Convertible loans for innovative companies impacted by coronavirus
The government has announced a new scheme to issue convertible loans to innovative companies which are facing financing difficulties due to the coronavirus outbreak.
The Future Fund scheme will issue loans to UK-based companies ranging from £125,000 to £5 million, subject to at least equal match funding from private investors.
These convertible loans may be a suitable option for businesses that rely on equity investment and are unable to access the Coronavirus Business Interruption Loan Scheme.
The scheme will be delivered in partnership with the British Business Bank.
Find the Future Fund headline terms (PDF, 36.8KB) expected to apply to the loans.
Eligibility
You will be eligible to apply for the Future Fund loan if:
- your business is based in the UK
- your business can attract the equivalent match funding from third party private investors and institutions
- your business has previously raised at least £250,000 in equity investment from third party investors in the last five years
Full eligibility criteria will be published in due course.
How to apply
The Future Fund will launch in May 2020. Further details about this scheme will be published in due course.
