What is a Enterprise Finance Guarantee Loan?
The Enterprise Finance Guarantee (EFG) is an innovative business finance scheme, which can help you access the additional funding you need to achieve your ambitions. Supported by the Government through the British Business Bank, the guarantee enables lenders to help established companies grow.
Working alongside our Receivables Finance solution, you could raise anything from £25k up to £1.2m to turn those possibilities into reality.
Make great things happen with the EFG - what would you do with yours?
If you’re a business to business operation in the UK and have an annual turnover from £1m to £41million, the Enterprise Finance Guarantee Loan could help you turn your business ambitions into a reality. Whether it’s an acquisition, funding that unexpected order, giving your working capital a boost to smooth out seasonal fluctuations or taking rapid growth in your stride, the EFG could be the answer you’ve been looking for.
Have a look here to see what other businesses have done with their EFG and click here for our in depth case studies.
How it works
The Enterprise Finance Guarantee (EFG) was created to help businesses with a viable business plan but insufficient security to raise the finance they need. It does this by providing the lender with a guarantee of 75% of the loan value in event of default by the borrower. In essence it may help turn a "no" into a "yes". The borrower pays a 2% fee towards the costs of the guarantee.
It’s important to be aware that borrowers under the EFG scheme remain liable for 100% of the outstanding debt at all times.
2 Ways to make great things happen
At ABN AMRO Commercial Finance we can provide the Enterprise Finance Guarantee Loan alongside our Receivables Finance solutions such as Factoring or Invoice Discounting, improving your working capital at the same time.
If you’re planning an acquisition or a big expansion and need a significant amount of funding upfront this maybe the solution for you.
If you need an ongoing boost to your working capital this option could top up your Receivables Finance advance (up to 100%).
Alternatively, you may wish to take a mixture of Fixed Term and Revolving for ultimate flexibility.
The benefits of the Enterprise Finance Guarantee Loan
- Borrow from £25,000 to £1.2 million
- ABN AMRO Commercial Finance loans are delivered alongside Receivables Finance solutions such as Factoring or Invoice Discounting, improving your cashflow at the same time
- Few restrictions on loan use – what will you do with yours?
- Minimal paperwork - ABN AMRO Commercial Finance handles all the details of the scheme to simplify the process for you
- Repayment terms range from 3 months to 5 years
- Fast access to finance - we can provide funds in days rather than weeks
- Retain control - Utilise your invoices to maximise finance as an alternative to equity finance.
The provision of the EFG should not be construed as an endorsement or warranty of ABN AMRO Commercial Finance by the UK government, including the Secretary of State for Business, Energy & Industrial Strategy