Green loans for small businesses
1 min. read
According to research by the British Business Bank, 11% of SMEs – roughly 700,000 smaller businesses – have accessed external finance to support net zero actions and 22% are prepared to access external finance to do so within the next five years.
Finding funding to invest in more sustainable operations can be a challenge.
There are numerous incentives and grants available to support transitions to, for example, zero and ultra-low emission vehicles.
Other types of investments are centred on loans from commercial institutions such as banks.
Green loans offered by banks and other financial institutions may be an option.
We've included some examples of banks and funds that offer green loans for smaller businesses.
However, it's essential that you shop around and get professional, independent financial advice when sourcing funding for your business, as loans may not be suitable for all businesses.
Loans can be more expensive to pay back than the initial capital loaned to your business, and some may require security such as business or personal assets.
Loans are subject to status, application and eligibility, so there’s no guarantee that you will be approved for finance.
Enter your postcode to find business support and case studies from businesses from within your region. You'll be taken to our interactive map.
Reference to any organisation, business and event on this page does not constitute an endorsement or recommendation from the British Business Bank or the UK Government. Whilst we make reasonable efforts to keep the information on this page up to date, we do not guarantee or warrant (implied or otherwise) that it is current, accurate or complete. The information is intended for general information purposes only and does not take into account your personal situation, nor does it constitute legal, financial, tax or other professional advice. You should always consider whether the information is applicable to your particular circumstances and, where appropriate, seek professional or specialist advice or support.
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Making business finance work for you
Starting a business doesn’t come with a set of instructions.
We know that understanding the many different types of financial product in the marketplace can be difficult.
Our Making business finance work for you guide is designed to help you make an informed choice about accessing the right type of finance for you and your business.