Contact
Close

Popular searches

Growth Guarantee Scheme

Image of a zebra
Image of a zebra


 

The Growth Guarantee Scheme launched on 1 July 2024 and is designed to support access to finance for UK smaller businesses as they look to invest and grow. This scheme offers a wide range of products including term loans, overdrafts, asset finance, invoice finance and asset-based lending.

The Growth Guarantee Scheme aims to improve the terms on offer to borrowers. If a lender can offer a commercial loan on better terms, they will do so.

The Growth Guarantee Scheme can generally support facility sizes of up to £2m and provides the lender with a 70% government-backed guarantee.

Businesses can use the finance for any legitimate business purpose including managing cashflow and investment. However, businesses must be able to afford to take out additional debt finance for these purposes.

 
 

Eligibility criteria

UK-based

The borrower must be carrying out trading activity in the UK and, for most businesses, generating more than 50% of its income from trading activity. The scheme is open to smaller businesses with a turnover of up to £45m (on a group basis, where part of a group).

Business in difficulty

The borrower must not be a business in difficulty, including not being in relevant insolvency proceedings.

Subsidy limits

Borrowers will need to provide written confirmation that receipt of the Growth Guarantee Scheme facility will not mean that the business exceeds the maximum amount of subsidy they are allowed to receive. All borrowers in receipt of a subsidy from a publicly funded programme should be provided with a written statement, confirming the level and type of aid received.

Viability test

The lender must consider that the borrower has a viable business proposition.
Previous
Previous

UK-based

The borrower must be carrying out trading activity in the UK and, for most businesses, generating more than 50% of its income from trading activity. The scheme is open to smaller businesses with a turnover of up to £45m (on a group basis, where part of a group).

Business in difficulty

The borrower must not be a business in difficulty, including not being in relevant insolvency proceedings.

Subsidy limits

Borrowers will need to provide written confirmation that receipt of the Growth Guarantee Scheme facility will not mean that the business exceeds the maximum amount of subsidy they are allowed to receive. All borrowers in receipt of a subsidy from a publicly funded programme should be provided with a written statement, confirming the level and type of aid received.

Viability test

The lender must consider that the borrower has a viable business proposition.

Scheme features

Up to £2 million per business group

The maximum amount of a facility provided under the scheme is generally £2m per business group for borrowers outside the scope of the Northern Ireland Protocol, and up to £1m per business group for Northern Ireland Protocol borrowers. Minimum facility sizes vary, starting at £1,000 for asset finance, invoice finance and asset-based lending, and £25,001 for term loans and overdrafts.

Important information

Legal Notice

The Growth Guarantee Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business and Trade. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit https://www.british-business-bank.co.uk/finance-options/debt-finance/growth-guarantee-scheme.

Our UK regulator

Investec Bank plc (Reg. no. 489604) is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered at 30 Gresham Street, London EC2V 7QP.

Additional solutions