Debt
A loan that must be repaid over time, usually with interest. You keep full ownership, but take on financial risk if you're unable to make the agreed repayments.
Investment Range
Legal Structure Requirements
What is Debt?
Patient debt is a type of loan that is repaid over a number of years. The repayments are set at an agreed interest rate and the loan is secured against the business assets. The business must be able to repay the loan in full, including interest, within the agreed time frame.
Typical Investment
The average loan size will be £500,000 for early stage organisations and £1,500,000 for later stage ones. Interest rates typically range from 8% to 12% depending on the risk profile, and the loan term can be between 3 and 7 years.
Recommended For
Patient debt is recommended for established organisations that have significant trading history (3+ years of trading, generating a cash surplus) and need financial support from a social investor. This is ideal for businesses with predictable cash flow who can commit to regular repayments while focusing on growth.
Key Features
Unrestricted funding. £500,000-£1,500,000 of unrestricted funding to spend on hiring new staff, purchasing stock, purchasing an asset, whatever you know is important for your growth.
Dedicated support. Dedicated Investment and Portfolio Managers throughout the life of your loan, to offer a personal face and support throughout your loan.
Flexible terms. Flexible terms and an understanding of how socially impactful businesses work. Measuring social impact is our bread and butter, so we know the challenges and can offer guidance in this area.
Diversity, Equity and Inclusion. Support and guidance to improve Diversity, Equity and Inclusion, no matter where you are in your DEI journey.
Ready to grow your social impact business?
Apply for debt investment today and partner with us for long-term growth and impact.