Need a business loan but got an IVA.

steampunkmic01

My business has been operational for 2 years, but I now need a business loan to help the business grow. I have an IVA which finishes the beginning of 2016 and can not get a business loan from my own bank. Any ideas as to where I can go to get the loan? I need £5k

MEM62

If your own bank won't touch it then you are unlikely to secure a loan from any of the other mainstream institutions. If friends or family can't help then you may not have an option to borrow.

poppasmurf_bewdley

Isn't it against the terms of the IVA to take out a loan whilst on the IVA?

SeanG79

Whilst you are in an IVA and most likely until 6 years after the date that you entered the IVA, it is improbable that anyone will agree finance for a capital raising loan (business or personal).

If you have filed 2 sets of accounts for the business and they show sufficient profits and balance sheet (assuming the business is a limited company), you may be able to obtain asset finance but still not a loan for capital/cash raising.

SeanG79

poppasmurf_bewdley wrote: »

Isn't it against the terms of the IVA to take out a loan whilst on the IVA?

As far as I am aware, you are able to take out finance, but require permission to do so from the administrators of the IVA.

poppasmurf_bewdley

SeanG79 wrote: »

As far as I am aware, you are able to take out finance, but require permission to do so from the administrators of the IVA.

Either way, it doesn't seem a sensible idea to take out finance when on an IVA. But I don't think that will matter as I can't see anyone offering you a loan whilst on an IVA.

SamGR

They will not touch you while in an IVA.

You will need to speak to your insolvency practitioner.