UK Banks May Launch Large Small Biz Fund

A very large investment fund, created by a number of important banks for the sole purpose of providing loans to small businesses, may be on the way.  Rumor has it UK banks could even launch the fund next week.

Please note that nothing’s been confirmed, so now’s not the time to call up local bank branches and try to take advantage of the fund.  What follows is just what might be going on (though we should say that this story’s been repeated by more than a few major news outlets).

Harry Wilson reported earlier today, "Britain’s major banks, including Barclays, Lloyds Banking Group and Royal Bank Scotland, could announce the formation of a new investment fund designed to provide equity financing to smaller businesses."

Wilson then continued, "Details have still yet to be finalised, but the fund is expected to grow to at least £250m, though it could be eventually double this size, according to one source with knowledge of the discussions."

So it looks like small businesses in need of loans stand to benefit from a considerable new source of money.

Hopefully the fund will launch soon.  We’ll be sure to keep our eyes peeled for updates on this front.