on twitter
on facebook
on Linkedin
Finance Business Bulletins:
Latest Strategy Blogs:
Four European countries are blocking a proposal that could save Britain’s 1.6m smallest ...
Labour’s 3,000 ‘crimes’ to trap businesses (08/30/2010, 01:00 AM)
Labour established more than 3,000 new crimes to trap business people who should never have been ...
Suleman drops out for online 99p store (08/30/2010, 01:00 AM)
Suleman, 21, abandoned his chemistry degree at Leicester University, to launch discount food ...
Capital Enterprise Fund (CEF)
EMERGENCY BUDGET UPDATE - June 2010
A new Enterprise Capital Fund of £37.5 million will be introduced to provide additional equity finance for small businesses.
The Enterprise Finance Guarantee (EFG) will be increased to provide £200 million in additional lending for small businesses until 31 March 2011.
More details from Stephanie Iles on 0845 838 0936.
Under the Capital Enterprise Fund, launched in January 2009, the Government and banks will invest £75m (£50m from the Government and £25m from banks) in viable companies that have high levels of existing debt. This is an expansion of a £50m scheme originally announced by the Chancellor to help small businesses to convert debt into equity. In the private sector, Business Angels are an alternative option.
The Capital Enterprise Fund will invest through professional commercial fund managers making investments of between £250,000 and £2m into SME’s. Investment will be aimed at fundamentally sound businesses which are constrained through being over-geared. The fund will offer equity or mezzanine investment aimed at releasing and sustaining growth potential. The fund is not intended as a rescue facility for struggling companies.
A Government commitment of £50m will be invested pari-passu with a contribution of £25m from four banks. The private funding will be drawn down and invested pro rata with the public money.
Business Secretary Lord Mandelson said: "UK companies are the lifeblood of the economy and it is crucial that Government acts now to provide real help to support them through the downturn and see them emerge stronger on the other side.
"We know that some companies are struggling to secure the finance they need, not because of any failure in their business but due to the tougher credit conditions. That is why we have designed a package of measures addressing different forms of credit and providing real help for businesses."
Other funds launched at the same time were the Working Capital Scheme and the Enterprise Finance Guarantee Scheme (EFG), itself a replacement for the Small Firms Loan Guarantee Scheme (SFLG).
The banks that expect to participate in and administer the schemes initially are RBS/Natwest, Barclays, Clydesdale/Yorkshire Bank, HSBC, Lloyds TSB, HBOS, and Northern Bank.
Strategy Corporate Finance has many years experience of assisting clients to obtain Government Schemes and Funds, with a success rate of over 90%.
If you would like to know more about our range of corporate finance services contact us today on 0845 838 0936 or drop us an email.
Having dealt with several banks and other financial institutions, I found Strategy to be a most proactive company in looking at financial options for my company.
Their MD, John Courtney, discussed several different financing routes with me including the Small Firms Loan Guarantee Scheme, Business Angels, Asset Financing and Factoring.
Thereafter their General Manager introduced a number of companies to me who specialise in these areas. The result was a clear and comprehensive picture of my options moving forwards.
I am
now considering all the options before me and I am confident
that we will find a funding route as a result. Strategy
are friendly, very helpful and I thoroughly recommend them
to any SME who is looking for funding.
Regards,
Rupert
Rupert
ERSKINE CRUM
If you would like to know more about our range of corporate finance services contact us today on 0845 838 0936 or drop us an email.
