Firms apply for Green Loans
Dragons’ Den investor Theo Paphitis has urged small businesses to reduce their carbon footprint with the help of an interest–free ‘green’ loan from the Carbon Trust.
A £31 million funding pot is available under the Carbon Trust’s Energy Efficiency Loan scheme. Eligible firms can borrow between £5,000 and £200,000 for new or replacement equipment that is more energy–efficient.
Qualifying businesses must have fewer than 250 employees, 12 months’ trading history and a good credit rating. The size of the loan available will depend on the energy–related cost savings from the investment. Loans do not require security and must be paid back over four years. Theo, who is appearing in the Carbon Trust’s nationwide advertising campaign during November said:
“As a Dragon, I know a great business opportunity when I see one and think only a fool would say ‘I’m out’ to the Carbon Trust’s offer of an interest–free loan to reduce your business’s carbon footprint,”
“The current economic climate means making your business more energy efficient is vital for improving your bottom line as well as making your company as environmentally sustainable as possible,” he added.
The Carbon Trust’s solutions director Hugh Jones added that the loans could reduce operational costs and help businesses become more competitive.
“We know that small firms want to play their part in tackling climate change and reduce their energy costs, but the current economic climate is making it harder for small businesses to find sources of funding. Our loans will finance the ambitious projects we know small businesses want to invest in and significantly reduce their carbon emissions and their energy bills.”
According to the Carbon Trust, loans allocated last year will reduce carbon emissions by more than 60,000 tonnes each year and result in cost savings for businesses of nearly £9 million a year.
Have a look at our Green Business section for advice on making your business earth friendly.