If you are aged between 18 – 30 years and you are thinking of starting your business or need finance for the business you started within the past 12 months, then you may be able to get a loan through a Government programme administered by Foundation East. Check out their website www.18-30.org or phone 01284-757772 for more details
Please note FAQs below:
Q: What are Start-Up Loans? Start-Up loans are business loans for new entrepreneurs aged between 18 and 31,living in England, who are looking for finance to start a business.
Q: When can I apply? You can apply now for a new loan. Just register online, download the forms and apply online. We can help all the way.
Q: How do I apply? By clicking on register to find out more.
Q: Am I eligible? To apply for a loan through Foundation East you should be at least 18 years of age (at the time of your application) and younger than 31, living in England and interested in starting a business. We can be flexible with this so please contact the 18-24 Team for more information if you are unsure if you can apply.
Q: What is the Application Process? When you apply, Foundation East will then work with you to identify what stage you’re at in your idea process, and help you present your business proposal, for you to successfully get your loan. If successful, you will receive the funding for the loan which will be administered by Foundation East. Mentoring will be provided with the loan, giving you additional support and guidance as you go through an entrepreneur’s journey. Either complete the online application or download the forms, or do both! Fill these in with the help of a mentor, email these forms back to us and sign the last page which you can post to us separately. Simple!
Q: How much can I borrow? This will be agreed between yourself and Foundation East. We will lend what you actually need from £500 upwards. If you require more than £10,000, Foundation East offers loans up to £50,000 – visit www.foundationeast.org.
Q: What kind of loan is it? The Start-Up loan is a personal loan regulated under the Consumer Credit Act.
Q: If I receive a Start-Up loan, what are the payback terms? You will be required to pay back the loan within three to five years at a fixed annual interest rate of 6%.
Q: Will I receive any practical support? In addition to your loan you will also receive business support and mentoring to help develop your idea.
Q: When will I be able to receive a start-up loan? Loans are available now. Hurry up with your application to avoid disappointment.
Q: What else do I receive? As well as the loan, business support and mentoring, applicants will also be eligible to enrol in resources from a number of our Global Partners, all of whom will be announced on our Facebook page and Start Up Loans website, and communicated to you once you have received your loan. For example, 6 months free access to Regus’ Virtual Office Package and access to most of their business lounges across the world. In addition, applicants will also receive a free copy of Start-Up Loans kit, which offers all the guidance you need to start a business, plus more than £500-worth of offer on products from business cards to websites, netbooks and work suites.
Q: Will applicants be contacted for more details? Yes – applicants will be contacted. We want you to succeed and can help at any stage of the process. The loan application and cashflow are often all we will need to determine your loan.
Q: Who will be deciding who gets the loans? Foundation East has arrangements for determining which entrepreneurs will receive loans, but the underlying criteria are set by the Start-Up Loans Company to ensure a consistent approach is followed across the country.
Q: How will the loans be handed out? Loans will be transferred to the applicant’s business bank account. Foundation East will help the young person open an account if they do not already have one. We have arrangements in place with both Barclay’s and Lloyd’s for fast track business account applications.
Q: I’m an International Student, living in Eastern England, between 18-24. Can I apply? Yes as long as your visa permits you to work in the UK, and your business plan is viable to allow you to repay you loan during the length of your stay.
Q: I am over the age of 24 can I still apply? Yes you can! – you can apply for a loan if your under the age of 31 at application. You may be able to obtain business finance from Foundation East who providing loans of up to £50,000, if you are of any age.
Q: What else do I need? You will have to obtain a credit report, you can either visit www.creditgeeks.co.uk or contact the 18-24 Team who can provide assistance in how to do this.
Q: What ID is acceptable? There is a list available which can be downloaded on the Checklist Page. If you are not sure just ask us.
Q: Who can counter sign my ID and Proof of Address? As a requirement of the scheme we require your ID and Proof of Address to be counter signed. Your countersignatory should not be related to you by birth or marriage but can be one of the following: Accountant, Councillor, Civil servant, Lawyer, Member of Parliament, Minister of a recognised religion, Nurse (RGN and RMN), Officer of the armed services (active or retired), Police officer, Salvation Army officer, Social worker, Teacher or lecturer If in any doubt just ask us!
Q: I am already trading, can I apply? If you are a new business that is trading for less than a year then you can still apply.
Q: Why do I need a credit report? The full personal credit report – we don’t base our decision on your credit score, we ask for this to offer guidance and advice where possible.
