Choose the right lender route
Check the official accredited lender list and confirm the provider offers the required product under the scheme. Explain the amount, funding purpose, timing and business circumstances before investing time in a full application. A broker may assist with presenting a case, but the lender makes the decision.
- Check availability for the specific product.
- Ask about application requirements and process.
- Avoid treating an initial discussion as approval.
Prepare evidence
The lender will specify its requirements. Commonly useful material includes accounts, management figures, forecasts, bank information, details of current borrowing, ownership structure and an explanation of how repayments will be met. Requirements vary, so provide what is requested and clarify any gaps rather than guessing.
- Prepare current and consistent financial information.
- Explain group ownership and existing scheme borrowing.
- Provide a realistic use-of-funds and repayment plan.
Evaluate an offer
If the lender offers finance, read the agreement carefully before accepting. The borrower remains liable for all borrowing, even though the lender may receive a 70% guarantee for eligible losses. Check the rate, fees, term, security, any personal guarantee, covenants and consequences of missed payments.
- Ask for all costs in writing.
- Confirm security and personal guarantee details.
- Seek independent advice if terms are unclear.