Small business loan fund hits £1m
A LOAN fund to to support growth in new or young businesses in Greater Manchester has lent £1m since its launch in April.
Manchester Business Loans, which has £24m to lend, works with the major banks to assist businesses not eligible for mainstream funding.
The government-backed initiative is managed by Business Finance Solutions and reached the £1m milestone with a loan of £30k to a Northern Quarter hair salon, Rob Czlapka Salons, a start up business that was introduced to BFS by NatWest.
The salon on Hilton Street, run by director Rob Czlapka has created six new full time jobs. It salon is run as an Adee Phelan franchise, the celebrity hairdresser.
Mr Czlapka said: “We needed extra financing to make sure we had the very latest equipment and products that we and our clients demand and the Manchester Business Loan of £30,000 has enabled us to do just that.
“There are so many negative stories out there about businesses not being able to get finance so it was great to be able to go to NatWest and get a referral on to the right people at BFS who were able to really help us to set up a business that is already employing several staff and helping to generate revenue for the city.”
The total investment in the Rob Czlapka salon will be £75,000, with the additional £45k being contributed by Rob and stocking loans via Wella hair supplies.
Paul Breen, director of Business Finance Solutions, which is delivering the loan fund said: “Rob’s salon is a great example of a strong business concept that offers something really new and original. Before he has even opened his doors Rob has created six jobs and has the backing of one of the most famous names in his industry to help him.
“NatWest are to be applauded for their commitment in actively helping businesses find public loan support through their partnership with BFS.”
Manchester Business Loans must create or protect jobs in Greater Manchester and typical loans will be from £3,000 to £100,000. The loans are funded by the Regional Growth Fund and Manchester Solutions.
