Interest-bearing business loans of up to £50,000 are available to encourage businesses to start up in the Outer Hebrides, in order to enable business and community development in the area.

The loans will help new and growing businesses and income-generating community enterprises to develop projects that will improve their long-term sustainability, as well as economic activity and employment in the region.

The loans can be used to help cover general start-up costs, the purchase of new or used plants and equipment, working capital, marketing, e-commerce development and upgrading business facilities.

Applications will be assessed against key eligibility criteria. Your proposal must demonstrate that it will contribute to and strengthen the local economy in terms of jobs, growth and other benefits.

Comhairle nan Eilean Siar provides commercial finance to new and growing businesses in the Outer Hebrides. The purpose of the service is to ensure that good, commercially viable proposals do not fail due to a lack of finance.

All businesses in the Outer Hebrides are potentially eligible for the loan if they can demonstrate that they:

• are commercially viable
• create jobs
• generate additional demand for products and services

Priority will be given to applicants who are disadvantaged and unable to get funding elsewhere, and to projects that are expected to have the most impact in the local economy, including through job creation.

You must be able to show that you're unable to raise the total capital required from other commercial, private or public-sector sources.

Applicants may be sole traders, partnerships, limited companies, co-operative groups, community enterprises or other legitimate trading entities.

Each application will be considered on its own merits. However, you're unlikely to receive a loan if your business is located in an area that is already adequately served by similar existing businesses.

You can only apply for one Comhairle nan Eilean Siar loan at a time, and cannot have more than 2 Comhairle nan Eilean Siar loans at any one time. You cannot receive a second loan until 12 months after the first loan was provided and at least 20% of the first loan is repaid.

You can read the full eligibility criteria on the Comhairle nan Eilean Siar website.

It is free to apply for the loan, but you'll need to pay the loan repayments and interest charges.

Businesses based in the Outer Hebrides.

Each application will be dealt with on its own merits. The timescale will vary depending on your project.

New businesses must provide a business plan and 3-year financial projections. Existing businesses should provide a proposal overview and any other information required.

You can only apply for one Comhairle nan Eilean Siar loan at a time, and cannot have more than 2 Comhairle nan Eilean Siar loans at any one time. You cannot receive a second loan until 12 months after the first loan was provided and at least 20% of the first loan is repaid.

Visit the Comhairle nan Eilean Siar website for more information.