Loaning to Somersham Community Pub Ltd.
Over and above any share-holding, can you provide a loan to Somersham Community Pub Ltd? The government’s new Social Investment Tax Relief scheme presents a fabulous opportunity to lenders - as well as to the Duke of Marlborough!
Lend us £5,000 to £50,000 for a fixed four-year term, and you will be able to reclaim 30% of the loan from HMRC by offsetting it against your tax bill. In simple terms a £10,000 sum will be worth £13,000 in just four years, provided you have a tax liability of at least £10,000. You’ll have your 30% tax relief and, at the end of the fixed term, you will get back your original loan in full. As always, the guidance is to seek independent financial advice before committing yourself. You can read about the scheme here: https://www.gov.uk/topic/business-tax/investment-schemes
If you are not a tax payer, but would still like to lend us money, we propose paying a fixed interest rate of 2% per annum over a four-year period.
Repayment of loans
We will continue to sell the remaining £150,000 of shares over the first four years, and would use this capital to repay the loans. If successful, this would mean the business itself would not be saddled with any loan repayments. If we do not succeed in selling all of the remaining shares, we would still repay lenders at the end of the four years by taking on a commercial loan – or by offering you a further term (which would be entirely optional).
Process and Timescale
HMRC have granted Advance Approval so we qualify for the SITR scheme. To see details of the loan stock terms and conditions please download the application form and additional information below.
Tell Us If You’re Interested!
If you are interested in lending money to Somersham Community Pub Ltd for a fixed term of four years, please download the form below, email email@example.com or ring James Batchelor-Wylam on 01473 831352 to find out more. We will provide hard copies of the loan agreement on request.
Click HERE for Loan stock details
Click HERE for Loan stock application