How Does It Work?
The UK government-backed start up loan programme is a funding option that offers a personal loan, up to £25,000, to UK citizens that have a viable business idea but need help with getting started.
Amount
$1300 - $13,000
Time Frame
1 - 5 Years
Cost
6% Personal Loan
Speed
4 - 6 Weeks
What Is The Start Up Loan?
The UK Government start up loan is an unsecured personal loan, meaning you do not need to supply collateral or a personal guarantee to receive funding.
Loans are made available from £500 up to £25,000, with a maximum of £100,000 possible for a single company (where 4 business partners apply for the maximum £25,000 each).
Recipients can repay the start-up loan between 1 - 5 years on the fixed 6% interest rate per year.
There is no application fee and no early repayment fee. Blam Partners can cover these repayments with just 1 client paying them anything between £300 - £1000 per month.
Similar to other funding options, the government backed start-up loan requires a review of the applicant’s personal credit history. But, people with poor credit history do not necessarily get disqualified (it is decided on a case-by-case basis).
Am I Eligible For The Start Up Loan?
You will be eligible for the start up loan if you meet these requirements:
- You must be 18 years old and over
- You must live in the UK
- You must have the right to work in the UK
- Your business must be located in the UK
- You must prove that you can afford to repay the loan
- Your business must have been trading for less than 36 months (you can apply if you have not yet started a business)
