Maybe you are one of the businesses seeking support through the CBILS (Coronavirus Business Interruption Loan Scheme) – or need other support.
CBILS is a loan made to the business for up to 6 years. The money comes from an approved lender and the government (via The British Business Bank) guarantees 80% of the loan. The government will also cover the first 12 months of interest and lender fees.
Getting a loan isn’t automatic for you, or anyone. The government isn’t just giving away the money. Lenders are still required to make checks and obtain evidence that the business is viable and likely to survive. Those checks will certainly include accounts and some idea of the current trading position. We have already seen requests for quite detailed projections.
Our aim is to help clients (and others) as much as possible and we will provide the information required. Most people seem to be applying to their own bank and not looking elsewhere, unless their bank turns them down – which could take some time. Having to find another lender then and go through the application process once more might mean that any funding comes too late.
There are over 40 accredited lenders for CBILS loans – and there are loads more commercial lenders out there possibly with better, cheaper options. For example, there are a number of Peer-to-Peer lending platforms out there which are still lending.
To help even more, we have teamed up with a, local, specialist Commercial Finance Adviser. They can help
Know the market and which lenders, in addition to your own bank, will be worth approaching
Carry out initial eligibility checks to ensure that you are eligible and comply with the lender’s specific requirements
Suggest ways in which you (and us) can strengthen the application to improve the chances of success. What additional or different, information might help
Prepare the application so it is in a format easily processed by the lender
Fast track your application with your own bank. They deal with most banks and generally have direct, and quick, access to the decision makers at the bank
Have access to other lenders, outside the CBILS scheme which may be better able to help
The CBILS scheme includes Asset and Invoice Finance. Many people forget that they might be able to raise cash against machinery, plant, vehicles etc. Raising cash this way can be quick – so don’t forget about it.
Also, we have come across situations where a customer is delaying paying an invoice. This situation may be suitable for invoice finance.
Please talk to us before just approaching your own bank. Between us, we can decide the best approach and, if appropriate, involve our associates at the Commercial Finance Adviser. They are friendly and keen to help too.
You will find some other articles on this website which (we think) are worth reading. They include:
What can we do?
Our existing clients will always be prioritised but we will try to help anyone. We know that a lot of small businesses either don’t have an accountant or are having difficulty contacting their accountant. Don’t be afraid to give us a try – (01509) 816150 or by email – firstname.lastname@example.org – or use the form below.
Most of our accountants are working from home so we may need to call you back, and will do so as quickly as possible. Please excuse the sound of the occasional child being cared for.