BUDDING entrepreneurs and newly launched businesses across Dorset are being urged to take part in the government-backed Start-Up Loan scheme.

Delivered locally by WSX Enterprise and the South West Investment Group, the initiative offers new businesses a loan plus a mentoring and support scheme.

A report conducted by the Financial Times indicating that 20 per cent of failed businesses would still be trading had they sought qualified advice and guidance from the start.

The government initially pledged £151 million to the scheme and so far more than £100 million has been lent to an estimated 20,000 businesses across the country but WSX Enterprise is urging more companies and entrepreneurs from Dorset to take part in the scheme.

Chris Darlow from WSX Enterprise, said: “Over the last year around 16,000 new start-up businesses were registered in Hampshire and Dorset and many more were in the process of launching. The failure rate is too high and we need it to come down significantly.

“The loans are available as long as a business has been trading for less than a year, and they are strongly encouraged to apply through WSX.”

Prime Minister David Cameron said said: “As part of our long-term economic plan we are backing business and ensuring our budding entrepreneurs get the finance and support they need to kickstart and grow their businesses.”

As part of the program, WSX Enterprise will also help with the process of signing up to the scheme and submitting a business plan and Mr Darlow said that not many new businesses were aware of the scheme.