Growth Guarantee Scheme

Growth Guarantee Scheme Features:

– Up to £2m business group: The maximum amount of a facility provided under the scheme is generally £2m per business group for borrowers outside the scope of the Northern Ireland Protocol, and up to £1m (or such other sum as notified from time to time by us to the lender in accordance with the relevant legal agreement(s)) per business group for Northern Ireland Protocol borrowers. Minimum facility sizes vary, starting at £1,000 for asset finance, invoice finance and asset-based lending, and £25,001 for term loans and overdrafts;

– Wide range of products: The Growth Guarantee Scheme supports term loans, overdrafts, asset finance, invoice finance and asset based lending facilities. Not all lenders will be able to offer all products;

– Term length: Term loans and asset finance facilities are available from three months up to six years, with overdrafts, invoice finance and asset-based lending available from three months up to three years;

– Access to multiple schemes: 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 2024 are not prevented from accessing Growth Guarantee Scheme, but borrowing under these schemes may reduce the maximum amount the borrower is eligible for;

– Pricing: Interest rates and fees charged by Tower Leasing will vary and will depend on the specific lending proposal. Our pricing will take into account the benefit of the Government guarantee;

– Personal Guarantees: Personal guarantees can be taken at Tower Leasing’s discretion, in line with their normal commercial lending practices. Principal Private Residences cannot be taken as security within the Scheme;

– Guarantee is to Tower Leasing: The scheme provides the lender with a 70% government-backed guarantee against the outstanding balance of the facility after it has completed its normal recovery process. The borrower always remains 100% liable for the debt;

– Decision-making delegated to Tower Leasing: Growth Guarantee Scheme-backed facilities are provided at the discretion of Tower Leasing. We are required to undertake our standard credit and fraud checks for all applicants.

– The assistance provided through Growth Guarantee Scheme, like many Government-backed business support activities, is regarded as a subsidy and is deemed to benefit the borrower. There is a limit to the amount of subsidy that may be received by a borrower, and its wider group, over any rolling three-year period. Any previous subsidy may reduce the amount a business can borrow. More information on subsidies is available here.

Required documents:

You will need to provide certain documents when you apply for an Growth Guarantee-backed facility. These are likely to include:
– Management accounts
– Business plan
– Historic accounts
– Details of assets
– Details of previous subsidy awards.

Decision-making on whether a business is eligible for the Growth Guarantee Scheme is fully delegated to Tower Leasing by the British Business Bank.

Business Guidance 
The British Business Bank’s Business Guidance pages have a range of guidance and resources for businesses, including information on how to manage your cashflow and where to find independent advice.