Lending

High street bank decides to waive loan arrangement fees for small businesses?

Fred Heritage | 20 October 2016 | 8 years ago

Lloyds bank
From 6 October 2016 to 9 January 2017, Lloyds is waiving loan arrangement fees
In a bid to support Britain’s micro firms, Lloyd’s bank has announced it will waive loan arrangement fees for business customers with under 1m annual turnover.

The high street lender is extending the offer to micro firms and startups borrowing up to 150, 000, on the understanding that for the smallest firms, even relatively small amounts of capital make a big difference to growth.

Under the offer, a startup founder wanting to borrow 20, 000 from Lloyd’s, to pay for a new vehicle for example, would save 300.

Similarly, a business owner looking for finance to pay for new stock or equipment would avoid the 175 term loan arrangement fee on a 6, 000 loan.

Commenting on the bank’s new offer, Lloyds? retail business banking head Jo Harris admitted: Every penny counts when you’re setting up a business.

waiving our loan arrangement fees will benefit many of our smallest business customers to help them to grow. It also sends a positive signal which should help to build confidence in the availability of finance.

The bank’s offer will run from 6 October 2016 to 9 January 2017 open to business owners who complete their applications before 9 January and draw down their loan within three months.

So far in 2016, Lloyds has promised to help 100, 000 UK startups get up and running? and has said it will help a further 1, 000 firms grow into 1m turnover companies. The bank has also pledged $60bn in new lending in support of both individuals and businesses this year.

In early 2016, Lloyds bank backed small business in the North West of England by promising to get 5, 000 firms in the region exporting by year end, with the figure rising to 25, 000 by 2020.

Read on to find out why alternative finance is being shunned in favour of bank lending?

Topic

Lending

Related Topics

What is Debt Financing?
14 August 2023

What is Debt Financing?

Read More →
How to Get a Business Loan
22 November 2022

How to Get a Business Loan

Read More →
What Are Bridging Loans?
16 November 2022

What Are Bridging Loans?

Read More →
What Is A Bridging Loan?
30 March 2022

What Is A Bridging Loan?

Read More →
Six reasons to use an independent broker for business borrowing
8 April 2021

Six reasons to use an independent broker for business borrowing

Read More →
Bounce Back Loans Scheme opens for smallest UK businesses
4 May 2020

Bounce Back Loans Scheme opens for smallest UK businesses

Read More →

If you enjoy reading our articles,
why not sign up for our newsletter?

We commit to just delivering high-quality material that is specially crafted for our audience.

Join Our Newsletter