Small companies used Covid Bounce Back loans to invest

More than half of small companies used Covid Bounce Back loans to adapt and invest in their business

More than half of small companies used Covid Bounce Back loans to adapt and invest in their business. 

Firms took the opportunity to train new staff, introduce new products and update technology, according to data from Starling Bank and Enterprise Nation. 

Investing for the future: Firms took the opportunity to train new staff, introduce new products and update technology

The Government launched the scheme – which allows small firms to borrow up to £50,000 – last May. 

Around 1.53m loans worth a total of £4.65billion have been arranged. A survey of 850 small companies found 55 per cent used the cash to adapt and expand. 

Emma Jones, founder of Enterprise Nation, said: ‘The money has allowed them to confidently pivot, introduce new products and services such as online ordering systems or boost e-commerce provision and enhance online marketing.’ 

Almost half (48 per cent) said having funding in their reserves brought greater peace of mind. Many said they would be keen to use the new Recovery Loan scheme, which offers businesses lending of up to £10m.

Read more at DailyMail.co.uk