Eden Valley Messenger

CUMBRIAN TRUST LENDS HELP TO GROWING LOCAL BUSINESSES

MORE money is now available for local businesses to lend to help them grow.

A Cumbrian Trust, set up to offer business loans of up to £50,000 is the only non-bank in the country accredited as part of a business finance initiative - and Chief Executive of CART Grahame Latus is keen for more businesses to come forward and benefit.

The Cumbria Asset Reinvestment Trust (CART) has been accredited by the Department for Business, Innovation and Skills to offer the business loans under the Enterprise Finance Guarantee (EFG). 

Grahame said: “The Guarantee scheme was launched at the beginning of 2009, to make sure that finance was available to businesses that needed loans to help them to survive and thrive. 

“However, the rate of lending through the conventional banks is not meeting its targets and a recent survey showed that less than 40% of businesses were even aware of the scheme.  So the Government is extending the deadline for these loans and has accredited additional lenders like CART to make sure the money is available and accessible to businesses as soon as possible.”

The national funding of the EFG exceeds £1.3 billion and any business with an annual turnover of under £25 million can apply.  Repayment terms can vary with repayments possible over between 3 months and 10 years. CART’s accreditation means that the Penrith-based team can offer a wider range of loans and terms and be even more flexible to meet the needs of different Cumbrian businesses and their situations.

One of the first Cumbrian businesses to benefit from CART’s involvement in EFG is Capelli Studio on King Street in Penrith.  Kirsty Jackson had worked in the Studio for six years but, returning to work after maternity leave last year, she had the opportunity to buy the business from its current owners. Her success in arranging that has secured nine jobs including her own and also created one new post.

Kirsty said: “Sorting this out has been quite stressful, but the team at CART have helped a lot. Whenever I have had queries on the forms or on the information that I needed to gather together, CART have been there to help.”

Grahame added: “This loan will enable the business to move forward and grow but Kirsty has not had to put up tangible security.  Without CART intervention, Kirsty was struggling to raise the finance for the deal from conventional banks so she is exactly the sort of business owner that the Enterprise Finance Guarantee is targeting.

“We have now helped almost 150 Cumbrian businesses with loans in just over four years, and they cover the full range of sectors and sizes.  Preserving or creating jobs is a priority at the moment and many of our clients are using CART loans to do just that.  Kirsty is typical of the local business owners who need practical financial support to enable them to shape the future of their companies.”

CART is a Community Development Finance Institution, part of a network of alternative sources of business finance across the UK. 

If you are looking for a cash loan for your business and the banks have not been able to help, contact Grahame and his team at CART on 01768 867118 or via www.ccart.org.uk for advice on next steps.

ENDS

CAPTION:

Grahame Latus of CART meets Kirsty Jackson and the team at Capelli Studio in Penrith, the first business to get finance from the Enterprise Finance Guarantee via CART.

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