The Coronavirus Interruption Loan Scheme (CBILS) has provided a lifeline for many businesses during the pandemic – almost £20bn worth of facilities had been approved since the scheme opened in April, up until December 2020.
Despite this, there are still almost 5 million businesses in the UK that have not benefitted from any type of Government funding support. If you are one of those businesses, read our handy guide to determine if a CBILS loan can benefit you.
Benefits of CBILS
– Borrow anywhere from £50,001 – £5,000,000
– No repayments for the first 12 months
– All fees covered by the government
– No interest payable for the first 12 months
– Maximum borrowing of 25% of 2019 turnover or two times 2019 annual wage bill
– No personal guarantees up to £250k (multiple loans can be taken across multiple providers)
– Cheaper rates than have been historically available
– Refinancing of Bounce Back Loans for larger quantums
Will my business be eligible?
There is certain eligibility criteria that your business must meet to apply for a CBILS loan. Your business must:
– be UK-based in its trading activity;
– have an annual turnover of no more than £45 million;
– have a borrowing proposal which the lender would consider viable (were it not for the current pandemic);
– self-certify that it has been adversely impacted by COVID-19; and
– have not been classed as a ‘business in difficulty’ on 31 December 2019
If your business meets the eligibility criteria highlighted above and you are interested in applying for the CBILS loan scheme, contact our team at funding@pmm.co.uk, and we can discuss your funding requirements in more detail and guide you through the available finance options.
Source: Capitalise
This information is correct as of 26 February 2021. This blog is for general guidance only. Recipients should not act upon any of the information provided without seeking specific professional advice tailored to your circumstances, requirements or needs. Please contact PM+M before making any decisions based on any matters relating to this blog.
