uptake for this alternative source of funding will be. The terms of the alternative source of funding obviously need to be right for the individual SME.
The Morisons Business Team recognises the needs of Scotland’s SMEs and can advise your business on its growth journey. Please contact Lucy Gannon.< Back