The Plunkett Foundation, which helps rural communities take control of the issues affecting them by setting up co-ops, is partnering with Charity Bank to provide better loan arrangements for its members.
Charity Bank – owned by charitable foundations, trusts and organisations with social missions – offers loans for charities, social enterprises and community organisations.
The new collaboration will give members of the Plunkett Community Co-operative Network a 25% reduction on loan arrangement fees. They can apply for loans from £50,000 to £2.5m until 31 October 2016.
Those interested can contact Harriet English at [email protected] for their special code. Members are eligible for a loan if they have not formally enquired about or applied for a loan in the past two years.
Charity Bank’s standard arrangement fee is usually 1% of the agreed loan but it can be individually negotiated. The bank will also make a payment towards the work of the Plunkett Foundation for every loan that is drawdown.
Peter Couchman, chief executive of Plunkett Foundation, said: “Accessing finance can be a real barrier for community groups looking to save what’s important to them, so we’re really pleased to be partnering with Charity Bank on this offer.
“It’s one of a number of benefits we offer to our growing membership of people and organisations who believe passionately in the power of the community co-operative sector.”
Peter Kelly, business development director at Charity Bank, said: “We use the money our savers entrust to us to make loans to charities, social enterprises and community organisations.
“Financing organisations helping people in rural communities is a core part of our work. We’re entirely owned by charitable foundations, trusts and social purpose organisations, so we are able to keep our social mission at the heart of everything we do.”