Barclays has worked closely with Government on the scheme, and has already made available over £150 million in EFG loans in the last year, or almost one in every four EFG loans across the UK.
Cornerstone Vision, a leading publishing and marketing communications company based in Plymouth, is just one organisation which has already benefited from the lending. The business which employs 16 staff accessed the scheme to invest in the latest technology to support future growth of the firm.
“Time and again over the last year EFG has proven to be a superb way to support worthy businesses,” said Steve Cooper, Managing Director of Barclays Local Business.
“We’re a big believer in EFG – through it we’ve been able to assist over 1,650 businesses with loans.
“The new funding we’re announcing is going to continue that good work, to help more businesses become successful and help pull the UK out of recession.
“Enterprise Finance Guarantee covers a key gap in the market – companies that are viable, perhaps even strong, but could not get a loan because they do not have sufficient security.”
Trade, Investment and Small Business Minister Lord Davies said: "The Enterprise Finance Guarantee has helped thousands of viable businesses access the finance they need to withstand the recession and prepare for recovery. Following its recent extension, it will continue to play a vital role in encouraging enterprise and investment and driving productivity and growth throughout the UK economy.”
What is the loan?
EFG is a loan from Barclays to our customers, where the Government guarantees a proportion of the lending if the customer is unable to repay the debt.
Who is it for?
Businesses with sales turnover of up to £25m operating in the UK.
Barclays has been a leading supporter of support schemes for local businesses since the downturn began. In addition to providing the nearly 1 in every 4 EFG loans, Barclays continued to provide loans receiving European Investment Bank support with in 2009 over £330m of finance approved as eligible for EIB cash back.
About Barclays Local Business
Barclays Local Business is the small business banking arm of Barclays. It has over 672,000 customers that are a mixture of start ups, sole traders, partnerships and small limited companies. These turnover up to £1 million each.
We support businesses with
· A named business manager, locally based is allocated to all clients. We have 1,750 Local Business Managers in 600 branches.
· Start-up businesses receive up to 2 years free transactional banking with Barclays, coupled with a package of substantial business advice, services and tools to help establish and run their new business successfully.
· We offer one of the biggest ranges of training to businesses and provide a wide range of free advice and information including – Starting & Running Your Business CD-ROM; consultations with a panel of legal, accountancy & marketing experts; Business Opportunity Profiles & Business Information Factsheets; legal & tax helpline, free I-sure data back up; free 'Mindleaders' online business skills training and award winning software packages that will help save businesses time and money.
· Flexibility to bank when and how customers want - online and telephone banking and a full counter service at 1600 branches nationwide
· In 2009 our ‘Let’s Talk’ programme offered face to face training and supported in excess of 7,000 pre start up and 5,500 existing small businesses. (www.barclays.co.uk/seminars).
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