sources of finance

Many start-up businesses do not require a great deal of money to get up and running. These small amounts of finance - known as micro finance or micro credit - are often not available through traditional lending sources.

If your business is setting up in a disadvantaged area or a sector that is typically underserved by mainstream lenders, you may be able to secure finance or support from one of the alternative sources of micro finance. These include community development finance institutions (CDFIs) or could come through other companies in your peer group.

CDFIs are sustainable, independent organisations established to develop and create wealth in disadvantaged communities or markets. They provide capital and support to individuals, micro enterprises and small businesses.


A loan from a CDFI can be used to purchase equipment or property, to finance working or start-up capital or to fund marketing campaigns. Loans can be for as little as £50 or up to £1 million depending on the project. Find out about CDFIs on the Community Development Finance Association website - .