Controversial payday loan firm Wonga targets small businesses
Wonga, which provides short term loans to consumers, has launched a new service offering finance to small companies.
The business, criticised for charging high interest rates of more than 4,000%, has entered the small business market as entrepreneurs continue to claim they are struggling to secure traditional bank funding.
Wonga said loans of between £3,000 and £10,000 will be available for between one and 52 weeks. Interest rates start at 0.3% a week.
The service is initially limited to companies established for more than three years and generating sales in excess of £20,000 a month.
Wonga promises to make loans available within 15 minutes of an application.
On the company website, founder Errol Damelin says: "Small British businesses are the lifeblood of our economy, yet many companies miss fantastic opportunities or struggle to grow because credit isn't available quickly, easily or at all.
"We believe business lending is broken, so we are proud to launch a new alternative that's speedy, flexible and available 24/7."