Social enterprises in the East Midlands are being encouraged to apply for their share of the final round of The Social Enterprise Support Fund, which opens for applications at 10am today. More than £4m of support is still available as part of the fund, which was established in partnership by The National Lottery Community Fund and delivered through five support agencies, including Big Issue Invest, The Key Fund, Community Land & Finance CIC (also known as Resonance), the School for Social Entrepreneurs (SSE) and UnLtd with support from CAF Venturesome, the Young Foundation and Ashoka. In excess of £14m is in the process of being awarded to 400 social enterprises across England with the remaining money in place to help social ventures weather the ‘perfect storm’ they face from Covid-19, increased demand for their services, a global recession and the end of short-term Government support. Eligibility has also been widened for the last round of the fund to include organisations with an annual income of between £20,000 and £1.8million, with grants ranging from £10,000 up to £300,000. Daniel Brewer, CEO of Resonance, said: “From the first two rounds of funding we have seen applications from a diverse range of enterprises in the East Midlands, who were in critical need of funding to help them recover from COVID-19. “Their commitment, passion and energy to adapt and react to this crisis, whilst continuing to deliver essential services to their communities and the most vulnerable in society, really has been an inspiration to us.” He continued: “This is the final opportunity to apply to the fund, so therefore we are encouraging all East Midlands enterprises who qualify and require financial support to apply as soon as possible.” According to recent research, a quarter of social enterprises in the UK have cash flow for just three months or fewer. As the furlough scheme and other short-term support ends, four in ten social enterprises say the outlook for their business over the next six months looks uncertain. With this in mind, it is no surprise that The Social Enterprise Fund has so far received nearly 900 applications and, by 8th September, had agreed to support over 400 social enterprises across England. It has also made a commitment to ensuring that the grants reach enterprises that are led by people most impacted by Coronavirus, with more than 70% of those funded to date being organisations who are using the money to keep critical services running or are transitioning to dealing with life during Coronavirus.

Businesses in England required to close due to local lockdowns or targeted restrictions will now be able to receive grants worth up to £1,500 every three weeks, Chief Secretary to the Treasury Steve Barclay has said. To be eligible for the grant, a business must have been required to close due to local Covid 19 restrictions. The largest businesses will receive £1,500 every three weeks they are required to close. Smaller businesses will receive £1,000. Payments are triggered by a national decision to close businesses in a high incidence area. Each payment will be made for a 3 week lockdown period. Each new 3 week lockdown period triggers an additional payment. Chief Secretary to the Treasury Steve Barclay said: “These grants provide businesses with a safety net as they temporarily close their doors to help save lives in their local areas.

“As local economies eventually and carefully re-open after local interventions, our Plan for Jobs is there waiting to help businesses get back on their feet, protect jobs and thrive in the future.”

“Through our wider Plan for Jobs, we will continue to back our innovators and job creators across the country who are playing a critical role as we build back better from the pandemic.”

Small businesses are getting a helping hand to bounce back, thanks to a new fund – with over £100,000 already awarded. Leicestershire County Council’s launched the £750,000 pot this summer and so far has given grants of up to £10,000 to 16 companies to help them recover from the effects of the coronavirus pandemic. Businesses from North West Leicestershire, Hinckley and Bosworth, Charnwood, Blaby, and Oadby and Wigston in sectors covering agriculture, tourism, hospitality, creative and retail have benefitted from the match funding grant, so far. Small businesses are still being urged to apply for their share of the £750,000 Leicestershire Business Recovery Fund.

The results of a new poll reveal that many firms have taken on debt during the COVID-19 pandemic and now require flexible funding repayments solutions to rebuild the revenues. The poll, conducted by the British Chambers of Commerce (BCC) in partnership with banking group TSB, found that 42% of those surveyed said that they had accessed finance during the pandemic through government lending schemes such as the Coronavirus Business Interruption Loan Scheme (CBILS) or the Bounce Back Loan Scheme (BBLS). These businesses were almost evenly spread across all sectors, with manufacturing firms slightly more likely to have taken out finance. Those drawing on the schemes were overwhelmingly doing so to support critical day-to-day business operations during the pandemic. 71% said they used finance to support cashflow, 43% for overheads, 40% for paying staff and 32% for paying other debts. 64% of respondents said that the repaying of finance built up during the pandemic might have a negative impact on their business. More than one in four firms (27%) said repaying finance might mean they scale down operations and 26% said they would change their investment plans. Most concerningly, 11% – more than one in ten firms – said they might have to cease trading. Micro firms were more likely to say repaying debt may cause them to cease trading (15%) compared to non-micro firms (6%). Innovative approaches to repayment and recapitalisation may be needed to prevent thousands of firms from falling into a spiral of unsustainable debt, BCC said. The survey found that 18% of respondents said they would prefer a ‘student loan’ style scheme- where the loan becomes a contingent tax liability that is repaid on a means-tested basis – if their business was struggling to repay their loan. 16% said they would prefer a longer fixed term period to repay the loan. In contrast, just 4% said they would prefer to convert the debt into an equity stake in their business. 44% of firms surveyed said they had not attempted to access finance during the immediate crisis, but still face challenging business conditions. While 38% have seen increases in revenue from UK customers, a further 38% have seen a decrease. Half of firms (50%) said their cash reserves have slightly or significantly decreased since July 2020. Faced with this, local lockdowns and the planned withdrawal of various government support schemes in the autumn, more businesses will likely access business banking services in the coming months to support their day-to-day operations and drive the wider economic recovery. Those looking to do so overwhelmingly require a flexible business banking service, offering a mix of face-to-face and in-person capabilities. 48% of firms said they required personalised or face-to-face support. 44% said they valued digital services – like apps and websites –most highly. A further 44% said fast and easy access to capital was most important and 36% said they preferred a presence in the local community. “Over the coming months, government, regulators and banks must work together with business communities to find solutions that help firms repay coronavirus loans sustainably, and access the support and services they need at this challenging time,” said, BCC Director General Adam Marshall.

Northampton-headquartered Travis Perkins has posted loss before tax of over £100m, according to interim results for the six months ended 30 June 2020, with performance in the first half of 2020 significantly impacted by the COVID-19 pandemic. The company reported a loss before tax of £113m, sliding from a profit of £12m in H1 2019. Meanwhile revenue fell 20% to £2.781bn, from £3.484bn in the same period of 2019. Nick Roberts, Chief Executive Officer, said: “Throughout the pandemic, the health and safety of our colleagues and customers has been our primary concern. Customer interactions have changed significantly resulting in changes to the way we do business, from increased activity through digital channels through to alterations to our physical store formats in order to maintain safe working practices. “Although our financial performance in the first half of 2020 was impacted by the Covid-19 pandemic, and we have had to undertake a restructuring programme in light of the challenging outlook for the Group’s end markets, we have made significant strategic and operational progress against the four strategic priorities we outlined at our full year results in March 2020. “Although considerable uncertainty around the impact of the COVID-19 pandemic remains, the actions we have taken to adapt and innovate in our businesses mean that the Group is well placed to continue to service our customers, support our colleagues, outperform our markets and generate value for our shareholders.” In June it was revealed that the company was cutting 2,500 jobs and closing 165 branches.

Apiary Capital, a specialist mid-market private equity firm, has invested in Access Creative College, the specialist provider of education in the creative industries to 16-19-year olds. Apiary’s investment will allow the business to accelerate its expansion plans under the leadership of CEO Jason Beaumont. Jo Johnson, former Minister of State for Universities, has joined the board as chairman. Access delivers vocational education in the creative industries to over 3,000 students at campuses in Lincoln, London, Birmingham, Manchester, Bristol, York, Norwich and at other locations with partnership providers. Apiary’s investment will allow Access to continue to develop its existing facilities, grow enrolments at its campuses, develop new properties, and expand its apprenticeship provision with NCCI to become the number one choice for creative training in the UK. Clearwater International advised Access Creative College on its investment from Apiary Capital. The Clearwater International deal team consisted of Partner and International Head of Business Services Marcus Archer, Partner Rob Burden, Director Richard Ellis and Director Mark Maunsell. Other advisors on the transaction included DLA and Browne Jacobson. Adrian Armstrong, Founder of Access Creative College said: “We’re delighted to receive investment from Apiary Capital to support us in the next period of our development. “With Apiary, we feel we have found the right partner who shares our vision to be a true leader within education for the creative industries, and we are excited about the additional resource the investment will bring to the company. “The team at Clearwater International has done a great job in preparing us for investment and supporting us to complete the deal.” Mark Salter, Managing Partner at Apiary Capital, said: “Access has a great reputation in the further education sector, which has only been enhanced by its impressive response to the challenges caused by lockdown. Jason’s passion and vision for the business are really exciting and we are delighted to be supporting him and his team with their ambitious growth plans.” Jason Beaumont, CEO of Access Creative College, said: “The investment from Apiary is tremendously exciting for the business. “The recently-announced joint venture with NCCI means the group now offers learners the full range of further education options with courses at Levels 2, 3 and 4 plus T-Levels and apprenticeships, and we will continue to develop and expand our provision. We are passionate about ensuring our learners are prepared for their creative careers in this exciting sector.” Jo Johnson, chairman of Access Creative College, said: “The further education sector has a hugely important role to play in our education system. Access is an impressive, innovative provider, and a great example of how working closely with industry and employers can best prepare learners for careers. I am delighted to join as chairman and look forward to helping Jason and the team to realise their vision for the group.” Rob Burden, Partner at Clearwater International, said: “It has been a pleasure to advise Adrian, Jason and the shareholders on this transaction and find a great partner to support the business’s growth strategy. “Access Creative College is a highly reputable education provider in an exciting market with significant growth potential. With Apiary’s investment and support we look forward to seeing the college unlock its full potential.”