Growing your business may require you to secure additional funding to support your needs - boost working capital (cashflow), acquire new equipment or stock, hire staff, or move premises,
Whatever your needs, a Second Loan can provide you with the funding you need.
Second Loans are an affordable way to continue building your business. If you have a Start Up Loan for your business and have traded for less than 5 years (60 months), you may be eligible for a Second Loan for that same business.
In order to be eligible for a Second Loan you must meet the following criteria;
Note: If you have been on a Capital repayment holiday, you must have made 3 full (capital repaid) repayments as per the schedule preceding the second loan application.
The application process considers your personal circumstances, your repayment history for your first loan, your business’ trading history and your future business plans.
Have questions? Here are some of the most common ones we get about Second Loans. If you have more questions, feel free to get in touch with us.
You are able to have a total outstanding balance of £25,000 at any one time. So if you borrowed £15,000 for your first Start Up Loan and have now repaid £5,000 then, provided you meet all of the other eligibility criteria, you are able to apply for a Second Loan of up to £15,000.
As you will need to demonstrate that you can afford the ongoing repayment on your first loan and the new repayments on your Second Loan, your Business Adviser will work with you to ensure that your final loan amount matches your needs and does not overburden you.
Please note, we can lend a maximum of £100,000 to any one business so if you and your business partners have already borrowed up to this threshold between you, you will not be eligible to apply for further finance.
You may be eligible for a Small Business Loan which could provide up to £250,000.
To find out your current outstanding balance, please contact your Finance Provider. You will find their contact details on the Loan Agreement you signed for your first Start Up Loan. If you are unsure who your Finance Provider is, please contact the Start Up Loans Company.
If your application is successful, your Second Loan will be treated as a separate loan to your first Start Up Loan, including separate monthly Direct Debit payments.
