Businesses can take out interest-free loans of up to £600,000 as part of an initiative to help them expand, invest, and take on more staff.

The Kent and Medway Business Fund (KMBF), funded by the county council, has relaunched, offering entrepreneurs financial help amid the cost-of-living crisis.

The KMBF standard loan is between £100,000 and £600,000 for firms that are looking to grow.

There’s also the Small Business Boost which provides between £26,000 and £99,000 for small and medium-sized businesses to explore new technologies or processes in their work.

Both are 0% interest loans repayable over five years, with a six-month repayment holiday.

At the cabinet meeting on November 21, Medway Council agreed to support the scheme and reach out to businesses that might benefit.

Speaking in support of the KMBF, Cllr Lauren Edwards (Lab), portfolio holder for economic and social regeneration and inward investment said: “It really enhances the suite of support that we already provide to our local businesses here in Medway.

“The council already offers business planning advice and various grant schemes to help but the loan funds that will be available through KMBF are really significant and will be a further boost to help Medway businesses to grow.

“At the launch event this morning, we heard that over 50% of the recipients who’ve been surveyed have said they wouldn’t be able to pursue the growth plans that they were able to if they hadn’t had access to those loans.

“So the aim is, in restoring access to these funds and doing our part as a council to make sure as many Medway businesses as possible know about this, we’re really hoping that we can unlock even stronger economic growth.”

In order to apply, businesses will need to show how the money will be used to help them grow and have a clear idea of what they want to achieve.

For the KMBF standard loan they will also need to match 50% of the amount they receive.

For the Small Business Boost loan, they only need to match 20% to 30% of the amount they are loaned.

Cllr Simon Curry (Lab) added that the loan scheme would enable a diverse range of sustainable businesses to grow and create jobs in the Towns.

“This shows how local businesses are being sustained in our community, which is so important for jobs and for people’s lives and livelihoods, but also for longevity.

“The children who are growing up in the current schools now will have work to do when they come out of school and will want to stay here and work locally.

“The same is true of the students at the universities. This is for start-ups, so those students who are inspired with an idea to start a business have got that opportunity without having to leave Medway.”

Since 2017, the KMBF has loaned almost £15 million across 104 investments and has created nearly 500 jobs.

Cllr Edwards will represent Medway Council on the KMBF’s Investment Advisory Board and Sub Investment Advisory Board, which keep track and hold the fund to account.

For more click here.

Pre-applications opened on November 21 and will close when funds run out.