Scottish Borders Business Funding Scheme
Monday, February 1 2010
Scottish Borders Council’s Administration has announced proposals for a Small Business Funding Scheme as part of its draft 2010/11 budget.
The £125,000 scheme, which is still to be confirmed under the Council’s pre-budget process, is part of the local authority’s aim to provide support to all businesses in the area through the Business Gateway. It could allow small businesses to apply for grants of up to £4000.
The proposed scheme has been developed as part of the Council’s work with local businesses under its Economic Resilience Action Plan. Businesses highlighted an increasing lack of access to funds and this will be addressed through the scheme.
A total of £125,000 could be available for one year up to 31 March 2011. It is anticipated that the scheme would provide small grants to businesses of up to a maximum of £4000, contributing up to 50 per cent towards project costs for activity that will boost sales and increase profit. Projects might include new product development, improving existing processes, IT development, new electronic trading activity or new market development. If funding becomes available in subsequent years it is anticipated that the scheme would be extended to include loans.
The fund will be managed by Council officers. Businesses will be asked to undergo a straightforward application process with help and guidance available from Business Gateway advisors.
Councillor Vicky Davidson, Executive Member for Economic Development, said: “This scheme is great news for business. I am delighted that we can bring it forward and I anticipate that the Council will approve the proposal next week. Our previous involvement in this type of scheme suggests typical awards tend to be around £1500. As a result, there are opportunities for a number of businesses to do work that, up until now, they may not have been able to progress.
“Details of the scheme are being finalised and will be announced soon, but the proposals are designed to link into Business Gateway support. This is an important feature. We think that integrating financial support with the expert business advice available will ensure that the activities that are supported contribute to improved turnover and profit of small businesses operating in the Scottish Borders. I also think that the funding proposed will complement the South of Scotland Loan Scheme and, in future, certain businesses can apply for larger amounts of loan funding that are also available.”
Notes:
Scottish Borders Council has been working with local businesses under its Economic Resilience Action Plan since December 2008.
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