SME funder launches £45m facility to help firms through tough Q4

Altrincham-based small businesses funder, Capify, is offering up to £45m in a new SME Loan Fund to address funding issues in the sector.

The company’s latest business confidence survey found that 76% of SME owners are now worried about the cash they hold, an increase of 25% on the second quarter of 2023.

On top of this, business owners in the UK are finding it harder than ever to access funding – whether looking for external finance to grow, or simply to keep operations running smoothly.

According to the latest survey, 57% of business owners said they would not be confident that their bank would accept an application for a loan.

To address this, Capify has launched a new £45m SME Loan Fund, designed to support businesses through the final quarter of 2023.

Loans are available from between £5,000 and £500,000 and can be used for any business purpose, from preparing extra stock and staff for a busy festive period, to investing in New Year marketing campaigns to get 2024 off to a flying start.

The loans are fixed rate with no early settlement fees, giving SME owners greater confidence to plan ahead and the flexibility to adjust if they want to pay it back early.

John Rozenbroek, Capify COO/CFO, said: “There are some signs that we may be heading toward the end of this unenviable period of economic difficulty.

“But until the recovery begins in earnest, smaller businesses will continue to operate in a perfect storm.

“Operating under challenging conditions will put a strain on their finances, which will make it increasingly difficult to access the funding they desperately need.

“Our new fund will help those businesses get through this period or prepare them for the upturn, when it comes.”