BCRS Business Loans has reached a significant milestone, surpassing £1 million in loans through the Community Investment Enterprise Fund (CIEF), aimed at promoting economic growth and job creation in the West Midlands and Wales. The Wolverhampton-based community lender achieved this landmark in just a few months after the second CIEF was launched in March, backed by Lloyds Bank.
The CIEF was established to provide financial support to businesses that struggle to secure funding from traditional banks. In total, BCRS has delivered £1.07 million in loans to 16 businesses, leading to the creation of 37 new jobs and protecting an additional 177 roles. The initiative has also generated an impressive £7 million in economic impact for the region, with 68% of the funds allocated to companies in economically disadvantaged areas.
BCRS Business Loans offers secure loans ranging from £25,000 to £150,000, facilitating growth and recovery plans for local businesses. Among the first recipients of CIEF funding was NN Private, a dental practice based in Birmingham, which received £50,000 to purchase a new laser for pain-free dental procedures. Owner Dr Naveen Nagarathna praised the funding, stating, “The purchase of the dental laser has provided the practice with a huge point of difference in terms of pain management. The funding and support from BCRS has been second to none.”
Another notable beneficiary is 1000 Trades On The Park, an independent tearoom and kitchen that opened in the historic Lightwoods Park and House in Bearwood. The establishment secured a £70,000 CIEF loan to realise its vision, creating up to 15 jobs in the process. Co-owner John Stapleton expressed gratitude for the funding, highlighting the challenges faced in accessing finance from traditional banking routes.
The new £62 million CIEF is part of a larger effort to invest in small businesses that might otherwise be overlooked by mainstream lenders. Funded by Lloyds Bank, Better Society Capital, and contributions from several Community Development Finance Institutions (CDFIs), the initiative aims to support around 800 small businesses nationally and safeguard over 10,500 jobs.
Stephen Deakin, chief executive of BCRS Business Loans, expressed pride in the rapid delivery of over £1 million in funding, stating, “This new CIEF allows CDFIs like us to help growing companies in some of the UK’s most economically challenging regions provide jobs and drive positive social impact.”
Alastair Davis, CEO of Social Investment Scotland, noted the immediate impact of the CIEF, affirming that investing in underserved communities is both possible and credible. Similarly, Andrew Asaam from Lloyds Banking Group highlighted the diverse range of businesses benefiting from this investment.
BCRS Business Loans has a strong track record, having provided over £85 million in loans since its inception in 2002. In the last financial year alone, it lent £6.5 million to 72 businesses, safeguarding nearly 1,000 jobs and creating 473 new roles, thereby adding £33.7 million in value to the local economy. As BCRS continues to support businesses through initiatives like the CIEF, it remains a key player in fostering economic resilience and growth in the region.