New fund is a 'lifeline to nation's SMEs'
A new ethical loan fund launched to help grow businesses who find accessing finance difficult has been warmly welcomed by the FSB as a way of disrupting the market.
The fund, delivered by Gateshead-based Transmit Growth Loans, has been created to support small business across England whose growth is stunted because of a lack of affordable finance.
It aims to make access to funding fair, flexible and simple, with loans of between £10,000 and £60,000 initially.
Applications will be considered from young businesses based on forecasts, not trading history, meaning even those with a short track record can finance their aspirations for growth providing they are credit-worthy.
The UK’s biggest business representation group, FSB, applauded efforts to reach more businesses with the potential to grow.
Simon Hanson, FSB Development Manager, said: “There are too many smaller businesses still reporting that accessing affordable finance is a huge barrier to their growth. The traditional banking sector does not work for them and finding viable alternatives is confusing.
“The Transmit Growth Fund will help to radically shake up the market and provide those that need it the flexible finance that they want. These loans will help those that are running smaller businesses the chance to achieve their ambitions and deliver economic growth across the country.”
Transmit also operate Transmit Startups, the UK’s leading provider of Start Up Loans who have lent over £55m to businesses across the country since 2012.
Richard Myers, Commercial Director at Transmit, said: “For too long, too many young and ambitious businesses have been unable to fulfil their potential because they’ve been frozen out by the traditional criteria of products offered by the banks.
“The Transmit Growth Fund promises to change that, providing the affordable and ethical finance that all entrepreneurs need and deserve. And because the loan isn’t coming from a bank and driven by profit, we have the freedom to be more flexible when it comes to considering individual circumstances.
“We are really excited to witness the impact this has on the nation’s SMEs and predict it could support everything from job creation in more disadvantaged areas to creating social mobility.”
Transmit was launched by Damian Baetens, Richard Myers and Ian Straker – three entrepreneurs with a shared ambition to help others making their own way in business.
The new product complements Transmit’s existing range of funding, consulting, coaching and mentoring services that are designed to support entrepreneurs throughout their business journey.
The Transmit Growth Loan provides a natural follow on to the alternative funding support provided by Transmit Startups, which has so far backed 5510 entrepreneurs.
For more information about Transmit Growth Loans visit www.transmitgrowth.co.uk