Financial support can come in a number of forms, from grants to improving access to loans and credit to simply making sure your cash flows more readily.
The Incentive to Grow Grant is to help small businesses to expand. It is available to businesses in Eastleigh borough with up to ten employees and covers up to 50% of project costs up to a maximum of £500. Your project must be something that will expand your business, allowing you to do more than before or to diversify.
Click here for more information and to request an application pack
This grant helps businesses wanting to take that next step and move in to business premises. The grant is specifically for our Business Centre at Wessex House or The Sidings, our small industrial units in Netley.
This grant for someone wishing to set up their own business or for developing the business in their first 3 months of trading. The grant should help establish your business e.g. buying essential equipment needed to start up, training or marketing.
The South East England Development Agency (SEEDA) offer two grants to small and medium sized businesses in the South East region.
The GBI scheme aims to assist businesses to increase productivity by funding capital investment in equipment and technology. It is for businesses looking to expand, modernise, rationalise, diversify and increase productivity in order to maintain or establish sustainable growth and provide skilled jobs.
Grant for R&D is focused on encouraging businesses to carry out projects that they would not necessarily undertake without the grant and draw in to these projects finance from reluctant private investment sources. Grant instalments are paid in arrears.
More details about both of these grants, including how to apply, are available on the SEEDA website.
Finance South East is a regional funding organisation, backed by SEEDA and privately governed. With access to a breadth of public and private resources, FSE specialises in the identification, funding and development of ambitious, high potential growth businesses in the South East region.
There are many grants available from different sources for different kinds of businesses and projects. The European Information Service Centre website offers a free facility where you can search for the right grant for your business.
The Green Grants Machine is a FREE website to help you find the funding on offer to boost your business’s bottom line by improving its environmental performance. Visit their website for more details.
On the j4b Grants website you can register for FREE to find out about European grants, UK Government grants and other sources of funding for your business.
Interest free loans of up to £500,000 are available from the Carbon Trust to help businesses replace old equipment with new, energy efficient upgrades. No security is required – and the loans scheme is designed so that anticipated energy savings cover monthly repayments.
More information is available at www.carbontrust.co.uk/loans
This fund is accessed through Finance South East, a not-for-profit organisation supported by the South East England Development Agency (SEEDA). It offers short-term loans (up to one year) of up to £150,000 to eligible small businesses facing cash flow issues arising from the adverse financial credit squeeze.
There are no arrangement fees, no payments are due until maturity and no notice is required for early repayment.
Find out more from Finance South East
On 14th January 2009 the government announced a number of schemes aimed at making more credit available to businesses. These funds should be available from your bank but Business Link can offer advice on how to access them.
Further details of these funds and a quick eligibility check are available on the Business Link website
Enterprise Finance Guarantee
This is a government fund which guarantees commercial banks’ lending to small businesses, making more business credit available. Businesses with turnover up to £25m could be able to borrow between £1,000 and £1m from high street banks, with the loans guaranteed by this fund. To do a quick assessment of your eligibility, visit the Business Link website.
Working Capital Scheme
The purpose of this Working Capital Guarantee scheme is to provide an incentive to banks not to reduce or withdraw working capital lines to sound, creditworthy UK companies. This scheme will guarantee portfolios of bank loans rather than individual loans. The Government will seek a commitment from the banks that they will re-deploy the capital released to support new lending to other UK business borrowers.
Capital For Enterprise Fund
The Chancellor announced a £50m fund to convert businesses’ debt into equity. Government is announcing that this Capital for Enterprise Fund will provide £75 million of equity, made up £50m of Government funds and £25 million from high street banks. This will benefit businesses who have exhausted traditional sources of finance but are viable in the longer-term.
Cash flow, or lack of it, is a serious threat to small businesses, especially during a recession.
Business Link can offer general advice on dealing with late payments, and the government and Eastleigh Borough Council are doing their bit too.
In October 2008 the government pledged to pay invoices within 10 working days, and Eastleigh Borough Council matched this pledge. In the first 3 months 87% of invoices received by the council were paid within 10 working days.
Two schemes from HM Revenue & Customs could help your cash flow:
HMRC introduced easy payment terms for businesses facing tax bills that could seriously impact on their ability to do business. Don't wait until your tax payment is overdue - contact HMRC now to arrange easier payment terms.
HMRC have also extended the loss carry back scheme. If your business has made a loss this year you can carry back that loss and offset it against profits over the last 3 years, claiming back the tax you have already paid.
Visit the HMRC website for full details and speak to your accountant or financial advisor to find out how to make the most of these schemes.