The government-backed Coronavirus Business Interruption Loan Scheme closed on 31st March to new applicants. Thankfully, the government has put in place further support for businesses, to follow this.
The Recovery Loan Scheme
– Government backed loans, 3 months – up to 6 years depending on the product
– Up to £10m, no cap on 25% turnover (starting from £25k for term loans & overdrafts, and £1k for asset & invoice finance)
– Up to £250k without a personal guarantee
– Ability to take out an RLS alongside existing support (Bounce Back Loans and CBILS)
As with other Covid support the business must have been affected by Covid and also must be viable.
What is key to note is this does not include 12 months repayment holiday as the CBILS did.
Per the British Business Bank, these can be used for any legitimate business purpose, including:
– managing cash flow
As with all finance you must ensure you are able to afford the repayments.
We’ll be working with Capitalise to assist clients with applications. Should you be interested in applying for a Recovery Loan or need some finance support, speak to your local Whiting & Partners office.