The Federation of Small Businesses (FSB) has pledged to support its members which have been affected by the recent floods.
A £500,000 Disaster Recovery Fund has been opened to help small business insurance holders in Lancashire, Cumbria, the north-east and Scotland that have been impacted by the heavy rain and flooding which has blighted the UK.
Through the scheme, the FSB is offering business insurance holders interest-free loans of up to £5,000 to repair their premises and keep them trading.
John Wright, national chairman of the group, said: "The last 18 months have been difficult for FSB members up and down the country, so the last thing otherwise successful FSB members need is unpredictable weather and flooding to damage their prospects."
He also suggested that organisations such as banks, regional development agencies and local authorities understand the impact that flooding will have on the cashflow of small business insurance holders and help them were possible.
Last week, Malcolm Tarling spokesperson for the Association of British Insurers, pointed out that flooding cover is an "integral" part of many insurance policies in the UK.
