Creative England has announced a re-launch of its £1.5M interest free business loans, aimed at Small to Medium Enterprises. These loans are up to £200,000 per project, and are for supporting creative and digital businesses based in the Govt's Regional Growth Fund priority areas, such as the west Wessex area in the South West of England.
Examples of eligible projects may include the development of a mobile healthcare application, the development of a new game for tablet or mobile, or e-government content linked to a new service delivery model.
Background
The Business Loans scheme aims to help fuel the growth of the fastest growing sector in the UK economy, financing business expansion and new projects which will lead to the creation of new, high-quality jobs.
The loan will be interest free for three years with very low repayments for the first 12 months, followed by equal repayments for 24 months.
Match Funding Restrictions
The maximum loan available is 50% of total project costs. 80% of the match funding must be available to draw down at the beginning of the project, while the remaining 20% can be raised from future revenue within the first 12 months.
Eligible Expenditure
The loans are offered to established companies to enable them to realise their growth potential.
The following costs constitute eligible expenditure for Creative England Business Loans:
* Labour costs.
* External specialist costs.
* Capital equipment and materials costs where these assets are used solely for the project.
* Other costs: costs of production costs not covered above.
Priority will be given to projects which:
* Support the development of new or existing technology, products and services which will meet emerging client demand, provide a significantly better service and enhance the company’s competitive edge.
* Invest in innovation enabling companies to exploit new business opportunities with new or existing clients.
* Encourage a company to invest by being able to offer co-funding for the project, thereby reducing the financial commitment and risk they’d otherwise incur developing the project alone.
* Demonstrate the creation of new, sustainable employment.
How To Apply
Expressions of Interest for the 2015 round are currently being invited.
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