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Enterprise Finance Guarantee

When you’re a small business with big plans.

If you have a workable business proposal but lack sufficient security, your business can use the Enterprise Finance Guarantee to borrow money. You could use the loan to pay off any existing Bank of Scotland business overdraft facility, buy or update equipment, move to bigger premises or expand into new markets.

Through Bank of Scotland, the Secretary of State for Business, Energy and Industrial Strategy (BEIS) provides a partial guarantee for the loan. However, your business remains liable for the full loan amount.

Key Features

  • If your turnover is under £41 million per annum, and you meet our scheme criteria, you may qualify for Enterprise Finance Guarantee (EFG) funding.
  • Borrow from £25,001 to £600,000 over one to 10 years or,
    from £600,001 to £1,2 million over one to 5 years
  • Variable or fixed interest rates* available.


British Business Bank Enterprice Finance Guarantee logo

Finance selector

A useful tool to help you find out which of our finance options may be right for your business.

Launch selector
    • Borrow from £25,001 to £600,000 over one to 10 years or,
      from £600,001 to £1,2 million over one to 5 years
    • Variable or fixed rate* terms available subject to status.
    • Flexible draw down arrangements on loans over £25,000.
    • Capital repayment holidays may be available.
    • As well as interest, you will pay an arrangement fee, plus a 2% annual Guarantee Fee to the government on the outstanding balance of your loan. This is payable quarterly by direct debit.

    To apply for an Enterprise Finance Guarantee loan, your business must not have received de minimis State aid beyond €200,000 equivalent over the previous three years.

    For more information on Enterprise Finance Guarantee, please visit the British Business Bank website.

  • Talk to us about your plans and needs. Before you apply for EFG funding, you should look at other finance options we may be able to help you with including:

    If the EFG scheme is right for your business, then we'll agree an interest rate (subject to eligibility) and advise you if any security is needed. We’ll discuss all terms and conditions with you before you take out your loan.

    You can apply by calling 0345 300 0268

  • By phone

    You can apply by calling

    0345 300 0268

    When you apply

    You’ll need to confirm that:

    • You are a sole trader, or a partner or director of the business
    • You are over the age of 18
    • The finance you wish to secure is for business use only

    You’ll also need to have the following information to hand:

    • The amount of money you would like to borrow
    • The reason you want to borrow the money
    • How long you wish to take to repay the money.

    Please view our finance application checklist before you apply.

* There is always a possibility that interest rates may go down leaving a fixed rate mortgage at a higher level compared to a variable rate mortgage. However, if interest rates rise, a fixed rate mortgage will remain at the same rate.


All lending is subject to a satisfactory credit assessment and we will need your permission to carry out a credit check on you and your business.

You should not apply for an amount that you cannot comfortably afford to repay now and in the future to avoid the possibility of legal action.