For those making an application to the Welsh Government for grants, you should familiarise yourselves with the guidance available here.
Economic Resilience Fund
ERF Phase 3 Business Grant
Due to high demand, the Economic Resilience Fund (ERF) Phase 3 Business Grant is suspended while we process the applications received.
Please monitor the Business Wales Covid-19 Support for Business website and our social media channels for other support and updates.
To help businesses locate a varied range of other support available to them to get through this difficult period take a look at the COVID-19 Business Support Finder pages we’ve created here.
Welsh Government Economic Resilience Fund Awarded Organisations
A list of Economic Resilience Fund Phase 1 recipients and regional breakdown information can be found here.
A list of Economic Resilience Fund Phase 2 recipients and regional breakdown information can be found here.
Business Wales Barriers Grant
The Welsh Government’s Covid-19 commitment, put in place a programme of employment and skills support to help people back to work.
Part of this programme includes additional support for individuals considering self-employment. In addition to the existing start-up service, a grant to support unemployed individuals that face greater economic barriers to starting a business is being made available. This discretionary grant will help up to 600 individuals become self-employed or start a business, between December 2020 and March 2021.
The grant will be open to all unemployed individuals, however priority in allocating funding will be given to those most affected by the Covid-19 outbreak:
- Disabled people
- People from BAME backgrounds
- Young people not in education or training (NEETS) aged 18-24 or a College and University leaver in 2019 or 2020
- Individuals will be able to apply for up to £2,000 to contribute towards the essential costs of starting a business.
The grant will be managed through the Business Wales service.
The fund will open for applications on 1 December 2020.
For further information please visit the Business Wales Barriers Grant pages.
Development Bank of Wales
For details of the financial support available from the Development Bank of Wales please visit their website:https://developmentbank.wales/
£100 million Development Bank of Wales loan scheme fully subscribed in first week
The COVID-19 Wales Business Loan Scheme is fully subscribed after more than 1,500 applications were received in just over one week.
The £100 million scheme was launched on Monday 30 March as part of the Welsh Government’s £500 million Economic Resilience Fund to support businesses in dealing with coronavirus outbreak.
The first loans were approved within three days of the fund launch, with the first loans reaching applicants by the end of last week.
Bounce Back Loans
The COVID-19 Bounce Back Loan Scheme enables businesses to obtain a six-year term loan at a government set interest rate of 2.5% a year.
- up to £50,000 loan – loans will be from £2,000 up to 25% of a business’ turnover or £50,000, whichever is lower
- 100% guarantee – the scheme provides the lender with a government-backed, full guarantee (100%) against the outstanding facility balance, both capital and interest
- interest rate – the UK Government has set the interest rate for this facility at 2.5% per annum, meaning businesses will all benefit from the same, low rate of interest
- interest paid by the UK Government for 12 months – the UK government will make a Business Interruption Payment to the lenders to cover the first 12 months of interest payable, so businesses will benefit from no upfront costs
Firms will be able to access these loans through a network of accredited lenders.
Further details can be found on the GOV.UK website.
Business Interruption Loan Scheme
A temporary Coronavirus Business Interruption Loan Scheme, covering a variety of different products such as loans, overdraft, invoice finance and asset finance, delivered by the British Business Bank, was launched on the 23 March to support primarily small and medium sized businesses to access bank lending and overdrafts. The government will provide lenders with a guarantee of 80% on each loan (subject to a per-lender cap on claims) to give lenders further confidence in continuing to provide finance to SMEs. The government will not charge businesses or banks for this guarantee, and the Scheme will support loans of up to £5 million in value. Businesses can access the first 12 months of that finance interest free, as government will cover the first 12 months of interest payments.
Further details can be found at: https://www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-scheme-cbils/