A £1m fund has been made available for small businesses in the South West of England to take advantage of.
South West Investment Group (SWIG) is keen to continue providing money for SMEs in its area. The company has so far funded £5 million worth into 200 businesses in the South West since 2009.
The scheme called ‘Small Loans for business’ allows SMEs to apply for loans up to £50,000 as well as other finance that is available which can be used as part of a package of up to £100,000.
Businesses in the South West are definitely well supported when it comes to funding as peer-to-business lender Folk2Folk is also based in Cornwall and Devon.
Folk2Folk are a bit different when it comes to P2B lending as they are very much localised and have a number of branches in the Cornwall and Devon area. The Cornish platform has lent just over £41 million since its inception.
In a previous article on The Funding Centre we looked into the ‘further user interaction’ and found that branch availability to be the most desired feature amongst US P2P borrowers – 43%. Folk2Folk seem to have knocked the ‘user interaction’ style of alternative lending on the head and we expect other platforms to follow suit this year.
SWIG Finance is based in Truro and intends to help businesses in Cornwall and have so far lent out £2.3 million with an average loan value of almost £25,000 in the area.
John Peters from SWIG Finance, said:
"Many EU-backed funding projects stop at the end of this financial year but we are keen to emphasise that Small Loans for Business is far from drying up.
"With the economy reviving, now is a great time for small businesses to invest and we offer a solution for those companies which may find it hard to generate finance elsewhere."
Small Loans for Business is part of the South West Loans Fund Scheme.