Growth Guarantee Scheme (GGS)

The scheme is expected to run until 31st March 2030.

The Growth Guarantee Scheme is expected to be available from 1st July 2024 until 31st March 2030.

Government-backed loans, currently the Growth Guarantee Scheme (GGS) is a scheme where the government provides the Accredited Lender with a 70% government backed guarantee against the outstanding balance of the facility after it has completed its normal recovery process, reducing the risk for the lender and making it easier for businesses to access finance. These loans are designed to support businesses, especially during challenging economic times. The borrower always remains 100% liable for the debt.

Repayment terms for loans obtained through the Growth Guarantee Scheme can extend up to 6 years, providing SMEs with flexibility in managing their repayments.

The Growth Guarantee Scheme was announced in the Spring 2024 budget by the Conservative Chancellor Jeremy Hunt. It is administered by the British Business Bank and delivered through a panel of lending partners. Lenders who wish to participate in the scheme then need to be accredited by the British Business Bank. Lenders must adhere to the terms of the scheme but may add their own criteria when assessing a business’s suitability for this or other finance products. As part of your enquiry with Portman, we will look across our panel of lenders matching you with an appropriate funder based on your situation. Lenders whose portfolio includes GGS will make an assessment of suitability alongside their other products. Businesses do not need to use a broker to access the scheme, though doing so may provide a wider range of financial options. If a business takes a loan covered by the scheme, their relationship for the duration of the loan is primarily with the lender, but if a broker such as Portman were used, they will also keep in touch.

Businesses that took out a Coronavirus Business Interruption Loan Scheme (CBILS), Coronavirus Large Business Interruption Loan Scheme (CLBILS), Bounce Back Loan Scheme (BBLS) or a Recovery Loan Scheme (RLS) facility before 30 June 2022 are not prevented from accessing the Growth Guarantee Scheme, but borrowing under some of these Schemes may reduce the maximum amount the borrower is eligible for.

Yes, you can apply for a cash flow loan with a low credit score. Unlike a traditional loan, cash flow loans rely on your ability to prove your business has a healthy cash flow, which is used to assess the loan terms.

Unfortunately, Portman can only finance companies registered and operating in the UK.

On the contrary, asset finance is designed to spread costs over a period of time, whilst your new equipment generates revenue. Using your business’ cash or credit card and buying outright can mean that there’s no free cash for emergencies or to cover fluctuations in demand. Using finance helps even out the monthly budget and choosing a lease finance or hire purchase deal allows you to treat tax in different ways which may suit your business better. Finance allows you to get what you need now, rather than waiting to buy outright, this helps avoid inflation, as you buy at today’s prices and means you have use of the asset immediately to help grow your business.