South West businesses have benefitted from £100m of Start Up Loans financing through the Start Up Loans programme, with Devon businesses receiving the most funding out of all South West counties.

The British Business Bank’s Start Up Loans programme has a 12-year legacy of delivering funding to smaller businesses who may otherwise find it difficult to secure loans from traditional lenders. Entrepreneurs and businesses can access personal loans of up to £25,000 on a fixed 6% rate of interest to start up or grow their business. Through a partner, Newable, the programme also offers mentoring to recipients in their first year.

The programme has just marked a significant milestone: £100 million has been loaned to businesses spread across the towns and cities of the South West. More than 10,000 businesses across the region have benefitted from this financing and post loan support since its inception. These have ranged from cafés and music studios to clothing companies and microbreweries.

Of the counties across the South West, Devon businesses received the highest number of loans at 2,278 loans made, with Cornwall and the Isles of Scilly the second highest at 1,540. Devon also saw the highest amount of funding lent to businesses coming in at almost £23 million with Cornwall and Isles of Scilly again second with over £16 million.

One of the latest businesses to benefit is Tavistock Brewery, a father and son run craft brewery based in the village of Peter Tavy on the western flanks of Dartmoor. Richard and Matthew Goslin used a cash injection of £10,000 to help them diversify into bottled ales.

After converting a disused farm building into a microbrewery, the duo sold their brews to pubs and restaurants within a 30-mile radius, including in Tavistock, Okehampton, Plymouth and Torquay. Pub customers loved the beer so much that they sought bottled beers that could be consumed in the comfort of their own homes. The duo sought funding to be able to deliver a bottled product for people to enjoy at home and the first batch of 3,000 bottles is now ready to sell.

“Start Up Loans was accessible, with a good rate of interest and having it facilitated the expansion of our business. Without this support, this would not have been possible,” says Richard.

Alex Mearns, Head of Startup Lending at Business Support Partner GC Business Finance, said: “From what started as a shared interest between father and son, Richard and Matthew have been able to build an incredibly successful business that is beloved by the local community. Having worked with the pair to support them with a Start Up Loan, it’s been brilliant to see how they’ve grown their business and become a staple in Devon. It’s certainly an exciting time as they expand into bottled beer, and we can’t wait for even more people to try it.”

Louise McCoy, Commercial Managing Director, Small Business Lending at the British Business Bank said: “We’re thrilled that the Start Up Loans programme has delivered over £100m of funding to 10,000 businesses across the region since its launch. The programme aims to expand access to funding for entrepreneurs looking to start-up and grow and this latest milestone is testament to the ambition of the South West’s entrepreneurs. Businesses like Tavistock Brewery deliver a wide range of products and services to their communities and contribute to the economic vitality of their areas.”

The Start Up Loans programme helps people start or grow their business and is part of the government-owned British Business Bank’s remit to make finance markets work better for smaller businesses. They can borrow up to £25,000 at a fixed interest rate of 6% per annum and repay the loan over one to five years. The programme also provides 12 months of free business mentoring which is delivered through its post loan support partner. In the South West, the programme is supported primarily by SWIG Finance but also national programme partners such as GC Business Finance.

To learn more about Start Up Loans support, visit: https://www.startuploans.co.uk/

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