What is the NI Small Business Loan Fund?
• Funded by Invest NI as part of its wider Access to Finance Strategy –
Information on the other funds can be found at nibusinessinfo.com
• To provide typically unsecured loans to individuals, private companies
and social enterprises in the SME and micro enterprise size range, in the
start up and growth phases of development
• Can help bridge a gap where other funding has been exhausted. Will sit
alongside other funding sources such as own funds, banks or credit
unions
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
Copyright © 2013 NI Small Business Loan Fund
How much can you apply for?
• The fund is a £5m revolving pot which will lend approximately
£9m to small businesses over the next 5 years
• Start-up businesses can apply for a maximum loan amount of
£15K, with potential for follow-on lending up to a maximum
of £50K
• Existing businesses can apply for loans of up to £50k
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
What can finance be used for ?
•
•
•
•
•
•
•
•
•
Working Capital
Development finance
Commercial Premises
Plant & Machinery
Intangible Assets
Gaps in funding working capital
Increasing sales
Stock Purchases
International Trade
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
Clients supported to date
• Ranging from Start-ups with no turnover to date to existing businesses
with turnovers over £2 million.
• Types of business sectors supported to date include,
–
–
–
–
–
–
Retail and Wholesale
Renewable Energy
Manufacturing
Service
Hospitality
Entertainment and Recreation
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
Are any sectors excluded from applying?
•
•
•
•
•
Coal
Steel
Shipbuilding
Agriculture (Primary producers)
Enterprises in difficulty
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
Costs of Finance
• Interest rates typically range from 6% to 10% fixed representing an APR
range between 11% to 19%
• Existing businesses typically fall into the 6-8% range whereas start-ups fall
into the 8-10% range given the higher risks involved in starting up
• Loan terms are between 1 year and 5 years
• If clients repay their loan early, interest rebates will apply
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
What you will need to apply
• Business Plan & Financial Projections for the next 12 months of trading
• Evidence of rejection from mainstream finance providers
• Business bank statements for the last 3 months or evidence that a
business bank account has been opened
• Written quotations for the main items of expenditure
• Proof of address and identity
• Existing businesses – 2 most recent years annual accounts along with up to
date trading figures (Management accounts)
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
Tips for a good application
•
•
•
•
•
Provide all the information asked for in the application pack
Be honest in completing your application and business plan
When preparing the financial projections be realistic
Provide evidence any of your own input into the business
Give a breakdown of the assets and liabilities of the business including an
aged debtors and creditors report
• Show clearly how the loan will benefit the business to grow
• Demonstrate with as much confidence as possible how the loan
repayments will be met
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
How applications are risk assessed
• Borrowers background, experience, capability and credit history
• The products and services and the competitive environment they operate
in (USP’s, new markets, competitive advantages etc)
• The management team and staffing
• Supplier and customer dependencies
• Financial Analysis focusing on Profitability, Liquidity and Debt Repayment
Capacity
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
Some other issues
• Don’t assume that because you have had grant funding elsewhere that
this increases your chances of accessing this fund
• Don’t try to hide any issues with the business
• Be patient when your application has been submitted
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.
How to apply
• Website
• E-mail
• Telephone
www.nisblf.com
enquiry@nisblf.com
0800 988 2879
Copyright © 2013 NI Small Business Loan Fund
The NI Small Business Loan Fund LP is a limited partnership registered in Northern Ireland (No. NL75) and is managed by Ulster Community Investment plc (“UCI”). UCI is authorised and
regulated by the Financial Services Authority and is licensed by the Office of Fair Trading under the Consumer Credit Act 1974 (No. 652674). UCI is registered in Northern Ireland (Company No.
NI030229) at 13-19 Linenhall Street, Belfast, BT2 8AA.