Coronavirus Business Interruption Loan Scheme (CBILS)
Most finance options accepted within 48 hours
Quick and easy application
No bulky business plans required
Competitive rates and rewards
What is a CBILS Loan?
Also known as the Coronavirus Business Interruption Loan Scheme (CBILS), a CBILS loan is a special loan that is granted to businesses who have suffered as a result of the Covid-19 situation.
This loan is offered to Small Businesses to give them some financial support during these uncertain times. As many businesses have had to shut during the pandemic, these loans will enable to them to have the leverage they need to survive as things return to normal.
These loans come with a number of advantages:
- They are not repayable for the first 12 months
- The Government will pay the interest, broker, and arrangement fees for the first 12 months
- Early repayment is not penalised
We offer a number of CBILS-Backed financial solutions to help to keep your business afloat, including asset finance, invoice finance, and term loans.
See below for eligibility criteria and further information/FAQs.
A Simple 3 Step Process
Fill in the above form or contact us
Tell us how much you’re looking for and you intentions with the funds. No bulky business plans or documents are required.
A rep will call to discuss your requirements
A dedicated account manager will discuss exactly what your business is looking for and how Covid-19 has affected your business.
We find you a loan offer
We search the market for the most competitive offers. A dedicated account manager will then provide support throughout.
Not sure what type of finance is right for you?
020 3355 7462
Call us today for some advice.
CBILS-Backed Asset Finance
Asset finance is now backed by CBILS. This means that businesses can now received business loans secured by their assets. Asset finance is a great way for established companies to obtain capital for large projects and quick growth. Assets that can be secured are usually fast-moving, such as outstanding invoices and inventory. However, they can include commercial property and equipment if need be.
CBILS-Backed Invoice Finance
Invoice finance is now backed by the CBILS. This means you can receive an injection of cash using the capital tied up in your unpaid invoices. As invoices can take a long time to complete, using an invoice finance solution can provide you with the capital needed to continue business as usual.
CBILS-Backed Term Loans
CBILS term loans allow businesses effected by Coronavirus to get access to term loans and pay nothing for 12 months. These loans are available with terms ups to six years and range in loan amounts from £50,001-£250,000.
Am I Eligible for a CBILS Loan?
If you’ve been affected by coronavirus and need additional capital to keep your business functioning, CBILS loans can be an excellent way to fund it. Here’s criteria you need meet if you want to get access to one of these loans:
- You need an annual turnover less than 45 million
- Employ 250 employees or less
- The business needs to generate 50% of its turnover in the UK
- You must have a positive balance sheet
- You must be able to demonstrate affordability
- The business should have no history of crime and fraud
- This is available to Limited Companies (Ltd) only
- You must have been trading for a minimum of 12 months
- You have to have submitted at least 1 set of accounts
Make sure you check the eligibility criteria before applying.
As well as the above information, it’s important to understand these loans in full before applying. As previously stated, you can take out between £50,001-£250,000 which is has a term from 2-6 years.
We are able to lend a maximum of 25% of your turnover. However, we can submit more than one application to raise capital to more than £250K, if the turnover allows it.
Interest rates range from 1.8%-11% APR and each business will be scored on both business and personal credit.
As stated above, the Government pays for the interest in the first 12 months and you pay nothing until month 13 in the term agreement. Additionally, there are no broker or arrangement fees.
Do I Need a Personal Guarantee?
You’ll be happy to hear there are no personal guarantees needed unless the company turnover exceeds £250,000. If the turnover exceeds this threshold, a personal guarantee will be needed.
As added security for the lender, debentures may also be taken on.
What If I Already Have a Bounce Back Loan?
The Bounce Back Loan (BBL) scheme was a Government scheme allowing small businesses to take out loans from £2000 to 25% of the business’ turnover, with a maximum of £50,000. This was to enable businesses to maintain their finances during Coronavirus.
Under the scheme, you cannot hold a BBL and a CBILS loan at the same time. However, you can still apply for a CBILS loan if you have a BBL. If you’re accepted for a CBILS loan, you’ll be asked to settle the BBL before getting access to the capital.
How Do I Apply?
In all cases, you’ll require:
- A completed application form;
- Your most recent filed unabbreviated accounts;
- Your last 6 months of bank statements.
Additional documents that may be required include:
- Up to date management accounts;
- Bank statement from 1st September onwards;
- Last 12 months of VAT returns;
- 3 month forecast figures.
Make sure you have the first three on-hand as these are essential for your application. However, also be aware of the additional documentation that’ll be asked for depending on your circumstances.