Stuart Yuill

The Glasgow-headquartered alternative finance provider continued to assist enterprises in Scotland during the Covid-19 pandemic by continuing to provide loans to both start-up and growing businesses that would not generally be able to access traditional sources of funding.

Between July 2020 and June 2021, DSL provided 199 loans to start-ups and growing businesses in Scotland. The average loan size from DSL grew to £28,539, an increase of more than £8,000 from the previous year. Crucially, this funding allowed 1,020 jobs to be maintained and 211 new jobs were created.

Overall growth over the past five years has seen DSL increase its lending amount by over £5m, with double the number of loans being granted each month compared to that of 2016.

Its funding is providing a much-needed boost to the Scottish economy by supporting innovative enterprises at a time when business innovation is key to Scotland’s ability to survive and thrive as the country emerges from the pandemic. On top of its own funding of £5.6m across 199 investments, DSL has leveraged £3.42m in co-financing from the private sector and a further £140,000 from the public sector.

Since April 2020 DSL has been successfully implementing a number of process changes to overcome logistical challenges faced as a consequence of Covid-19. This ranged from ensuring all team members were equipped to work remotely through to developing technology to allow documentation to be completed online.

It also integrated with the Start-up Loan Company’s Atlas system to allow new clients to apply for loans online, a more efficient and time saving process which has now been fully adopted as a permanent practice. The lender also offered clients payment holidays or reductions and ongoing support from loan officers during the peak of the restrictions.

Stuart Yuill, DSL’s executive director, said: “During these unprecedented times we have remained open for business and are proud that we have been able to offer a lifeline to many clients, both new and existing, despite economic uncertainty.

“We see ourselves as having a vital role to play in supporting Scotland’s economy to maximise growth opportunities as we recover from Covid-19. In particular, we are delighted that our work has allowed 1,020 individuals to remain employed and brought new job opportunities to a further 211 individuals.

“Throughout the past year we have provided new loans to many deserving businesses that are highly unlikely to have received funding elsewhere, particularly in the current climate. It’s incredibly impressive to see how these businesses have adapted and diversified their offering, in many cases improving beyond their original ideas.

“We are continuing to build on the record year we had in 2020/21, providing loan funding to organisations and entrepreneurs that would otherwise struggle to either start a new business or keep their existing business afloat in the current climate.”