Recovery Loan Scheme is back
14th September 2023
The Recovery Loan Scheme is back (RLS3) in a new form, to support access to finance for smaller UK businesses for growth and investment. The current phase of RLS3 is due to end on 30th June 2024.
The RLS is designed to support businesses with cashflow, investment and growth with funds up to £2m. The idea behind RLS is that it will help smaller businesses that may not qualify for standard bank lending products, get access to finance, as the RLS scheme is government backed.
RLS has existed in the past but this is a new phase of the RLS scheme. The key change is that a personal guarantee is required for all RLS on this latest phase.
The most common transactions that we are seeing the RLS being used for is for invoice finance (IF) facilities, or with a loan alongside the IF facility. However it can also be used for finance such as term loans.
We work with our clients to support them in more than just their compliance. If your business needs to access finance, contact your local Whitings LLP office today.
Disclaimer - All information in this post was correct at time of writing.
