Business Loan Schemes

Table of Contents

Business Loan Schemes

The Chancellor extended the government’s three Coronavirus business interruption loan schemes and the Future Fund, as part of his Winter Jobs Package announcement. The extension aligns all the end dates to the end of November, ensuring that there is further support in place for those who may need it.

Business Interruption Loan Scheme

 The CBILS gives businesses access to bank lending, overdrafts and other finance solutions to help them through the current crisis.

Updates: The maximum term for these loans have been extended from six years to 10 years, meaning those businesses that need to free up cash flow can extend their loan terms to drastically reduce their monthly payments.

Previous closing date: September 30

New closing date: November 30

Large Business Interruption Loan Scheme

CLBILS is a demand-led scheme targeted at businesses with a larger turnover. Firms with a turnover  of  more than £45m can apply for up to £25m of finance, while firms with a turnover of more than £250m, including those that exceed £500m, can apply for up to £50m.

Larger firms who do not qualify for the existing Business Interruption Loan Scheme – for small and medium sized businesses – and the Bank of England Corporate Financing Facility – for investment grade companies, can apply for this.

Previous closing date: October 20

New closing date: November 30

Bounce Back Loan

The Bounce Back Loan Scheme is designed to enable small and medium-sized businesses to access finance more quickly during the pandemic. Businesses can apply for a minimum of £2,000 up to a maximum of £50,000, or 25% of business turnover, and the Government will pay the interest for the first 12 months, with 100% backing.

 

Updates: The ‘Pay as You Grow’ scheme means that, like the CBILS, companies will now also be allowed to pay the loan back over 10 years instead of six, nearly halving the average monthly repayment.

Previous closing date: November 4

New closing date: November 30

Future Fund

The Future Fund issues convertible loans to innovative UK companies with good potential, that typically rely on equity investment and are currently affected by Covid-19. The scheme provides UK-based early stage companies with convertible loans between £125 000 and £5 million, while the Future Fund will match up to 100% of the amount provided by investor(s).

Previous closing date: September 30

New closing date: November  30

Business Loan schemes

Our service to you

If you are a self employed, business owner/director of company looking to get your accountancy and taxation matters sorted, look no further. We are pro-active and easily accessible accountants and tax advisors, who will not only ensure that all your filing obligations are up to date with Companies House and HMRC, but also you do not pay a penny more in taxes than you have to. We work on a fixed fee basis and provide same day response to all your phone and email enquiries. We will also allocate a designated accounts manager who would have better understanding of your and business financial and taxation affairs. Book a free consultation call using the link below.

Like this page? Share it with your friends
Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on google
Google+
Share on whatsapp
WhatsApp
Share on email
Email
Share on print
Print

Get in touch

Book a free call at time of your convenience

Subscribe to our newsletter