Q2
West & North Yorkshire Business
42 FINANCE
BEF approve their first expand loans The not-for-profit responsible finance provider continues to support SMEs with flexible finance to help them grow.
BEF's continued commitment to support businesses with flexible finance through the toughest of times.
BEF are pleased to announce the approval of our first three Expand loans to businesses across the region. Exclusive to BEF, Expand loans provide SMEs with unsecured facilities of up to £100,000 to help them grow.
Steve Waud, CEO of BEF said: "BEF, seeking to support SMEs where possible, are using our innovative finance products to provide loans to businesses that have otherwise been unable to access Bank Finance or specific Government guarantees. BEF providing finance when businesses need it most. #wetakeadifferentview."
The approvals come at a time when many businesses struggle to secure the finance they need and reaffirms
Case One
Case Two
Case Three
Business: Software development
Business: Food producer
Business: Health & Safety Consultants
Years Trading: 2
Years Trading: 22
Years Trading: 5
Difficulty: Young business with low turnover
Difficulty: Historical losses
Difficulty: Lack of security
Amount: £35,000 unsecured
Amount: £38,000 unsecured
Purpose: Asset purchase
Purpose: Asset purchase
This case, a broker referral, features an established business that is performing well despite COVID-19 setbacks. In this instance, BEF decision to approve a facility was given against the value of the business.
This specialist business approached BEF to support an asset purchase that would enable the business to meet increased demand for their services. The business was unable to secure a loan from the high street due to the lack of security.
Amount: £50,000 unsecured Purpose: Working capital to support growth With a two-year trading history and £100,000 turnover this business would struggle to secure finance from high street and fintech lenders despite having strong growth potential forecasted at a £500,000 turnover in the next 12 months. The business is well run by its three directors who will provide personal guarantees to support the £50,000 facility. The investment will help secure 10 jobs.
BEF approved a facility subject to a charge on the asset and a supplemental personal guarantee. The investment will help secure 11 jobs.
BEF approved the facility subject to business security and personal guarantee. The investment will help secure 3 jobs and create 1 job.
Apply for a loan The three highlighted cases are indicative of how BEF Expand loans can be used to support businesses looking to grow. In addition to unsecured finance up to £100,000, BEF also offer short-term and secured finance up to £250,000. To apply for a BEF loan visit www.befund.org. To discuss your needs call 0800 080 3145 or email info@befund.org.
