A MALVERN finance company is offering new businesses in Worcestershire and Herefordshire struggling to access funds a ray of light through a new grant scheme.

Impetus, of Church Street, Malvern has been set up with help from the Department for Trade and Industry (DTI) specifically to lend to enterprises in the two counties and south Shropshire.

The company aims to provide help to businesses that banks are unable to support of have helped as much as they can.

Using a £400,000 grant from the small business service of the DTI, Impetus has set up a revolving fund to assist such businesses.

Currently enterprises in the region have difficulty accessing loans from £1,000 to £40,000 or more and this is the gap Impetus is aiming to fill.

Steve Williams, development manager at Impetus, said the company is planning to increase its investment potential to £1.5m or more over the next five years, to help more businesses set up and grow.

Viable fund

"The target is to create a viable revolving fund that will fill the access to finance gap in our area and provide a source of finance when others run dry," he added.

"We want as many businesses to come forward as possible and we're also keen to work together with other companies putting together investment packages, including the high street banks themselves."

To be eligible for a loan, the businesses must demonstrate a benefit to one of the three counties and be able to provide a viable strategy for repaying the money.

Although the finance initiative was launched in September 2004, businesses have been slow in coming forward.

The company believes this may be because they have not heard about them or how they can help other businesses and the communities they serve.

For more information and advice on applying for a loan through Impetus, visit: www.impetus-marches.co.uk or by phoning Steve Williams on 01684 893883.