01 May

The Bounce Back /Micro Company Loan Scheme

The Bounce Back /Micro Company Loan Scheme

The Chancellor, Rishi Sunak has announced a new Government-backed lending scheme targeted at small businesses. The fast-track finance scheme will provide loans with a 100% government-backed guarantee for lenders under the name of The Bounce Back Loan Scheme.

The scheme, which will provide loans of up to £50,000, will help bolster the existing package of support available and has been designed to ensure that small firms who need vital cash injections to keep operating can get finance in a matter of days.

The key details of the scheme are:

The government will provide lenders with a 100% guarantee for the loan and pay any interest for the first 12 months.

The maximum loan will be a 25% annual turnover subject to a cap of £50,000.

Loan Amounts from £2,000 up to £50,000 max.

No repayments will be due during the first 12 months.

The loans will be easy to apply for through a short, standardized online application.

The loan should reach businesses within days - providing immediate support to those that need it as easily as possible.

The scheme will launch for applications on Monday 4 May and businesses will be able to access these loans through a network of

Loan available up to 6 years

The government will work with lenders to ensure loans delivered through this scheme are advanced as quickly as possible and agree on a low standardized level of interest for the remaining period of the loan:

ELIGIBILITY & Documents

You can apply for a loan if your business:

Based in the UK

Negatively affected by a coronavirus. Covid19 fact-find

The business was not an ‘undertaking in difficulty’ on 31 December 2019.

Filed Accounts for 2019

Latest Management Accounts

Cashflow forecast for the next 12 months

Last 6 months bank statement

The current list of Debtors & Creditors

Preferable a profitable company as on Dec 2019

Directors Details – Home Address, Homeowner or Tenant, Years

Staying at that address, less than  3 years all Address. Director Asset & Liability statements

Directors and Company needs to have a good credit history

WHO CANNOT APPLY

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

If you are already claiming under the Coronavirus Business Interruption Loan Scheme (CBILS).

Accreditations