Imagine the situation: you've been in business for four years and you need a relatively small amount of finance to take your business to the next stage. Would you know where to turn? Many business owners probably wouldn't, and this is why at the British Business Bank we've developed our user-friendly Finance Finder Tool.

Whether it's explaining why a business might need angel investment or venture capital backing - or even what an angel investor is - or the difference between a guarantee and an equity crowdfund, the Finance Finder tool can help.

With just eight questions, all with drop down options, the Finance Finder is quick and easy to use and at the end of the questions presents the finance options most suitable to your business, based on the information you've provided. At that point, in the breakdown, it's also possible to see more guidance on the various finance types suggested.

That's just one way the British Business Bank is supporting UK businesses. Excitingly, we're also changing the Start Up Loans programme in a really positive way so it can be there to provide finance to a bigger pool of UK early-stage businesses.

If you were that four-year-old business looking for finance mentioned above, you'd now be eligible to get a Start Up Loan because we have just expanded our eligibility criteria. Previously businesses up to 36 months (3 years) could apply for a Start Up Loan, but now businesses of up to 60 months (5 years) are eligible. This could help tens of thousands more UK businesses to access one of our Start Up Loans.

We're excited for the increased potential of the programme to help more UK businesses from all around the UK. In turn, with more businesses starting and having access to finance to grow this will generate economic benefits. The most recent evaluation of the Start Up Loans programme found that it demonstrates a high economic impact, generating approximately £5.50 to £5.60 in additional Gross Value Added (GVA) for the UK economy for every £1 spent.

With the British Business Bank's recent Small Business Finance Markets report finding that the proportion of UK adults actively starting, running or planning new businesses (36% in 2024) was the highest proportion since 1999, and relatively high by international standards, the coming years represent a massive opportunity for Start Up Loans to help more UK businesses.

This change is new and exciting and will now allow more businesses to either apply for their first loan or, indeed, a second loan. A second loan is additional finance a business owner can take on if they are still under the £25,000 per director limit, and is often used to further expand the business once established.

In order to be eligible for a Second Loan you must meet the following criteria: firstly, you must have drawn down your first loan at least six months ago; secondly, you must have been trading for at least three months, and no more than 60 months; and thirdly, you must have made all repayments as per schedule for the three months preceding you application for the second loan.

One business owner who took out a second loan to help further establish and grow his business is Rhys-Evans Edet from The Modern Builder.

Rhys, alongside his business partner David Johnson, former Managing Director of Foremans, a Portakabin Group business, and an experienced construction entrepreneur, used a second Start Up Loan to support the company's growth.

After initially securing funding to launch the business, they later identified an opportunity to develop a data platform in partnership with the Planning Portal, providing early-stage access to UK construction demand ahead of traditional market visibility. To support this next phase, they returned to Start Up Loans for additional finance.

Rhys says: "Being able to return to Start Up Loans for a second loan played a key role in helping us scale at a critical point. Our partnership with the Planning Portal has enabled us to build a platform that connects construction suppliers with projects earlier in the lifecycle, creating a more predictable pipeline of work. It's great to know there is finance and support available, and the expansion of this programme could provide a real boost to businesses and the wider economy."

Another business owner who was able to grow his business because of a second loan is Saul Press, Founder of The Beer Hatch who says: "The journey of Beer Hatch has always been about adapting and thinking outside the (phone) box. While my first Start Up Loan was a literal lifeline that helped me launch an online draught delivery service during lockdown, it was the second loan that allowed me to truly plant roots in the heart of Norwich.
"After the success of my ‘UK's smallest off-licence' in a repurposed phone box, I knew I had outgrown my tiny footprint. The second loan was the catalyst I needed to expand into a dedicated craft beer bottle shop. This capital was essential for the fixtures, fittings, and opening stock that gave the shop its professional edge, but two specific investments were real game-changers: cold storage for my kegs and a Craft Tap bottle filler."

As Rhys and Saul exemplify, despite doom and gloom in the economic headlines Start Up Loans has seen increased demand for its finance. In 2025 the volume of Start Up Loans increased 9% and now, with the changes to the criteria, we are on track and ready to support even more UK start up and early-stage businesses. And, even if Start Up Loans isn't right for you, there's the British Business Bank's Finance Finder Tool, which can help you assess your options.