Scottish Microfinance Fund

Support provided by Scottish Government

What does this involve?

The Scottish Growth Scheme is a package of financial support of up to £500 million for Small and Medium Enterprises (SMEs) in Scotland. The Scottish Growth Scheme is part financed by the European Regional Development Fund, backed by the Scottish Government, and aims to help businesses grow. This funding includes the Scottish Microfinance Fund which is managed by DSL Business Finance Ltd on behalf of Scottish Government and provides loans of up to £25,000 to eligible businesses.

Loans can be used for a variety of purposes including:

  • working capital
  • capital expenditure
  • start-up and growth funding

Am I eligible?

To be eligible for a business loan of up to £25,000 from the Scottish Microfinance Fund, businesses must:

  • be a small to medium sized enterprise
  • have a borrowing proposal which the lender considers viable
  • have a viable business plan which demonstrates you can pay back the loan, and how the requested funding will help you start or grow your business
  • be based in Scotland or ready to locate to Scotland (and located in Scotland before any loan financing is made available)

The Scottish Microfinance Fund is not sector-specific and businesses in a variety of sectors have already been supported under the Fund. However, restrictions do apply within some sectors. 

What does this cost?

There is no cost to apply.

Who is this for?

Start-ups and SMEs based in Scotland.

How long does this take?

This will depend on the nature of your loan request and the review process. DSL Business Finance will evaluate your application and make the lending decision.

Important information

Advice and support for SME’s seeking to access finance is available from Business Gateway. Financial Readiness support is available from Scottish Enterprise, including in the Highlands and Islands area.

Next steps

Visit the DSL Business Finance website for further information and to apply for a business loan.

Support provided by Scottish Government

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