Council could offer loans of up to £10,000 to businesses

A council hopes to set up a small business loan scheme to help struggling firms.

South Kesteven District Council’s resources policy development group discussed the idea at a meeting last month.

During the meeting a recommendation was made that the council should set up a small business loan scheme, providing loans between £4,000 and £10,000 as part of a three-way match funding arrangement with a bank and the applicant.

Councillors also recommended that applicants should be required to show support from their bank while applying for the loan.

The loans would come under the council’s hardship relief scheme.

The committee’s recommendations will now be passed to the council’s cabinet for full approval at a meeting on August 5.