Staffs loan scheme likely to be extended

THE success of a small business loans scheme in Staffordshire has led to a planned two-year extension.

Sixty businesses have benefited from the county council scheme since it was set up in October 2009. Cabinet members are expected to approve a further £1m investment into it.

Nearly 200 jobs have been created or safeguarded thanks to the Staffordshire Business Support Fund, which is run in partnership with not-for-profit lender BCRS.

Cabinet member for economic growth and enterprise Ben Adams said the extension of the scheme would demonstrate the county council’s on-going commitment to improving Staffordshire’s economy and supporting local business.

“Extending our small business loans scheme for a further two years shows just how successful it has been. In 2009 we recognised the need for this initiative because of the on-going difficulty companies were experiencing in accessing essential finance from banks. This is still the case and the need is very much still there,” he said.

“We see the county council’s role as a facilitator in encouraging businesses to grow and prosper and stepped in where it mattered.

“The scheme has gone from strength to strength and I have seen it make a real difference to a range of businesses. Our model is now seen as one to emulate and demonstrates how this is providing significant returns for Staffordshire.”

BCRS Small Business Loans was recently accredited by the Government to administer the Enterprise Finance Guarantee (EFG), a loan guarantee scheme intended to facilitate additional lending to viable businesses with insufficient or no security with which to secure a normal commercial loan.