If your business is looking for funding, then finding out about the government initiatives available is essential. With bank lending requirements becoming all the more stringent, even if the application process for government grants and loans is strenuous it can be worth it. One such scheme is the Seed Enterprise Investment Scheme (Seis), which aims to stimulate entrepreneurship and kickstart the economy.
The main idea behind Seis is to inject cash into businesses that have the potential to be the next big thing. It is aiming to target investors who don’t normally invest in start up businesses. It offers lower risk as it ensures there are additional tax benefits that are available for those who invest. This means there’s a bigger pool of expertise, experience and industry knowledge available to UK SMEs.
The Seis scheme attracts both private and venture capital investors which have a variety of backgrounds – this means that businesses can draw on a wider range of expertise. Getting the backing of investors also gives customers the confidence that your business will be around for a long time to come.
Getting to know the types of investment that Seis can help with is essential. There’s lots of information online about the requirements for the scheme which is important to get your head around when trying to ascertain whether it can benefit your business.
However, if you feel your business is better suited to other forms of finance, then there are some more options available. Invoice factoring can release cash tied up in invoices, injecting new cash flow into your business to allow for growth and expansion. This is a flexible form of finance that’s available from both independent lenders and big banks, so, if the application process of government schemes seems out of reach, invoice factoring is an excellent and accessible option.