LDA Loan Fund

The London Development Agency (LDA) has developed a £10 million loan programme jointly funded by the EU with a 40 per cent private sector contribution from Barclays Bank.

The LDA Loan Fund addresses gaps in funding available for businesses within Objective 2 areas of London. These gaps particularly impact on small businesses and start-ups without an established track record or collateral.

They also affect larger lifestyle businesses and Social Enterprises moving into new areas of activity considered 'high-risk' by traditional market lenders.

Loans are available to businesses looking to start or grow a business. These loans are available at interest rates that are comparable to those that a bank might charge, and are repayable monthly over a period that suits the individual business owner.

What you will receive

If you have been unable to obtain traditional bank finance, the LDA Loan Fund can provide:

• loans of £5,000-£50,000 for small and start up SMEs
• larger loans of £50,000-£250,000 for SMEs
• larger loans of £25,000-£250,000 for Social Enterprises

Your contribution

You will be responsible for repayment of the loan over an agreed period.

Eligibility

• Start-up businesses that have been trading for less than 18 months (0-18 months)
• SME businesses who have been trading for more than 18 months (19 months onwards)
• Businesses employing up to 249 people
• Your businesses must be operating within the Objective 2 areas of London, which include specific areas in the  boroughs of Barking & Dagenham, Bexley, Brent, Ealing, Enfield, Greenwich, Hackney, Hammersmith & Fulham, Haringey, Havering, Newham, Tower Hamlets and Waltham Forest

Sector exclusions

• Tourism and Hospitality
• Property Development
• Wholesale and Retail (where no other activities are associated)

For more information

The loans are managed and administered through the following fund managers, who should be contacted for applications or further information.

Hammersmith & Fulham, Bexley, Brent, Ealing, Enfield, Hackney, Haringey and Waltham Forest
One London
28 Park Street,
London SE1 9EQ
www.one-london.com
T: 020 7403 0300

Barking & Dagenham, Greenwich, Havering, Newham and Tower Hamlets
East London Small Business Centre,
Universal House
88-94 Wentworth Street
London E1 7SA
www.goeast.org
T: 020 7377 8821

Social Enterprise enquiries
London Rebuilding Society
9 Bonhill Street, London, EC2A 4PE
www.londonrebuilding.com
T: 020 7251 6181