CBILS Revolving Credit – Invoice Finance

CBILS Invoice Finance

If you are a user of Invoice Finance (Factoring / Discounting) then this is a must read. CBILS Invoice Finance could save your Business Thousands – but only until the 31st January 2021

What is CBILs?

Firstly CBILS stands for “Coronavirus Business Interruption Loan Scheme” which is provided by lenders accredited by the British Business Bank.

Secondly CBILs is provided to enable funding to be provided to businesses (SMEs) in the UK during the current Coronavirus (Covid-19) outbreak. The scheme allows lenders to provide facilities of up to £5m to SMEs within the UK who are experiencing lost or deferred revenues. The CBILs initiative is not purely loans but can incorporate other funding products such as overdrafts, INVOICE FINANCE and asset finance facilities.

Thirdly the key benefit for any business is that the government guarantees 80% of the lending provided under the scheme. The government also covers the interest payment and fees for the first 12 months. The borrower remains fully liable for the debt.
CBILS is intended to help companies whose cashflow has been affected by the Coronavirus to get back on track.

CBILS Invoice Finance / Revolving Credit Facility.

If your Business is currently using Invoice Finance (Factoring / Invoice Discounting) then you are probably paying a significant amount of money for this type of facility

Would you like to pay nothing for 12 months?

Well this is what the CBILS Revolving Credit Facility is all about. You simply switch your Invoice Finance facility to the CBILS revolving credit facility to benefit from NO borrowing charges and NO service charges for 12 months.

The CBILs Revolving Credit facility is a flexible line of credit, which helps your business unlock the funds tied up in your Invoices. This works exactly in the same way as Invoice Finance. As the government covers interest and fees for the first 12 months there is nothing for your business to pay.

Switch your Invoice Finance facility to a CBILs Revolver and you can save thousands over the next 12 months. This represents a great saving especially in the current climate.

Lenders are providing CBILS Revolving Facilities for businesses looking to borrow between £100,000 to £5m.

Most sectors are covered with the exception of the construction and related sectors. The British Business bank also deems the following sectors ineligible: banks, insurers and reinsurers (but not insurance brokers), public-sector bodies and state-funded primary and secondary schools.

Government criteria for CBILS

  • UK registered businesses
  • Turnover: £200k-£45m
  • Over 50% of turnover from trading activity (e.g. not from investments)
  • Facility primarily for trading activity in the UK
  • The company has been impacted by the coronavirus pandemic
  • Must not be a business in difficulty as of December 2019
  • Must be adversely affected by Covid-19 (must self-certify)
  • Business has to be trading in the UK
  • Must be an SME (fewer than 250 employees and a maximum turnover of £45m; if there are subsidiaries, these numbers apply to the group)•
  • Required to be used to support activity in the UK

CBILS Invoice Finance – Terms and conditions

  • Facility Size £100k-£5m
  • Interest rates from 0.55% per month
  • Arrangement fee 1% to 2%
  • Security First-ranking fixed and floating charge on all assets

Get in touch

Please click below or call 0161 8211478 to speak with one of our specialists.

Finally as members of the Financial Intermediary and Broker Association you can be assured of a great service.


Additionally some of our specialist areas of Finance are:

Asset Based Lending • Asset Finance • Business Loans • Cashflow Finance • Factoring • Invoice Discounting • Single Invoice Finance • Trade Finance • Stock Finance • Credit Insurance

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