Could a Government-backed loan help fund your new business asset?

Whether you’re looking for a new or used vehicle, manufacturing equipment or office furniture, you could fund it with a Government-backed loan from one of our expert lending partners.

In fact, you could fund almost any business asset with the Growth Guarantee Scheme (GGS), which aims to improve the terms on offer to borrowers, and allows us to say yes to more businesses.

Here we explain how a Government-backed GGS asset finance deal could help drive your business forward.

What is a Government-backed loan?

Launched in July 2024, the Growth Guarantee Scheme was designed by the Government expressly to support access to finance for UK small businesses as they look to invest and grow.  

Money is loaned through accredited lenders and the Government gives the lender a 70% guarantee on the loans.

That means that if the business can’t repay the loan, the Government will reimburse the lender. Although the borrower remains liable for the full loan amount, the guarantee allows lenders to say yes to more businesses. 

Who runs the Growth Guarantee Scheme? 

The British Business Bank administers the Growth Guarantee Scheme on behalf of the Secretary of State for Business and Trade.

How does the guarantee work?

The GGS provides lenders with a 70% Government-backed guarantee. That means if the business that takes a loan is unable to repay the debt, the lender can recover some of the funds from the Government. This allows lenders to approve more loan applications and help more businesses.

Please note that the guarantee is to the lender, not the business, and you are always 100% liable for the debt.

Am I eligible for the Growth Guarantee Scheme?

To be eligible for GGS businesses must:

• Have an annual turnover of less than £45M
• Be based in the UK
• Provide confirmation that a GGS facility will not exceed the maximum subsidy they are entitled to receive
• Not be in difficulty
• Not be a bank, building society, insurer, reinsurer, public sector body or state-funded primary or secondary school

How can I finance a business asset with a Government-backed loan?

Simply complete the online application form, and one of our advisors will be in touch to guide you through the best options for your business.

The GGS aims to improve the terms on offer to borrowers. If Funding Circle or our partners can offer a commercial loan on better terms, they will do so.

To learn more about whether GGS asset finance is right for your business, apply online in just seven minutes.

26/05/25: While we want to help as much as we can, the information found here is provided solely for informational purposes and should not be considered financial or legal advice. To the extent permitted by law, Funding Circle does not accept any liability for any loss or damage which may arise directly or indirectly from the use of, or reliance on, the information contained here. If you have any questions, please speak to your professional adviser or seek independent legal advice.