Investment available : up to £2 million
Transaction type : Tooling
Location : Within England
Sector : Any, not just automotive
The National Tooling Loan Fund supports component manufacturers and toolmakers to design, develop and manufacture tooling for their new and confirmed projects. It is a revolving fund open to eligible manufacturing businesses working in any sector, with investment available up to £2 million.
- Investments designed to support toolmakers and component manufacturers.
- Supporting the creation of new jobs and safeguarding existing workforces.
- Available finance of between £50,000 and £2 million.
- Funds to contribute towards the design, development and creation of tooling or expanding tooling capacity.
- A firm order for tooling is needed, that originates from an Original Equipment Manufacturer (OEM), a tier 1 supplier or from further along the supply chain, with repayment due upon satisfactory completion of tooling.
- Terms and fees will apply. The cost of borrowing (interest rate) will be at a commercial rate of 7.5% over the prevailing base rate and an arrangement fee of 2%.
- Difficulty securing the required level of investment from existing finance providers.
- Security may be required in the form of a debenture postponed to existing finance providers.
- Final manufacture of the tooling and subsequent component production must be in England.
- New jobs need to be created and/or safeguarded in England, as a result of funding.
- Evidence of 2 years trading track record and proven ability to complete similar projects previously.