Coronavirus: Apply For The Coronavirus Business Interruption Loan Scheme – For Small And Medium-Sized Businesses
This scheme helps small and medium-sized businesses affected by coronavirus (COVID-19) to access finance of up to £5 million
The Coronavirus Business Interruption Loan Scheme (CBILS) supports small and medium-sized businesses, with an annual turnover of up to £45 million, to access loans, overdrafts, invoice finance and asset finance of up to £5 million for up to 6 years.
The government will also make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees. This aims to ensure that smaller businesses will benefit from no upfront costs and lower initial repayments.
The government will provide lenders with a guarantee of 80% on each loan (subject to pre-lender cap on claims) to give lenders further confidence in continuing to provide finance to small and medium-sized businesses.
The scheme is delivered through commercial lenders, backed by the government-owned British Business Bank.
There are 40 accredited lenders able to offer the scheme, including all the major banks.
Eligibility
You’re eligible if your business:
- is based in the UK
- has an annual turnover of up to £45 million
- has a borrowing proposal which the lender would consider viable, if not for the coronavirus pandemic
Businesses with a turnover of over £45 million may be entitled to other government support.
Exceptions
The following businesses are not eligible to apply:
- banks, insurers and reinsurers (but not insurance brokers)
- public-sector bodies
- further-education establishments, if they are grant-funded
- state-funded primary and secondary schools
How to apply
The full rules of the scheme and guidance on how to apply are available on the British Business Bank website. There are 40 accredited providers in total and over 20 participating lenders in Northern Ireland. You should approach a lender (not the British Business Bank) yourself, ideally via the lender’s website.
