The Community Builders Fund provides loans of between £100k and £1.5m to UK charities and social enterprises based in England, Wales and Scotland.
The fund is supported by the Government guarantee scheme – Growth Guarantee Scheme.
Who is it for?
The Community Builders Fund is for UK charities and social enterprises based in England, Wales and Scotland who are improving people’s lives, or the environment they live in.
Am I eligible?
- Based in England, Wales, or Scotland
- Legally constituted and a registered charity or social enterprise.
- Primarily constituted for social benefit improving people’s lives or the environments they live in.
- Operating for at least two years.
- Minimum turnover of £400k in its last financial year (or £200k if the organisation is based in Scotland or Wales)
- Not subject to any insolvency proceedings e.g. winding-up, administration, insolvency, bankruptcy
Loan amount: £100k to £1.5m
Repayment Term: 1 – 6 years
Interest Rate: 7.9% per annum fixed
Arrangement fee: 2.5% on loans of £500k or greater 3% on loans <£500k
Repayment Capital: repayment holiday of up to 12 months (optional) No early pre-payment fees
Security: All loans of up to and including £250k will be provided unsecured. For loans of over £250k, security will be taken in the form of a standard fixed and floating charge, where readily available with exceptions made only in exceptional circumstances
Purpose: Any, including refinancing of existing debt
There is an online application process