- A NEW 100% government backed fast track loan scheme for small businesses was announced on 28 April.
Chancellor Rishi Sunak said the new Bounce Back Loans scheme, will provide loans up to £50,000, to help bolster the existing package of support available to the smallest businesses affected by the coronavirus pandemic.
- Businesses will be able to borrow between £2,000 and £50,000 and access the cash within days.
- Loans will be interest free for the first 12 months, and businesses can apply online through a short and simple form.
- Loan terms will be up to six years.
The scheme launched for applications on Monday 4 May. Businesses will be able to access these loans through a network of accredited lenders and the government will work with lenders to ensure loans through this scheme are advanced as quickly as possible and agree a low standardised level of interest for the remaining period of the loan.
You can apply for a loan if your business:
- is based in the UK
- has been negatively affected by coronavirus
- was not an ‘undertaking in difficulty’ on 31 December 2019.
Businesses are not eligible to apply if they are already claiming under the Coronavirus Business Interruption Loan Scheme (CBILS).