Growth Guarantee Scheme (GGS)

Access government-backed funding up to £2m through accredited UK lenders, with expert guidance every step of the way.

Looking to scale your operations, invest in new assets, or secure working capital? The Growth Guarantee Scheme (GGS) provides a government-backed lending route designed specifically to help viable UK businesses secure finance when standard commercial lending criteria might otherwise be out of reach.

By providing accredited lenders with a 70% government-backed guarantee, the scheme unlocks vital funding for small and medium-sized enterprises to expand premises, purchase equipment, and support daily operations. With the support of independent commercial brokers, you can navigate accredited UK lenders to access term loans, asset finance, or revolving facilities without delays or unnecessary friction.

Whether you need a term loan from £25,001 up to £2,000,000 to execute an ambitious growth plan, or an asset-based facility to protect cash flow, our team handles the heavy lifting. We compare accredited GGS lenders across the market to structure terms that match your company’s exact trading profile.

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Benefits

Government-backed 70% guarantee gives accredited lenders greater confidence to approve your funding
Broad usage terms allowing capital to fund general expansion, asset purchases, or daily cash flow
Accessible to UK SMEs that might otherwise struggle with conventional bank underwriting
End-to-end management from brokers connected directly with accredited GGS lenders

Key Terms

Facilities available up to £2,000,000 per business group (£1m in Northern Ireland)
Flexible repayment periods up to 6 years for term loans and asset finance (up to 3 years for overdrafts)
Choice of term loans, asset finance, invoice finance, or revolving credit lines
No personal guarantees required on facilities under £250,000 (and Principal Private Residences cannot be taken as security)

Eligibility Requirements

UK-based business actively trading and generating more than 50% of income from trading
Annual group turnover of up to £45,000,000
Demonstrable commercial viability and ability to service the loan
Open to Limited Companies, LLPs, Sole Traders, and Co-operatives across most sectors

Fast Decisions

Quick turnaround on funding applications

Tailored Terms

Flexible finance options built for your company

Expert Support

Dedicated guidance throughout

Our Funding Partners

We Make Growth Guarntee Scheme Easy

UK Growth Guarantee Scheme (GGS) Explored

Securing the right funding is one of the most critical milestones on a company's journey to scale. Whether you need to invest in new machinery, fund commercial expansion, or reinforce working capital, understanding the government-backed support available to UK businesses can transform your access to finance.

Successor to the Recovery Loan Scheme (RLS), the Growth Guarantee Scheme (GGS) is designed to support smaller, viable businesses across England, Scotland, Wales, and Northern Ireland. This comprehensive guide breaks down how the scheme works, eligibility requirements, and how to apply through accredited lenders.

What is the Growth Guarantee Scheme?

The Growth Guarantee Scheme is a UK government initiative administered by the British Business Bank on behalf of the Department for Business and Trade. Under the scheme, the government provides accredited commercial lenders with a 70% guarantee against the outstanding balance of a facility.

This guarantee reduces the lender's risk profile, encouraging them to approve finance for businesses that might otherwise fall just outside typical underwriting criteria. It is important to note that the borrower remains 100% liable for the debt at all times.

Why Do UK Companies Apply for GGS Funding?

Growing businesses often encounter strict lending caps from traditional high street banks. The Growth Guarantee Scheme provides an accessible alternative for several strategic purposes:

Commercial Expansion
Opening new operating locations, moving to larger industrial premises, or investing in extensive fit-outs.
Asset and Equipment Acquisition
Purchasing heavy machinery, specialized plant, IT systems, or commercial vehicle fleets to service larger contracts.
Working Capital Management
Bridging cash flow gaps caused by lengthy invoice terms or seasonal trade fluctuations.
Business Acquisitions & Restructuring
Funding the buyout of competitors, purchasing intellectual property, or financing management buyouts (MBOs).

Types of Finance Supported Under GGS

Unlike single-purpose government loan programmes, the Growth Guarantee Scheme supports a diverse range of commercial debt products:

1. Term Loans

Unsecured or secured lump-sum loans starting from £25,001 up to £2,000,000, with flexible repayment terms structured between three months and six years.

2. Asset Finance

Hire purchase and finance lease arrangements starting from £1,000, allowing you to deploy critical equipment immediately while spreading the cost over its operational lifespan (up to six years).

3. Invoice Finance

Facilities from £1,000 that allow businesses to advance up to 90% of the value of unpaid B2B invoices, unlocking working capital without waiting 60 or 90 days for client payment.

4. Overdrafts & Revolving Credit

Flexible revolving lines of credit starting from £25,001 (terms up to three years) that act as an ongoing cash reserve to draw down and repay as needed.

Key Terms, Security, and Personal Guarantees

Understanding the rules regarding security ensures complete clarity before entering into a GGS-backed credit agreement:

Facility Caps
Maximum borrowing is generally capped at £2,000,000 per business group (£1,000,000 for businesses operating under the Northern Ireland Protocol).
Personal Guarantee Protections
For facilities of £250,000 or less, lenders cannot take personal guarantees. For facilities above £250,000, personal guarantees are at the lender's discretion, but recovery is capped at 20% of the outstanding balance after asset recoveries.
Principal Private Residence Exclusion
Under scheme rules, a borrower's primary residential home can never be taken as security by any lender.

Eligibility Criteria for UK Businesses

To qualify for finance backed by the Growth Guarantee Scheme, your business must satisfy core criteria set by the British Business Bank:

UK Trading Entity
Your business must be incorporated in the UK and carry out substantial trading activity across the UK.
Turnover Threshold
Annual turnover must not exceed £45,000,000 on a group basis.
Core Trading Income
Your company must generate more than 50% of its overall income from commercial trading activities.
Business Viability
The lender must confirm that your company has a viable business proposition and is not in formal insolvency proceedings.

How to Prepare Your GGS Application

Accredited lenders still carry out credit, fraud, and affordability checks. Having the right financial pack ready will speed up your decision:

Up-to-Date Accounts
Prepare your last two years of filed statutory accounts alongside your most recent profit and loss statements.
Management Accounts & Bank Statements
Provide recent management accounts and 6 months of corporate bank statements demonstrating cash flow health.
Clear Borrowing Purpose
Outline exactly how the capital will be deployed and how the investment will generate returns to comfortably service repayments.
Subsidy Declaration
Ensure you have records of any previous government-backed aid (such as CBILS, BBLS, or RLS) as total subsidy allowances are legally capped.

Frequently Asked Questions

Can I apply for GGS if I previously had a Bounce Back Loan (BBLS) or CBILS?

Yes. Having had a previous COVID-19 support loan or Recovery Loan Scheme (RLS) facility does not prevent you from applying for the Growth Guarantee Scheme, provided you remain within UK subsidy limits and meet standard affordability criteria.

Is the government guarantee for the business or the lender?

The 70% guarantee is provided directly to the accredited lender, not to your business. If the business fails to repay, the lender will follow standard recovery processes. The business and any guarantors remain 100% liable for all repayments.

How long does approval take?

Straightforward unsecured term loans and asset finance agreements can often be approved within a few working days. Larger structured facilities or property-related transactions may take 2 to 3 weeks depending on the complexity of the underwriting.

Is the Growth Guarantee Scheme Right For Your Company?

The Growth Guarantee Scheme is one of the most versatile funding mechanisms available for ambitious UK businesses. By bridging the gap between conservative bank policies and your commercial goals, GGS facilities provide the financial foundation needed to scale sustainably.

If you want to assess your eligibility or compare terms across accredited UK lenders, speak with an experienced commercial finance broker today to get started.