On 31st March 2021, the Bounce Back Loan Scheme (BBLS) and Coronavirus Business Interruption Loan Scheme (CBILS) will come to an end.
On 3rd March 2021, the Government announced that these schemes will be replaced by a new Recovery Loan Scheme.
This Scheme is scheduled to launch on 6th April 2021 and run until 31st December 2021, subject to government review.
The aim of this new Recovery Loan Scheme is to help those businesses affected by the COVID19 pandemic by providing funding that can be used for any legitimate business purpose, including managing cashflow and investment and growth.
It is designed to appeal to businesses that can afford to take out additional debt finance for these purposes.
Features of the scheme, that we are aware of so far, will include:
You will be able to apply for a loan if your business:
You will need to show that your business:
The government guarantees 80% of the finance to the lender to ensure they continue to have the confidence to lend to businesses.
Please note that your business will be liable for 100% of the debt when taking out funding through the Recovery Loan Scheme. If the business is unable to repay, the scheme provides a partial guarantee to the lender, not to the business.
We will endeavour to keep the Recovery Loan Scheme details updated as further information is released.
Until the Recovery Loan Scheme launches, you have until the 31st March 2021 to apply for funding through the CBILS initiative or an alternative business loan through our panel of lenders.
If you want to see want options are currently open to you, then please do not hesitate to contact The Funding Store on 01908 880420 or request a call back at a more convenient time.